Breville results buoyed by overseas business

February 23rd, 2012

Breville’s half yearly fiscal report has revealed strong international gains have offset sluggish sales on domestic soil.

Specifically, the North American business including the United States and Canada, as well as the New Zealand business have showed vigorous growth.

Breville’s revenue from the Australian division is down 6.4 per cent from the prior half year, signalling tough trading conditions and increased competition from house brands, the small appliance company said in a statement issued on the Australian Securities Exchange (ASX) this morning.

Breville's premium products are doing well (Breville Juicer Blender BJ840)

But Breville claims that it has challenged this trend by expanding its range of premium products, and using Kambrook to contend with the entry level market.

“The Breville brand continued to successfully launch innovative new premium products that increased it’s average sales price, whilst Kambrook performed solidly in the increasingly competitive entry level segment of the market, successfully maintaining a price premium over house brand products,” Breville said in the statement.

“Through its multibrand strategy the Group maintained its market leadership position in the core kitchen appliance category and has grown it’s share in the ironing and personal care categories.”

Revenue from the international business was able to mostly offset the poor Australian result; the Group’s overall revenue was down 0.9 per cent.

New Zealand revenue was up 14.6 per cent and North American revenue was up 12 per cent.

Overall, Breville appeared pleased with results saying: “Following an encouraging overall first half performance, Breville remains cautious on the outlook for the remainder of FY12 with global uncertainty expected to continue.

Breville is on track according to its foretasted earnings for the fiscal year 2012.

Keri Algar

Having once had to sit on the washing machine to stop it from bouncing into oblivion, Keri is today delighted with the new (smoother running) technologies that make housework easier every day. A self-confessed lazy-bones, Keri seeks out quirky inventions that ease the human workload, such as the robotic vacuum cleaner (wow). And as soon as someone figures out a Jetsons-like self-cleaning house, she will happily lay her pen to rest and retire from appliance journalism. Until then, her pick is a fridge that will tell her smartphone when it's time to pick up more beer on the way home. Magic.