KMD Brands, the former Kathmandu Holdings Ltd., achieved positive year-over-year sales growth for all brands in Q1 of its FY23 that ended on Nov. 6. Additionally, the group realized a NZ$30 million (€17.7m) year-over-year improvement in its operating profit for the period and said its gross margin is “holding up well.”
Overall group sales, bolstered by the removal of Australasian lockdowns and a resumption of more normal retail trading, rose nearly 62 percent year-over-year and were 17.5 percent higher than in Q1/FY20. Direct-to-consumer comparable sales growth for the period was up 107 percent for the Kathmandu business and 30 percent for Rip Curl. And with supply no longer a constraint, Oboz generated record Q1/FY23 wholesale and online sales. In the first half of last year, Oboz was unable to deliver approximately 50 percent of its orders.
While pleased with the period’s results, which were disclosed prior to the company’s annual meeting, KMD said it was cautiously optimistic going forward with first-half results largely dependent on the key holiday selling season. The group typically does not release H1 results for the six months ending Jan. 31 until March. In H1/FY22, KMD reported essentially flat revenues of NZ$407.3 million and an Ebit loss of NZ$5.5 million (€6.1m).
