Full Year Results to 26 January 2025
Results announcement
Results for announcement to the market
Name of issuer BRISCOE GROUP LIMITED
Reporting Period Full Year (52 weeks) – 29 January 2024 to 26 January 2025
Previous Reporting Period Full Year (52 weeks) – 30 January 2023 to 28 January 2024
Currency New Zealand Dollars
Amount (000s) Percentage change
Revenue from continuing operations $791,469 -0.1%
Total Revenue $791,469 -0.1%
Net profit/(loss) from continuing
operations
$ 60,634* -28.0%
Total net profit/(loss) $ 60,634* -28.0%
Final Dividend
Amount per Quoted Equity Security $ 0.10000000
Imputed amount per Quoted Equity
Security
$ 0.03888889
Record Date 20 March 2025
Dividend Payment Date 27 March 2025
Current period Prior comparable period
Net tangible assets per Quoted Equity
Security
$ 1.3352 $ 1.4086
A brief explanation of any of the
figures above necessary to enable the
figures to be understood
* Includes a one-off, non-cash tax adjustment of $7.374 million
required under NZ IAS 12 as a result of legislated tax changes.
Net Profit After Tax (NPAT) excluding this adjustment is
$68.007 million, -19.3%
Please refer to the Commentary and the audited financial
statements released in conjunction with this announcement.
Earnings before interest and tax (EBIT) is a non-GAAP measure.
Authority for this announcement
Name of person
authorised to make
this announcement
Geoff Scowcroft
Contact person for this announcement Rod Duke
Contact phone number + 64 9 815 3737
Contact email address rod.duke@briscoegroup.co.nz
Date of release through MAP
12/03/2025
Audited financial statements accompany this announcement.
---
1. Reported NPAT excluding the impact of the one-off deferred tax expense.
Briscoe Group Limited (NZX/ASX code: BGP)
Highlights for the full year ended 26 January 2025:
• Total sales $791.5 million, 99.94% of last year’s record sales
• Gross profit margin 40.37%
• Online sales as mix of total Group sales 19.69%, (LY 18.72%)
• Total costs only 1.11% increase on last year
• Total inventory $5.2 million below last year
• $58.2 million capital expenditure made during the period
• Strategic initiatives remain on track and to budget
• Net profit after tax (NPAT
1.
) $68.0 million
Board Chair, Dame Rosanne Meo said, “In this marketplace to be within 0.06% of last year’s record
sales, to manage costs to be only 1.11% higher than the previous year and to reduce inventory by a
further $5 million is frankly, a remarkable performance.”
The current year’s result includes a tax adjustment of $7.4 million that the Group is required to book as
a result of tax changes announced by the government in early 2024. This deferred tax liability
adjustment is a one-off, non-cash accounting entry which has no impact on Briscoe Group’s underlying
profitability or dividend policy. Excluding this adjustment NPAT
1.
for the year ended 26 January 2025
was $68.01 million. After including the tax adjustment, the directors of Briscoe Group report a net profit
after tax of $60.6 million.
Directors have resolved to pay a final dividend of 10.0 cents per share (cps). The dividend is fully
imputed and, when added to the interim dividend of 12.5cps, brings the total dividend for the year to
22.5 cps. The final dividend will be paid on 27 March 2025. The share register will close to determine
entitlements to the dividend at 5pm on 20 March 2025.
“Dame Rosanne Meo said, “The total dividend reflects the Group’s increased focus on a number of
innovative strategic initiatives, our substantial investment programme across the next two years as well
as the impact on profit from the economic headwinds. The Company’s dividend policy is to pay out at
least 60% of NPAT when calculated on a full-year basis and although lower in absolute terms than
recent years, this year’s total dividend represents a payout ratio of 83% of reported NPAT and 74%
when the one-off tax adjustment is excluded.”
Rod Duke, Group Managing Director, said: “To drive full year sales to 99.94% of last year’s record
Group sales is a terrific achievement. Three of the quarters produced positive sales growth and while
there was an inevitable margin deterioration to deliver those sales, it’s important to bring context to what
has been an incredibly challenging year.”
