David Jones posts Q1 sales growth

AUSTRALIA: David Jones Q1 sales growth first in two years

By Petah Marian | 21 November 2012

Q1 sales increased 0.3% to A$415.6m
Like-for-like sales were also up 0.3%

Australian department store operator David Jones has recorded its first quarter of sales growth in almost two years.

The retailer today (21 November) said sales increased 0.3% to A$415.6m over the quarter ended 27 October, from $414.3m in the same period of the prior year. Like-for-like sales were also up 0.3%.

"Whilst it is still early days, it is pleasing to see the company return to positive sales growth following seven quarters of declining sales," said CEO Paul Zahra.

"We have seen a continued improvement in sales tracking quarter on quarter since 1Q12. Particularly pleasing is the fact that our high margin categories (women's wear, men's wear, beauty, accessories and shoes) all delivered positive sales growth in the quarter. Our home and electricals categories on the other hand continued to be challenging."

He added that the company reduced the length of its October Half Yearly Clearance by two weeks as part of its strategy to improve sales profitability and focus on full margin new season stock, as well as expanding high margin categories.

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