Dick Smith Electronics’ golden financial streak is continuing, with sales up 10.1 percent in the first 15 weeks of the financial year.
The strong start was reported at Dick Smith’s annual general meeting this week, where executives also said like-for-like sales was up a more modest 1.7 percent.
That growth is set to continue if the retailer’s rosy forecast is any indication. This includes “high single, low double digit sales growth” in the first half of the 2015 financial year.
While online sales still account for a small portion of revenue, the company’s publicly stated goal is for online sales to reach 10 percent of retail sales by the 2017 financial year.
The company continues to push omni-channel, with executives describing the strategy as the “future of retailing”. This includes Dick Smith’s Click and Collect service, sales via David Jones, eBay, Catch of the Day, Westfield and Move stores.
In addition, Dick Smith offers customer delivery from 125 outlets, a service available from more than a third of all stores by Christmas.
Private label products are also increasing in importance for Dick Smith. The retailer currently has over 1,400 SKUs, including the premium range of Move branded products, which will increase to 1,600 on shelves by Christmas.
Meanwhile, Dick Smith has reiterated previously stated goals to have 450 stores in the next three years. This will include seven stores it plans on opening in Sydney airport in 2015 as part of a major overhaul to the airport’s duty free operation.
Dick Smith’s profit after tax was $42.1 million for the 2014 financial year, up from $6.7 million.
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