Relating this year’s result to the year immediately prior to Covid impacts (year ended January 2020):
Group Sales +21.20% $791.5 million vs $653.0 million
Gross Profit Margin % + 0.94% 40.37% vs 39.43%
NPAT
1.
+ 8.67% $68.0 million vs $62.6 million
The Group’s online business continues to produce strong results and represented 19.69% of Group
sales as at 26 January 2025. Rod Duke said, “We’re excited for the year ahead in relation to our online
business. Re-platforming its front-end to the Adobe system will bring significant functionality and
performance improvements whilst the simultaneous launch of the new Marketplacer platform will enable
us to rescale our ability to connect customers with many different suppliers and products through
increased direct-to-consumer options. In addition to working towards these new implementations the
team has also introduced a number of other initiatives this year including; enhancements to our coupon
offerings, an express delivery service, Apple Pay and a suite of AI tools to optimise product data
management. Ensuring our customers always have the best possible access to online as well as bricks
and mortar is an important driver for us.”
As expected, gross margin percentage declined for the period from 42.40% to 40.37%. Rod Duke said,
“Like all retailers we faced margin pressure from a number of factors as the impacts of the ongoing
economic downturn continued to be felt. Whilst we expect margin pressure to be continue, including
from a weaker New Zealand dollar, our goal this year is to at least stabilise Group gross profit margin %
and we have a number of initiatives to assist with this. These include; lower levels of clearance product,
the introduction of deeper analysis of promotion planning and monitoring, and the implementation of a
new merchandise planning tool (Impact Analytics) which will improve the quality of product purchasing
and sell-through. As previously highlighted, this year’s gross profit margin percentage still represents a
94-basis point improvement on the Group’s margin produced for the year immediately prior to covid
(year-ended January 2020).
“Cost control continues to be an integral part of managing the business and the year has closed with the
total of store and overhead costs only 1.11% higher than the previous year. This is a significant
achievement considering the 6% wage rate increase for our in-store hourly-paid team made in May
2024 as well as substantial increases absorbed throughout the business including for power,
occupancy, warehousing and IT.
“The Group’s full-year result was negatively impacted from KMD Brands Limited’s decision to not pay
any dividends during the year. Last year the Group received $2.9 million (pre-tax) from its investment in
KMD Brands.
Inventories totaled $99.7 million at year-end, $5.2 million below the $104.9 million reported for last year.
Rod Duke said, “Inventory management remains a key focus for us and despite intense sales pressure
the team has improved both stockturn and the quality of closing inventory. We’re happy with the
inventory we are currently holding but realise continued inventory improvements will be critical in
enabling us to deliver future sales and margin growth. With the introduction of Impact analytics and
further inventory optimisation across categories, we have set a goal to further reduce inventory levels by
the end of this financial year. Control of inventory continues to be a key factor of our performance.”
The Group’s balance sheet remains strong, with cash and bank balances of $142.4 million as at 26
January 2025 and no term debt. Approximately $30 million of creditor payments included in the trade
payables balance were subsequently paid on or before 31 January 2025. Rod Duke said, “With the
significant investment the Group will make across the next 18 months in establishing the new
distribution centre, combined with the seasonality of our operational cashflow, the Group expects to
establish a funding facility for initial utilisation during the second half of this year.”
During the year $58.2 million of capital investment was made by the Group of which $40.0 million
represents expenditure in relation to the new distribution centre project at South Auckland, including
purchase of land and preliminary payments in relation to building construction and automation contracts.
The roll-out of electronic labelling throughout the Group network accounted for around a further $10.0
million of capex with the balance of capital investment being for store refurbishments, store essential
expenditure and enhancements to system software and hardware.
The Group progressed a number of store development projects during the year. Rod Duke said, “As
reported at half year, refurbishments were completed at both Rebel Sport and Briscoes Homeware
stores in Invercargill and then the Briscoes Homeware store at Hornby was subsequently refurbished
during the second half.
“The successful rollout of electronic labelling across the store network was a significant achievement for
the team and we believe it is already producing positive results in relation to incremental sales,
improved in-store standards and clarity of pricing for customers.
