Harvey Norman (ASX:HVN) rocketed +12% after unveiling a bumper set of numbers for FY25, showing the behemoth retail giant is firing on all cylinders. As reported today, NPAT hit $518 million, up a whopping 47.0% on FY24.
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“The FY25 result is a testament to the strength of our diversified business model,” titular chairman Gerry Harvey said on the results after publishing.
“We’ve delivered solid growth across all core segments, driven by strong franchisee performance, the resilience of our property portfolio, our measured global expansion, and continued investment in digital transformation and in-store innovation.”
The company raked in $344.4M in profit before tax, a +25.9% jump, which in turn was helped by a +6.1% lift in franchisee sales to $6.4 billion. Margins also improved, hitting 5.36%, up from 4.5% last year.
“Our franchisees are well-positioned to capitalise on the post-pandemic refresh cycle and the accelerating demand for smart technologies,” Harvey highlighted.
The property segment was a big winner too, notching up $321.5 million in profit before tax, up 100%, thanks to a $154.4 million bump in property values. The company’s freehold portfolio now sits at $4.5 billion.
Overseas, Harvey Norman’s retail arm chipped in $110 million, with solid growth in Ireland and Asia balancing out a softer result in New Zealand. The big move into the UK, including the Merry Hill store launch in October 2024, racked up some early costs, but sets the stage for longer-term growth.
Total assets cracked the $8 billion mark for the first time, while net assets rose to $4.8 billion. The company’s staying cashed-up too, with $694.3 million in operating cash flow and net debt falling to just 13.4%.
And shareholders won’t be left out; a final dividend of 14.5cps is on the way.
HVN has been up +12.14% at $6.93 in afternoon trade.
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