Adairs Limited Projects Record Sales Year Amidst Margin Challenges

Adairs Ltd. ( (AU:ADH) ) has provided an announcement.

Adairs Limited has provided a trading update and guidance for FY25, indicating strong sales momentum with an expected record sales year, achieving approximately 9% growth over FY24. Despite this, the company faces challenges with gross margins due to elevated promotional activity and a weaker Australian dollar. Under new leadership, Adairs is implementing significant changes to reset for long-term growth. While Adairs and Mocka are expected to show significant growth in Underlying EBIT, Focus on Furniture is expected to see a decline. The group anticipates total sales of $614 – $618 million and Underlying EBIT of $53.5 – $57.0 million for FY25.

The most recent analyst rating on (AU:ADH) stock is a Hold with a A$2.00 price target. To see the full list of analyst forecasts on Adairs Ltd. stock, see the AU:ADH Stock Forecast page.

More about Adairs Ltd.

Adairs Limited is Australia’s largest omni-channel specialty retailer of home furnishings, home furniture, and home decoration products. It operates three vertically integrated brands: Adairs, Focus on Furniture, and Mocka, which are design-led and customer-focused, selling quality in-house designed products directly to customers in Australia and New Zealand. The company’s head office is in Melbourne, Australia.

YTD Price Performance: -1.53%

Average Trading Volume: 454,002

Technical Sentiment Signal: Strong Buy

Current Market Cap: A$456M

For detailed information about ADH stock, go to TipRanks’ Stock Analysis page.