“We are also very excited about the progress made during the year in relation to the design of new
flagship stores for both Briscoes Homeware and Rebel Sport. We are thrilled with the work done and the
potential to be unlocked by these next generation stores which we hope to deliver by the end of this
financial year. We believe these new formats will revitalise the look and consolidate the relevancy of our
value proposition.
“Significant progress has been made during the year in relation to establishing the new distribution
centre in South Auckland. A key milestone was the implementation during the first half of the year of a
new Warehouse management System – Manhattan. This has enabled the team to upskill before
transitioning to the new facility when it becomes operational towards the end of 2026. Earthworks are
now well underway, and the shell of the new complex should begin to take shape towards the end of
this current first half.
“At a time when other companies may very well be looking to refrain or defer significant strategic
expenditure, we remain committed to investing in the Group’s future through a number of both current
and new initiatives including; the new distribution centre which, when operational, will transform our
ability to control the flow of inventory right across our network, the new online platforms which will step-
change the way we manage and present our online offering, the launch of new flagship stores, and our
new merchandise planning tool which will provide us a level of analysis and ordering capability that we
have not had before.
“Looking forward we do not underestimate just how tough trading will continue to be with the first half
expected to be especially challenging. We expect this will see second half profitability exceed that
produced for the first half in a return to a more noramlised shape of profitability. We are hopeful that the
economic recovery will gradually emerge as the year continues, which will assist us to achieve our goal
of protecting this year’s level of profitability.
“Looking further out we are excited about the benefits and profit growth potential from the initiatives
already mentioned which we believe will drive growth across the next three to four years.”
Group Chair Dame Rosanne Meo said, “On behalf of the Board I would like to acknowledge the
outstanding work done by the entire Briscoe Group team. They continue to weather the most
challenging retail environment we have seen for many years but collectively continue to produce some
of the finest results delivered across New Zealand retail.”
Wednesday 12 March 2025
Contact for enquiries:
Rod Duke
Group Managing Director
Tel: + 64 9 815 3737
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 Main Board and also the Australian Securities Exchange as a foreign exempt entity.
(NZX/ASX code: BGP).
---
Briscoe Group Limited
For the 52-week period ended 26 January 2025
Briscoe Group Limited
Consolidated Financial Statements
For the 52-week period ended 26 January 2025
Briscoe Group Limited
Introduction and Table of Contents
For the 52-week period ended 26 January 2025
1
Introduction
These financial statements have been presented in a style which attempts to make them less
complex and more relevant to shareholders.
We have grouped the note disclosures into six sections:
1. Basis of Preparation
2. Performance
3. Operating Assets and Liabilities
4. Investments
5. Financing and Capital Structure
6. Other Notes
Each section sets out the accounting policies applied to the relevant notes.
The purpose of this format is to provide readers with a clearer understanding of the financial affairs of
the Group.
Accounting policies have been shown in shaded areas for easier identification.
