Half Year 2024 Lovisa Holdings Ltd Earnings Call Transcript
Key Points
- Lovisa Holdings Ltd (ASX:LOV) reported strong sales growth of 18.2% despite a challenging trading environment.
- The company opened 74 new stores in the first half, expanding its network to 854 stores across 40 markets.
- Gross margin improved to 80.7%, up 40 basis points from the previous year.
- EBIT increased by 16.3% to $81.6 million, and NPAT rose by 12% to $53.5 million.
- The Board announced an interim dividend of $0.50 per share, reflecting strong cash flow and balance sheet position.
- Comparable store sales were down 4.4% from the previous year.
- The pace of store rollouts slowed compared to the previous year, with 68 new company-owned stores versus 101 in the same period last year.
- Higher interest expenses due to increased borrowings and higher interest rates impacted NPAT.
- The company faced inflationary pressures on the cost basis of the business.
- Negative comps and higher operating expenses, including increased lease payments, affected overall profitability.
Hello, and welcome to the Lovisa Holdings Limited fiscal year '24 half-year results briefing. (Operator Instructions)
I would now like to turn the call over to Victor Herrero, CEO. You may begin.
Good morning, everyone, and thank you for taking the time to dial in. On the call today, we have our CFO, Chris Lauder; and myself, Victor Herrero, CEO. As you are aware, this morning we published our half-year results to the ASX and we would like to talk you through them.
I will now do a page turn throughout the highlights of the presentation, and we are happy to take any questions at the end. If we turn to page 4, I will talk through some of the detail of the half year.
I'm pleased today to present another solid result for the first half of financial year '24, which is again evidence of strength in the team, the product, and the potential of the business. Despite a more challenging trading environment, particularly, in the earlier part of the half, we were
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
