Retailer continues to make customer satisfaction top priority.
Ongoing improvements to the customer offer, product selection, pricing, and promotions lent a helping hand to The Reject Shop which reported a whopping 43% increase in net profit after tax (NPAT) to $18.3 million. Sales rose by 5.6% to $424.7 million as comparable store sales were up 4.4% on the prior year.
The Reject Shop managing director, Ross Sudano (pictured) said in a statement to the Australian Securities Exchange (ASX), “The plan that we have put in place to improve performance continues to gain traction, and while we are still in the early stages we were pleased to see continued momentum in the business throughout H1 2016.”
The company’s strategy is focused on creating a distinctive offer in the market through better understanding our customers, and improving productivity and efficiency to lower our cost of doing business.
“This in turn will enable us to reinvest in driving top line sales growth and will allow us to deliver further value for our customers and improve returns to shareholders.
“The Reject Shop is a business with a strong foundation in place, which we are now beginning to leverage. Early signs are positive in terms of customer transactions, customer feedback and underlying performance. The discount sector continues to grow in relevance and we are ideally positioned to capitalise on this,” he said.
The company opened eight new stores during the period while closing three and relocating two stores. The total portfolio nationally at the half-year was 338 stores.