Hallenstein Glassons sales increase almost 15% amid retail slowdown
Friday, 27 February 2026
The company behind retail chains Hallenstein Brothers and Glassons says its sales continue to grow despite the retail slowdown and economic conundrum.
Unaudited sales revenue for the group, which operates 130 stores, grew 14.6% to $275.2 million, from $240m in the same period a year ago.
Hallenstein Glasson anticipates its before-tax profit for the period will be between $39.3m to $39.8m, an estimated 32% increase from the $29.9 million it recorded in FY25.
In a trading update, chairman Warren Bell said the company would pay a dividend for the period, which would be announced along with its full audited financial statements for the six months, on March 27.
Bell said the balance sheet for the retail group remained strong and “stock levels continue to be well controlled”.
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Hallenstein Glasson has proved itself as somewhat of an outlier among publicly-listed retail companies, consistently posting sales growth - and profits - despite the sector and wider economic conditions being unfavourable for a long period of time.
Operating in New Zealand and Australia, and with the majority of its store located in New Zealand, the menswear and womenswear retailers have a growing store footprint.
In the year to August 2025, the group made total sales of $470.7m - up 8% - and its after-tax profit rose 14.4% to $39.5m.
Retail analyst Chris Wilkinson said the result was strong for a listed retailer, and partly the result of the company operating in a portion of the market, that currently found itself in a sweet spot.
Clothing and apparel is one of few categories that have seen sales increase over the past quarter.
Stats NZ’s latest electronic transaction data shows spending on clothing and apparel increased 0.6% or by $1.9m in January.
Wilkinson said Hallenstein Glasson was a great example of a business that understood its market entirely and was able to increase sales through its regular delivery of new and trendy product, aimed at the Gen Z and younger millennial market demographic.
“The magic that Hallenstein Glasson have been able to create with their stores and their retail offer has captured their consumers.
“It's affordable product. It's definitely a brand that, wherever we're working, and a Glassons store isn't there, that's what people want,” Wilkinson said.
“They've done well in the areas they've gone into in Australia as well. It's been a brand that's been able to jump the Tasman very successfully.”
Wilkinson said Hallenstein Glasson had been cautious with its expansion into Australia - seemingly not to hurry to open up new stores quickly, and the approach appeared to be working for them.
Hallenstein Glasson, particularly in the Glassons brand was strong in Australia; sales increased 15.3% to $251.5m in the year to August 31 last year, from 40 stores.
New Zealand sales for the brand rose 2%.
“They've weathered some challenging storms in recent years as new channels have come on board … But I think they've been really steadfast and held their direction. Ahead of Covid, they did a lot of work around online, online experience and their journey; they've captured that really well, and they do excel in every channel that they're operating in,” Wilkinson said.
Retail sales more generally across the sector appeared to have turned a corner, with retailers reporting stronger sales in pharmacy, DIY and home improvement categories.
The latest retail trade survey shows retail volumes continued to rebound in the fourth quarter of last year.
In an economic note, ASB economists said signs were pointing towards retail spending likely to continue to rise. “Retail spending in Q4 continued the momentum seen in most of 2025, with a 0.9% increase, stronger than the 0.6% lift expected by the market consensus.
“Core retail volumes were strong, the annual growth for both total volumes and core retail was encouraging, respectively at 4.5% and 4.2%, higher than a year ago, with reductions of interest rates over the past year filtering through to the household sector.”