Universal Store (UNI) H1 2026 earnings summary

Executive summary

• Group sales rose 14.2% to AUD 209.6 million, with all retail banners in growth and eight new stores opened, partially offset by one closure.

• Underlying EBIT increased 23.2% to AUD 43.6 million, driven by sales growth and improved gross profit margin.

• Net profit after tax surged 150.4% to AUD 28.3 million, reflecting margin expansion and operational efficiency.

• Strong cash position of AUD 38.4 million with no bank debt or borrowings.

• Investments in HR, technology, and leadership to support scalability and customer-focused initiatives.

Financial highlights

• Gross profit margin improved 150 basis points to 62.1%; underlying NPAT up 22% to AUD 28.3 million.

• Underlying EPS increased 21.5% to 36.8 cents; five-year sales CAGR of 12.2%.

• Operating cash flow before interest and tax was AUD 72.1 million, up 3% year-over-year.

• Online sales grew 10.4% to AUD 27.8 million, representing 13.3% of total sales.

• Fully franked interim dividend of 26.0 cents per share declared, up 18.1% year-over-year.

Outlook and guidance

• On track to open 11–17 new stores in FY 2026, with five confirmed for Q4.

• Disciplined approach to hedging foreign currency risk and product pricing amid macroeconomic factors.

• Continued investment in team and systems to support growth aspirations.

• Expecting continued growth in the second half, with minimal impact anticipated from interest rate increases.

• Management expects ongoing volatility in the CTC wholesale channel but remains focused on long-term profitability.