Gerry Harvey's Harvey Norman has made a handy $1.8 million profit selling its 7.2 per cent stake in clothing retailer Gazal, which sells Calvin Klein underwear and Tommy Hilfiger knits.

After collecting an 8¢ a share dividend, Harvey Norman sold its 4.16 million shares for $10.4 million on Tuesday through Gazal's on-market share buy-back program at about $2.50 a share, the highest price since October 2016 and a premium to the current price of $2.30.