ASX hits record high; Baby Bunting dives 7pc on results
Baby Bunting reported an increase in earnings and profit for the 2021 financial year on the back of solid sales growth.
The company’s statutory net profit after tax (NPAT) climbed 76 per cent to $17.5 million for the year, while NPAT rose 34.8 per cent to $26 million, on a pro forma basis. Earnings before interest, taxes, depreciation, and amortisation jumped 29.2 per cent to $43.5 million (pro forma).
The results were reported on the back of a 15.6 per cent increase in total sales to $468.4 million. Comparable store sales growth was 11.3 per cent, compared to 4.9 per cent in FY20, while online sales grew 54.2 per cent to now account for 19.4 per cent of total sales.
“We have had a tremendous year delivering great growth, both in earnings per share and returns for shareholders. This could not have been achieved without the outstanding efforts of the entire Baby Bunting team,” said the company’s CEO, Matt Spencer.
Baby Bunting announced a final fully franked dividend of 8.3¢ per share, a 29.6 per cent increase from its 6.4¢ per share dividend last year. This took the company’s total dividend for FY21 to 14.1¢ per share, up 34.1 per cent on last year.
The company said, however, that COVID-19 restrictions continue to create significant disruptions, highlighting that comparable store sales as of 12 August 2021 were down 6.4 per cent year-to-date.
Baby Bunting chose not to provide FY22 earnings guidance yet given “trading conditions will fluctuate greatly throughout the year”.