Endeavour Group, the owner of Dan Murphy’s, BWS and 350 pubs, has withstood the headwinds of softening consumer confidence and discretionary spending to post FY24 sales and earnings growth, although overall net profit was weaker.
Endeavour posted a 4 per cent rise in full-year revenues to $12.31bn as net profit slipped 3 per cent to $512m. The profit was slightly below consensus forecasts of around $514m, but in line with company guidance. The company declared a flat final dividend of 7.5c per share, payable on October 10.
At its retail arm, which includes the Dan Murphy’s chain and BWS, sales rose 3.4 per cent to $10.25bn as earnings rose 4.1 per cent to $685m. On a comparable store basis, sales for BWS and Dan Murphy’s grew by 1.1 per cent. At its hotel arm, which operates 350 pubs and more than 12,000 gaming machines, sales rose 4.2 per cent to $2.063bn as earnings lifted 2.3 per cent to $438m. The gaming market remained resilient, with sales growing broadly in line with the market, with the exception of Victoria, which was impacted by our early adoption of the government's changes to trading hours.
Sales momentum across its arms continued to improve over the first seven weeks of the new financial year as cost-conscious consumers sought value for money offers. Over July and early August sales at its retail outlets grew by 0.6 per cent and hotel sales increased 2 per cent.
