Last week, Officeworks reported a record full year result of 8.8 per cent sales growth to $1.71 billion for the 12 months to 30 June 2015.
The retailer posted a 14.6 per cent increase in earnings before tax (EBIT) to $118 million, attributing the strong result to a relentless focus on meeting customers’ needs, innovation and improving efficiency.
The business also delivered an outstanding double-digit return on capital of 11.4 per cent, driven by productivity initiatives and disciplined capital and inventory management.
Introducing innovative products and services such as the new art and craft range, wearable technology, enhanced print and copy services and launching a parcel delivery service called Mailman, all to help customers ‘achieve their big ideas,’ have strengthened the retailer’s position as the one stop shop.
Officeworks Managing Director Mark Ward said increased investment in customer service initiatives including improved in-store design and layout, a stronger online offer and greater business-to-business sales team support have contributed to the continued in-store and online sales growth.
"The record year-end result demonstrates that customers are responding well to our ‘every channel’ strategy that enables them to shop anywhere, anyhow, anytime,” he said.
According to Mr Ward, the earnings growth, which was ahead of sales growth, showed that the team’s continued focus on productivity improvements and reducing complexity across the business were paying off.
“Our clear focus is on giving customers convenience and inspiration to help them achieve their ‘big ideas’.
“Officeworks’ performance is because of the hard work our team. We’re pleased that our well established strategy is driving strong business momentum in a competitive marketplace,” he said.
Seven new stores opened during the year, bringing the network across Australia to 156 Officeworks stores.