- Baby Bunting (BBN) exceeds half a billion dollars in sales for the first time
- The baby goods retailer reported sales of $507.3 million for fiscal 22, of which 22.2% came from online sales.
- Amid nationwide shutdowns in the first half, consumers made more purchases online, leading the company to focus on its digital platform and customer experience
- Baby Bunting also expanded its Australian network of stores to 65 and after the financial year opened its first store in New Zealand.
- The company approved a final dividend of nine cents, bringing the total dividend payout for the year to 15.6 cents per share.
- BBN shares fall 4.32% to close at $4.65
Baby Bunting (BBN) surpassed half a billion dollars in sales for the first time.
The baby goods retailer posted revenue of $507.3 million for fiscal 2022, representing an 8.3% growth in total sales year-over-year.
Online sales increased 24.2% from the previous year to $112.7 million and accounted for 22.2% of total sales.
The company said nationwide shutdowns in the first half led consumers to make more purchases online, triggering its investment in digital customer platforms, driving progress for its online store and systems. behind the scenes.
The click and collect portion of online sales was particularly strong, growing 28.2% to account for 10.4% of all sales. The consumer discretionary stock said the click and collect experience was a priority for the year and plans to roll it out to more stores.
Regarding expansion, Baby Bunting opened four new stores in Australia and now has 65 stores nationwide. The company has already signed leases to open five more stores in FY23.
After FY22, Baby Bunting has just opened its first store in New Zealand. This step was planned earlier, however, COVID-19 restrictions have caused delays. At this stage, BBN plans to have 10 stores in New Zealand.
In terms of earnings, the baby goods company reported a statutory net profit after tax (NPAT) of $19.5 million, up 14.6% from a year earlier.
Pro forma NPAT was $29.6 million, a 13.6% year-over-year increase. As the company was targeting a dividend payout equivalent to 70% of its pro forma NPAT, the board approved a final dividend of nine cents, bringing the total dividend payout for the year to 15.6 cents per share.
“Our total sales exceeded half a billion dollars for the first time. We continued to grow our market share while achieving very strong gross profit growth,” said Matt Spencer, Managing Director and CEO.
“This is a tremendous result given the COVID-related lockdowns in place around Australia in the first half and the disruptions that have occurred over the course of the year.”
Looking to FY23, Spencer said the company started the new year in good shape and was focused on growing its market share and delivering more value to customers in Australia and in New Zealand.
“It’s an incredibly exciting time.”
BBN shares fell 4.32% to end the day at $4.65.