Briscoe Group Limited
Introduction and Table of Contents
For the 52-week period ended 26 January 2025
2
Table of Contents
Consolidated Financial Statements
Directors’ Approval of Consolidated Financial Statements 4
Consolidated Income Statement 5
Consolidated Statement of Comprehensive Income 6
Consolidated Balance Sheet 7
Consolidated Statement of Cash Flows 8
Consolidated Statement of Changes in Equity 10
Notes to the Consolidated Financial Statements:
1. Basis of Preparation 11
1.1 General Information 11
1.2 Material Accounting Policies 11
2. Performance 13
2.1 Segment Information 13
2.2 Income and Expenses 15
2.3 Taxation 16
2.3.1 Taxation – Income statement 16
2.3.2 Taxation – Balance sheet 17
2.3.3 Imputation credits 18
2.4 Earnings Per Share 19
3. Operating Assets and Liabilities 20
3.1 Working Capital 20
3.1.1 Cash and cash equivalents 20
3.1.2 Trade and other receivables 20
3.1.3 Inventories 21
3.1.4 Trade and other payables 21
3.2 Property, Plant and Equipment 23
3.3 Intangible Assets 24
3.4 Leases 25
3.4.1 Right-of-use assets 25
3.4.2 Lease liabilities 26
3.4.3 Lease liabilities maturity analysis 26
3.4.4 Lease related expenses included in the income statement 26
3.4.5 Lease payments included in the cashflow statement 26
4. Investments 27
4.1 Investment in Equity Securities 27
Briscoe Group Limited
Introduction and Table of Contents
For the 52-week period ended 26 January 2025
3
5. Financing and Capital Structure 28
5.1 Interest Bearing Liabilities 28
5.2 Financial Risk Management 28
5.2.1 Derivative financial instruments 28
5.2.2 Credit risk 29
5.2.3 Interest rate risk 29
5.2.4 Liquidity risk 29
5.2.5 Market risk 31
5.2.6 Sensitivity analysis 32
5.3 Equity 34
5.3.1 Capital risk management 34
5.3.2 Share capital 34
5.3.3 Dividends 35
5.3.4 Reserves and retained earnings 35
6. Other Notes 36
6.1 Related Party Transactions 36
6.1.1 Parent and ultimate controlling company 36
6.1.2 Key management personnel 37
6.1.3 Directors’ fees and dividends 37
6.2 Employee Equity-Based Remuneration 38
6.2.1 Equity-settled performance rights 38
6.2.2 Equity-based remuneration reserve 40
6.3 Events After Balance Date 40
6.4 New Accounting Standards 40
Independent Auditor’s Report 41
Briscoe Group Limited
Consolidated Income Statement
For the 52-week period ended 26 January 2025
5
Period ended Period ended
26 January 2025 28 January 2024
Notes $000 $000
Sales revenue 791,469 791,953
Cost of goods sold (471,928) (456,191)
Gross profit 319,541 335,762
Other operating income 2.2 275 3,574
Store expenses (124,231) (123,899)
Administration expenses (91,184) (89,141)
Earnings before interest and tax 104,401 126,296
Finance income 6,127 6,209
Finance cost
(15,451) (15,224)
Net finance cost 5.1 (9,324) (9,015)
Profit before income tax 95,077 117,281
Income tax expense 2.3.1 (34,443) (33,060)
Net profit attributable to shareholders 60,634 84,221
Earnings per share for profit attributable to
shareholders:
Basic earnings per share (cents)
2.4 27.2 37.8
Dil
uted earnings per share (cents)
2.4 27.2 37.8
The above consolidated income statement should be read in conjunction with the accompanying notes.
Briscoe Group Limited
Consolidated Statement of Comprehensive Income
For the 52-week period ended 26 January 2025
6
Period ended Period ended
26 January 2025 28 January 2024
Notes $000 $000
Net Profit attributable to shareholders 60,634 84,221
Other comprehensive income:
Items that will not be subsequently reclassified to profit or
loss:
Change in value of investment in equity securities 4.1 (14,643) (15,842)
Items that may be subsequently reclassified to profit or loss:
Fair value gain taken to the cashflow hedge reserve 4,454 6,196
Deferred tax on fair value gain taken to cashflow hedge reserve 2.3.2 (1,247) (1,735)
Total other comprehensive income/(loss) (11,436) (11,381)
Total comprehensive income attributable to shareholders 49,198 72,840
The above consolidated statement of comprehensive income should be read in conjunction with the accompanying notes.
