Fallout from COVID-19 is a given for retailers this reporting season, but one group that is said to have proved to be surprisingly resilient is the jewellery store chain Lovisa.
Sources say the company’s results for the year to June 30 are on track to be far better than many had anticipated.
The belief had been that most consumers would shy away from buying costume jewellery at a time many stay indoors to stem the spread of the COVID-19 virus.
Perhaps one explanation for the better-than-expected performance is that shoppers are acquiring more jewellery as they spend more work time communicating through online platforms such as Zoom.
Around June, the Brett Blundy-chaired retailer, which operates in global markets, was discussed as a possible candidate to raise equity, but sources close to the company shook off such a possibility.
Since that time, its share price has held up relatively well.
It will be interesting to see if that still remains the case with the state of Victoria in stage 4 lockdown.
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