Hallenstein Glasson warns retail group may not be able to replicate results in months ahead
Friday, 27 March 2026
Hallenstein Glasson Holdings grew its sales 14.6% to $275.2 million in its first of the financial year, citing strong sales in Australia.
The owner of clothing retail chains Hallensteins and Glassons achieved an after-tax profit of $28m in the six months to February 1 - an increase of 32.1%, compared with $21.2m in the same period a year earlier.
Sales at womenswear brand Glassons were up 22.4% in Australia in the six months to $151.8 m, and up 8.2% in New Zealand to $61.9m.
At Hallensteins, sales across both markets were up 4.5% to $61.5m.
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However, chairperson Warren Bell has warned that it would be much more difficult to replicate this growth in the months ahead.
He said the group was “conscious of the current geopolitical tensions” and the “impact these can have on nearly all areas of our business going forward in a manner we currently cannot predict.
“The likely increase to cost of living in the markets in which we operate and interest rate increases can have a strong influence on consumers discretionary spending patterns, which can directly impact sales. Impacts are also likely on foreign exchange, logistics and associated fuel and transportation costs, and other increased costs of doing business, all of which could directly impact our bottom-line profits.”
Bell said the group would continue to monitor developments and would “remain agile in our response”.
Online sales at the group grew almost 17% in the six months period, and now accounted for 18.1% of total sales.
Despite the risk ahead, directors have declared an interim dividend of 29 cents per share to be paid on April 24.
The company’s dividend payment has grown with the improved trading performance, and the company’s balance sheet remained strong, and inventory levels were well controlled, Bell said.
Glassons now has 41 stores located in Australia, having opened another in New South Wales in the first half of the year.
Bell said the group continued to explore new store opportunities - across both brands - in the Australian market “when the right opportunities arise”, and said work was continuing on the new Sydney-based warehouse with improved automation to “ensure the business is prepared for future growth”.
The warehouse is on track to be completed by the end of the current financial year.
Bell said the group’s strong performance across all brands had been supported by the new and refurbished stores recently added to its network, the stronger Australian dollar and the earlier comparative period whereby stores were closed for four days due to the Queensland cyclone.
Group sales for the first seven weeks of the second half were up 20.1%.
However, “While the start to the second half has been pleasing, the results to date should not be viewed as indicative of the rest of the season as we enter the more significant sale periods including Easter and School Holidays,” Bell said about the outlook for the company ahead.