Briscoe Group Limited
Consolidated Balance Sheet
As at 26 January 2025
7
As at
26 January 2025
As at
28 January 2024
Notes $000 $000
ASSETS
Current assets
Cash and cash equivalents 3.1.1 142,401 175,441
Trade and other receivables 3.1.2 6,830 7,738
Inventories 3.1.3 99,696 104,868
Derivative financial instruments 5.2.5 3,058 548
Total current assets 251,985 288,595
Non-current assets
Property, plant and equipment 3.2 177,520 132,810
Intangible assets 3.3 2,329 2,078
Right-of-use assets 3.4.1 230,263 245,318
Deferred tax 2.3.2 9,990 17,309
Investment in equity securities 4.1 20,403 35,046
Total non-current assets 440,505 432,561
TOTAL ASSETS 692,490 721,156
LIABILITIES
Current liabilities
Trade and other payables 3.1.4 109,301 106,292
Lease liabilities 3.4.3 20,674 19,850
Taxation payable 2.3.2 5,247 8,316
Derivative financial instruments 5.2.5 34 259
Total current liabilities 135,256 134,717
Non-current liabilities
Trade and other payables 3.1.4 1,411 1,241
Lease liabilities 3.4.3 256,028 269,330
Total non-current liabilities 257,439 270,571
TOTAL LIABILITIES 392,695 405,288
NET ASSETS 299,795 315,868
EQUITY
Share capital 5.3.2 62,435 62,344
Cashflow hedge reserve 5.2.5 2,250 250
Equity-based remuneration reserve 6.2.2 925 701
Other reserves 5.3.4 (67,450) (52,807)
Retained earnings 301,635 305,380
TOTAL EQUITY 299,795 315,868
The above consolidated balance sheet should be read in conjunction with the accompanying notes.
Briscoe Group Limited
Consolidated Statement of Cash Flows
For the 52-week period ended 26 January 2025
8
Period ended Period ended
26 January 2025 28 January 2024
Notes $000 $000
OPERATING ACTIVITIES
Cash was provided from
Receipts from customers
791,496 792,313
Rent received
155 105
Dividends received
6 2,885
Interest received 6,936 5,484
Insurance recovery
114 110
798,707 800,897
Cash was applied to
Payments to suppliers (521,507) (492,773)
Payments to employees
(104,000) (95,016)
Interest paid
(15,451) (15,224)
Net GST paid (17,125) (36,958)
Income tax paid
(30,922) (37,620)
(689,005) (677,591)
Net cash inflows from operating activities 109,702 123,306
INVESTING ACTIVITIES
Cash was provided from
Proceeds from sale of property, plant and equipment
49 16
49 16
Cash was applied to
Purchase of property, plant and equipment 3.2
(56,466) (13,582)
Purchase of intangible assets (1,695) (1,477)
Investment in equity securities 4.1
- -
(58,161) (15,059)
Net cash outflows from investing activities (58,112) (15,043)
FINANCING ACTIVITIES
Cash was applied to
Dividends paid 5.3.3
(64,609) (63,488)
Lease liability payments
(20,064) (19,389)
(84,673) (82,877)
Net cash outflows from financing activities (84,673) (82,877)
Net (decrease)/increase in cash and cash equivalents
(33,083) 25,386
Cash and cash equivalents at beginning of period 175,441 149,874
Effect of exchange rate changes on cash and cash equivalents 43 181
Cash and cash equivalents at period end
3.1.1 142,401 175,441
Briscoe Group Limited
Consolidated Statement of Cash Flows (continued)
For the 52-week period ended 26 January 2025
9
RECONCILIATION OF NET CASH FLOWS FROM
OPERATING ACTIVITIES TO REPORTED NET PROFIT
Period ended Period ended
26 January 2025
28 January 2024
$000
$000
Reported net profit attributable to shareholders
60,634 84,221
Items not involving cash flows
Depreciation and amortisation expense 35,798 34,835
Deferred tax adjustment 7,374 -
Bad debts and movement in doubtful debts
(79)(44)
Inventory adjustments
(2,607) (1,342)
Amortisation of equity-based remuneration
497 391
Loss on disposal/surrender of assets
6 62
40,989 33,902
Impact of changes in working capital items
Decrease/(increase) in trade and other receivables
987 (1,510)
Decrease in inventories
7,779 14,266
Decrease in taxation payable
(3,069) (2,992)
Increase/(decrease) in trade payables 1,233 (4,767)
Increase in other payables and accruals
1,149 186
8,079 5,183
Net cash inflow from operating activities 109,702 123,306
NET DEBT RECONCILIATION
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Cash and cash equivalents at period end 142,401 175,441
Lease liabilities
Opening value (289,180) (284,969)
Cash flows 20,064 19,389
Lease acquisitions (7,586) (27,273)
Lease surrenders -3,673
Total lease liabilities at period end (276,702) (289,180)
Net debt reconciliation (134,301) (113,739)
T
he above consolidated statement of cash flows should be read in conjunction with the accompanying notes.
