Premier Investments (ASX:PMV) Announces 1H25 Results
Financial Performance
Premier Investments Limited reported a statutory net profit after tax (NPAT) of $117.1 million for the 26 weeks ended January 25, 2025. The seven retail brands achieved an underlying EBIT of $162.0 million, global sales of $857.8 million, and a gross margin of 62.7%.
Sale of Apparel Brands
The company successfully completed the sale of its Apparel Brands to Myer, resulting in an in-specie distribution valued at $1.03 billion in Myer shares and $387 million in franking credits. Premier no longer holds any interest in Myer shares following the transaction.
Executive Comments
Chairman Solomon Lew stated, “The Premier Board considers the 1H25 results announced today to be a credit to management in navigating very difficult times given the relative performance of competitors where trading conditions continued to be challenging.”
Interim CEO John Bryce commented, “The EBIT margins of the new Premier Retail group of Smiggle and Peter Alexander remain best in class, despite our customers in all markets continuing to be impacted by increased cost of living pressures. We are once again particularly pleased with the record half-year result of Peter Alexander.”
Future Outlook
Premier Retail is focused on expanding Peter Alexander and Smiggle through international growth, new store openings, and investment in customer experience initiatives. The company maintains a strong balance sheet with substantial investments in Breville, strategic property ownership, and significant cash reserves.
Dividend and Shareholder Returns
Over the past five years, Premier has distributed over $850 million in fully franked dividends. In February 2025, the company made an in-specie distribution of $1.03 billion in Myer shares and $387 million in franking credits to eligible shareholders. The Board expects to declare dividends in September 2025.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
This article was generated using GPT-4o mini, a Large Language Model (LLM), to generate summaries of investing news. While AI is generating the content, we know better than to blindly trust our future robot overlords, and every article is edited and fact-checked by an editor holding the appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content of everything published by The Capital Club.