Jeweller regains its lustre

Jeweller Michael Hill has posted a net profit plunge of 85.9 per cent to $4.6 million following the closures of US stores and its Emma & Roe business.

JEWELLER Michael Hill yesterday posted a net profit plunge of 85.9 per cent to $4.6 million following the closures of US stores and its Emma & Roe business.

The company announced in June that it intended to close the Emma & Roe brand to focus on its core Michael Hill business.

Chief executive Phil Taylor told investors the past financial year had been one of “recalibration and repositioning”.

“While the cost of exiting these businesses had a material one-off impact on the financial result, Michael Hill is a stronger and more resilient business today,” he said.

Revenue climbed 4.4 per cent to $575.5 million, while ecommerce sales, which had been flagged by the company as a focus area, jumped 57.4 per cent for the past year.

“The company also made significant progress on its strategy to reposition Michael Hill from a traditional retailer to a differentiated omni-channel brand,” he said.

“This approach is planned to differentiate the Michael Hill brand, products and experiences to create a true point of difference,” Mr Taylor said.

He said the Brisbane-based company was committed to expanding the Michael Hill brand, with plans to open a minimum of 10 stores in the coming year.