Noni B hails ‘year of transformation’

Clothing retailer Noni B has given shareholders their first dividend in three years as it posted a 50pc lift in profit.

Noni B chief executive Scott Evans. Pic: Renee Nowytarger

Clothing retailer Noni B has delivered shareholders their first dividend in three years as it posted a 50 per cent lift in full-year net profit.

For the year through June, the retailer (NBL) booked a net profit of $3.3 million, up from last year’s $2.2m. The result reflected transaction and restructuring costs following the acquisition of the Pretty Girl business in September 2016.

Revenue rose to $316.8m in the year, while like-for-like sales growth of 2.4 per cent was achieved following a strong second half, the company said.

“The 2017 financial year was a year of significant transformation for Noni B Group and it is very pleasing to see each of our key objectives for the year having been achieved in line with expectations,” chairman Richard Facioni said.

“The start of the 2018 financial year has seen a continuation of a highly-competitive market. Notwithstanding, recent year-to-date trading is showing positive like-for-like sales growth and the trend in more recent weeks is very encouraging.”

The company will pay a fully franked dividend of 4 cents per share, its first dividend since 2014.

The dividend reflects a 100 per cent payout of net profits after tax. Going forward, Noni B will adopt “an appropriate payout ratio consistent with market practice,” the company said.

“We’re very pleased to resume the payment of dividends and to reward Noni B Group shareholders for their patience and support. We now expect to continue to pay semi-annual dividends reflective of the group’s return to underlying profitability and cash generation,” Mr Facioni said.