1st Quarter Sales to 26 April 2020 and Market Update

Briscoe Group Limited is a company incorporated in New Zealand and registered in Australia as a foreign company under the name
Briscoe Group Australasia Limited (ARBN 619 060 552). It is listed on the NZX and also the Australian Securities Exchange as a foreign
exempt entity. (NZX/ASX code: BGP).





1
st
Quarter Sales and Market Update


The directors of Briscoe Group Limited (NZX/ASX code: BGP) announce that unaudited sales for
the first trading quarter ended 26 April 2020 were $97.0 million, being 35.6% lower than the $150.6
million achieved for the same quarter of last year.

Prior to COVID-19 Alert Level 4, trading for the first quarter up to and including 24 March 2020 had
seen Group sales grow by 4.2% over the equivalent days of last year. However, the adverse impact
since Level 4 commenced on 25 March 2020 has been significant.

We were pleased to be able to offer a condensed range of essential items during Level 4 and saw
online demand double during this period. With New Zealand now in Level 3 we expect this to
continue to grow as a result of being able to offer the full range of products available at Briscoes
Homeware, Living & Giving and Rebel Sport, albeit online only.

The health and wellbeing of our team and customers and how we can best support them through
these challenging times remains the priority for the Board and senior management. As previously
announced Rod Duke, Group Managing Director will not be taking a salary at all until at least the
end of July 2020, along with the senior management team agreeing to a freeze on their salary
increases for the same period. This week the Board and senior management have decided to
strengthen this commitment by agreeing to a temporary reduction in fees and salaries of 20%,
effective from May 2020.

Group Managing Director Rod Duke said, “Our focus continues to be doing all we can to keep our
team and customers safe. I’m very proud of how everyone right across the business is adapting to
these unprecedented times. Team members who have returned to work to support the online and
fulfilment operations, and support team who continue to work tirelessly from home while balancing
the increased demands of home life are just two examples of how our business is rising to the
challenge.

“We continue to look at all aspects of the business in order to minimise the impact of COVID-19.
Discussions are ongoing with our landlords and suppliers in relation to agreeing equitable solutions
for both trade and non-trade expenditure. The Government wage subsidy of $11.4 million has
supported our ability to pay the team’s normal remuneration throughout Level 4. As we enter Level
3, cost decisions such as the salary reduction initiated by senior management allow us, at this
stage to continue with full pay for the rest of our team and with no redundancies incurred.

Briscoe Group Limited is a company incorporated in New Zealand and registered in Australia as a foreign company under the name
Briscoe Group Australasia Limited (ARBN 619 060 552). It is listed on the NZX and also the Australian Securities Exchange as a foreign
exempt entity. (NZX/ASX code: BGP).



“Maintaining existing jobs and incomes continues to be a priority for the leadership team along with
a return to previous levels of trade. There remains uncertainty around the length of time store
closures will continue as well as the ongoing economic and social implications as a result of
COVID-19. For these reasons it is difficult to accurately forecast the full financial impact on the
Group at this time, however the effect on first half revenue will be significant which currently is
expected to result in only a modest profit to be reported for the first half.

“Despite this uncertainty, our planning is well advanced in anticipation of bringing our entire retail
trading network back into operation and with our lean operating model and strong balance sheet I
remain convinced that we are well placed to respond positively to the challenges ahead.”




Friday 1 May 2020

Contact for enquiries:

Rod Duke
Group Managing Director
rod@briscoes.co.nz