BSR Group posts $800K profit
BSR Group has announced an $800,000 net profit before tax, with the group performing as expected during the full year to 31 March 2008.
The results go against the general market trend, with rivals Clive Peeters, Harvey Norman and Retravision all quoted as predicting either drops year-on-year, or expecting losses.
BSR Group general manager, Ian Brown, said it was a strong result for the company and its shareholders, given the economic climate.
“The latter half of the year saw the start of the economic slowdown which impacted on discretionary spending in the wake of higher borrowing costs and higher fuel and food prices,” he said.
“Despite the downturn and subsequent reduction in rebate income (against budget), the BSR Group continued to provide the same level of advertising and core bonus support to its retailers.”
Brown said total income increased to $19.8 million compared to $9.1 million for the five months to 31 March 2007. At the half-year to 30 September 2007, income growth was strong, fuelled by purchase rebates generated at the national conference and improved like-for-like sales at a retailer level.
Brown also said that the total return to retailers in the form of the cost of rebates, goods and services to retailers during the year increased to $14.2 million — including an additional $1.6 million relating to the one per cent core bonus paid to the Platinum Partner suppliers.
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