Booming online sales and the "emotional investment" of Australians in decorating their homes have helped bedding and furnishings retailer Adairs outperform expectations with a 19 per cent leap in full-year profit.
Adairs' Profit climbed 18.9 per cent to $26.1 million in its first full year as an ASX-listed company as online sales soared.
Revenue for the 53 weeks to July 30 rose 20 per cent to $253.2 million.
Sales for 2015/16 overtook forecasts made in Adairs' prospectus ahead of listing in June, 2015 with group sales up 17.3 per cent to $247.4 million.
Online sales climbed 63 per cent in the year to make up eight per cent of sales, and in-store sales also lifted as Adairs opened 13 new outlets across Australia.
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"In tandem with upsizing a number of our stores, we will continue to roll out new stores to further increase our national footprint," Adairs chief executive David MacLean said.
The company was considering further expansion both in Australia and New Zealand during the year, Mr MacLean said.
The market was continuing to grow as Australians became more "emotionally invested" in home decorating driven by television shows and its popularity on social media, he said.
"The mainstream nature of this growing interest can be seen through the popularity of home design and decoration television programs, and the popularity of these themes on social media platforms and home design blogs," Mr MacLean said.
ADAIRS POSTS CUSHY PROFIT
* Net profit $27.2 million vs $2.94 million in 2015
* Pro-forma profit up 18.9pct to $26.1 million
* Revenue up 20.06pct to $253.2m
* Final dividend was 6.5 cents, fully franked. Full-year dividend 11.5 cents.
