The Warehouse Group maintains momentum with Q3 sales growth

1







NZX | Market release – 8 May 2025

The Warehouse Group maintains momentum with Q3 sales growth

The Warehouse Group ("the Group") has today provided a trading update for the 13 weeks
ending 27 April 2025 ("FY25 Q3").

• Group sales were $710.5 million, up 2.2% compared to $695.5 million in the same
period last year being the 13 weeks ending 28 April 2024 (“FY24 Q3”)
• Group same store sales
1
up 2.4% on the prior period
• Group market share of core retail grew 50 basis points on the prior period
2

• The Warehouse sales were $415.9 million, up 1.9% compared to the same period
last year, with same store sales up 3.4%
• Warehouse Stationery sales were $58.8 million, down 3.3% compared to the same
period last year
• Noel Leeming sales were $234.9 million, up 4.5% compared to the same period last
year

The Warehouse Group Interim CEO, John Journee described the Group’s sales growth of
2.2% as an encouraging result, continuing the momentum delivered towards the end of the
first half. “The Group’s February sales performance was strong, while March and April sales
showed softer trends however still exceeded the same period last year. This positive
headway is a direct result of our team’s dedication to winning back customers with enhanced
products and value.” said Mr Journee.

“At The Warehouse, improved everyday essentials and refreshed homeware and apparel
ranges are showing good promise. Noel Leeming delivered a strong sales result considering
the discretionary nature of its products and the current economic climate. Warehouse
Stationery had a strong February sales performance boosted by a successful back to school
campaign; however, its core small to medium business customer base continues to struggle
which was evident in March and April.”

The Group’s market share of core retail spend grew 50 basis points, reaching 15.8% this
quarter. This gain is supported by Group same store foot traffic up 1.4% and same store
conversion increase of 140 basis points on the prior period to 53.5%.

1
Same store sales excludes online and removes the impact of opening and closing stores year on year. Noel
Leeming same store sales excludes Noel Leeming Commercial.
2
Group market share is for 13 weeks ending 27 April 2025 compared to 13 weeks ending 28 April 2024. NZ
Core Retail spend includes retail spend excluding grocery, liquor, travel, fuel, and entertainment spend. TWG
Group excludes three main grocery lines (fresh produce, chilled and frozen, and pantry).
Source: www.dotlovesdata.com (ANZ).

2


Group average retail selling prices declined 4.3% versus the prior period, impacted largely
by the investment into price as the Group resets ranges and the value it provides to
customers. This investment has resulted in units sold increasing 7.2% on the prior period.

Online sales as a percentage of Group sales increased 10 basis points year on year, making
up 6.7% of total Group sales, strengthened by 15.6% online sales growth in Noel Leeming.

Group gross profit was $223.3 million, down 2.0% on FY24 Q3, as a result of a lower Group
gross profit margin of 31.4%, down 140 basis points. Mr Journee acknowledged, “Whilst in
part this was due to brand mix across the Group, the retail landscape continues to see high
promotional activity which, combined with our own strategic pricing reset across key product
lines and markdowns required to clear seasonal merchandise, is placing pressure on our
gross margin performance.”

Outlook
The Group continues to anticipate subdued consumer demand for the remainder of FY25 as
tight economic conditions and significant global uncertainty impacts consumer confidence.
Possible further interest rate cuts have been signalled this year which may provide
welcomed financial relief to some New Zealand households.

"Our turnaround is gaining traction, especially at The Warehouse where new on-trend
homeware and apparel ranges, and better value everyday essentials are resonating well
with customers. However, the unseasonally warmer weather experienced to date across the
country has resulted in a slow start to winter merchandise sales which, if sustained, may
negatively impact our planned Q4 performance. At this stage there is no change to the prior
guidance provided at our half year of FY25 H2 EBIT.

“While we navigate legacy challenges and a highly competitive environment, we are focused
on growing sales by continuing to improve our product offer, whilst controlling costs. We
remain cautiously optimistic that the changes we have made when delivered at scale will
make a meaningful difference to our performance,” said Mr Journee.

Ends

For media queries please contact:
Lizzie Havercroft
General Manager – Corporate Affairs
+64 27 507 0613
Lizzie.havercroft@twgroup.co.nz

For investor queries please contact:
Julia Belk
Investor Relations Manager
+64 21 240 8997
Julia.belk@thewarehouse.co.nz

---

Quarterly Sales
Reporting Period 39 weeks to 27 April 2025
Previous Reporting Period (2024) 39 weeks to 28 April 2024
Quarterly Retail Sales information:
SalesSales
(29 July 2024 to 26 January 2025)
20252024
($ Million) ($ Million)
The Warehouse 944.7 965.6 - 2.2 %
Warehouse Stationery109.8 117.9 - 6.8 %
Noel Leeming548.9 544.4 + 0.8 %
Total Group
1
1,607.2 1,632.7 - 1.6 %
SalesSales
(27 January 2025 to 27 April 2025)
20252024
($ Million) ($ Million)
The Warehouse 415.9 408.3 + 1.9 %
Warehouse Stationery58.8 60.8 - 3.3 %
Noel Leeming234.9 224.7 + 4.5 %
Total Group
1
710.5 695.5 + 2.2 %
SalesSales
(29 July 2024 to 27 April 2025)
20252024
($ Million) ($ Million)
The Warehouse 1,360.6 1,373.9 - 1.0 %
Warehouse Stationery168.6 178.7 - 5.7 %
Noel Leeming783.8 769.1 + 1.9 %
Total Group
1
2,317.7 2,328.2 - 0.5 %
Store Numbers
202520242025202420252024
Start Quarter 385 88 66 67 66 66
End Quarter 385 86 66 66 66 66
Store footprint (Square Metres)
2
202520242025202420252024
Start Quarter 3460,229 469,818 80,233 83,815 51,524 49,031
End Quarter 3459,036 460,143 79,868 80,128 51,852 49,031
Store changes during the quarter
- - - 1
- 1 - -
- 1 - -
Note:
The Warehouse Group Limited
Warehouse Stationery
Store
reduction
Store
closure
New
store
Replacement
store
Change in
sales
Year to date sales
The Warehouse
1) Total Group sales includes eliminations and other Group operations in addition to the 3 main retail operations detailed above. In 2024 Group sales also
included TheMarket, which closed in July 2024.
2) There were inconsistencies in the way store footprint was measured across the store network. To ensure consistency the Group has remeasured the store footprint
resulting in the restatement of prior period comparatives. Store footprint is now measured using current industry standard measurement guidelines or equivalent
if this is not available, adjusted to exclude any areas used by sub-tenants.
Noel Leeming
Warehouse StationeryNoel Leeming
Warehouse Stationery
The Warehouse
First half sales
Third quarter sales
The Warehouse
Change in
sales
Change in
sales
Noel Leeming