Specialty Fashion Group, which operates chains such as Millers, Katies and La Senza, on Monday posted a net profit of AUD18 million (USD18.5m) for the six months ended on 31 December 2012, 190 percent more than in the same period last year. At AUD311.2m, revenue was up around 1 percent on-year.
The womenswear retailer attributed the improved result mainly to its focus on internet sales.
"Despite the challenging economic and retail market conditions throughout the half year, Specialty Fashion Group achieved a turnaround in its financial performance through sales growth and margin expansion, largely as a result of aggressively pursuing online sales growth, improvements made in its supply chain, and minimising inflation of its costs of doing business," it said in a statement.
The company expects an improved trading performance in the second half of 2013 compared with the second half of last year. The strategic initiatives in relation to eCommerce, customer relationship management and the supply chain are expected to continue to be the key drivers of improvement in performance.
The company had a network of 892 stores by the end of 2012 and intends to continue its store rationalisation program to close or exit from underperforming stores. However, given the improved conditions in the rental market in certain locations, it also plans to open new stores.