16 Feb 2012

Jeweller boosts half-year revenue and profit

12:36 pm on 16 February 2012

Michael Hill International lifted its half year profit by 11.5%. Sales rose in at its stores in New Zealand, but its Australian arm continues to battle sluggish retail conditions and tight margins.

The company made $26 million in the six months to the end of December. Revenue rose 7% to $289 million.

Business in New Zealand sparkled, with sales at stores open more than a year rising more than 9%.

Across the Tasman, the company opened five stores during the period, and while revenue rose 4%, same store sales slipped 1.5%.

Sales increased across its stores in Canada and the United States, but the company says there is still a long way to go until its US business proves itself in the market.

Michael Hill International will pay an interim dividend of 2 cents per share, compared with 1.5 cents in 2010.

Shares in Michael Hill rose 1 cent to 88 cents on Thursday.