Briscoe Group Limited
Consolidated Statement of Changes in Equity
For the 52-week period ended 26 January 2025
10
Notes Share Cashflow Equity-Based Other Retained Total
Capital Hedge Remuneration Reserves Earnings Equity
Reserve Reserve
$000 $000 $000 $000 $000 $000
Balance at 29 January 2023 62,136 (1,869) 575 (36,965) 284,647 308,524
Transfer of hedging gains/losses upon settlement of
forward contracts net of tax -(2,342) - - - (2,342)
Net profit attributable to shareholders for the period - - - - 84,221 84,221
Other comprehensive income:
Change in value of investment in equity securities
4.1
- - - (15,842) - (15,842)
Net fair value gains taken through cashflow hedge reserve -4,461 - - - 4,461
Total comprehensive (loss)/income for the period -4,461-(15,842) 84,221 72,840
Transactions with owners:
Dividends paid
5.3.3
- - - - (63,488) (63,488)
Performance rights charged to income statement
6.2.1
- - 391 - - 391
Performance rights vested
5.3.2/6.2
208 -(208) - - -
Performance rights forfeited
6.2.2
- - - - - -
Deferred tax on equity-based remuneration
2.3.2/6.2.2
- - (57) - - (57)
Balance at 28 January 2024 62,344 250 701 (52,807) 305,380 315,868
Transfers of hedging gains/losses upon settlement of
forward contracts net of tax -(1,207) - - - (1,207)
Net profit attributable to shareholders for the period - - - - 60,634 60,634
Other comprehensive income:
Change in value of investment in equity securities
4.1
- - - (14,643) - (14,643)
Net fair value gains taken through cashflow hedge reserve -3,207 - - - 3,207
Total comprehensive (loss)/income for the period -3,207-(14,643) 60,634 49,198
Transactions with owners:
Dividends paid
5.3.3
- - - - (64,609) (64,609)
Performance rights charged to income statement
6.2.1
- - 497 - - 497
Performance rights vested
5.3.2/6.2
91 -(91) - - -
Performance rights forfeited
6.2.2
- - (230)- 230-
Deferred tax on equity-based remuneration
2.3.2/6.2.2
- - 48 - -48
Balance at 26 January 2025 62,435 2,250 925 (67,450) 301,635 299,795
The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
1.Basis of Preparation
11
Thi
s section presents a summary of information considered relevant and material to assist the
reader in understanding the foundations on which the financial statements as a whole have been
compiled. Accounting policies specific to notes shown in other sections are included as part of
that particular note.
1.1 Gen
eral Information
B
riscoe Group Limited (the Company) and its subsidiaries (together the Group) is a retailer of homeware and
sporting goods. The Company is a limited liability company incorporated and domiciled in New Zealand and is listed
on the New Zealand Stock Exchange (NZX). Briscoe Group Limited is registered under the Companies Act 1993
and is an FMC Reporting Entity under Part 7 of the Financial Markets Conduct Act 2013. The address of its
registered office is 1 Taylors Road, Morningside, Auckland. The Company is registered in Australia as a foreign
company under the name Briscoe Group Australasia Limited and is listed on the Australian Securities Exchange as
a foreign exempt entity. (NZX / ASX code: BGP).
T
he financial statements of the Group have been prepared in accordance with the requirements of Part 7 of the
Financial Markets Conduct Act 2013 and the NZX Main Board Listing Rules.
T
hese audited consolidated financial statements have been approved for issue by the Board of Directors on 11
March 2025. Certain comparative balances have been amended for consistency with the treatment in the 26
January 2025 consolidated financial statements, refer to note 5.2.5 for further details.
1.2 Material Accounting Policies
T
hese consolidated financial statements have been prepared in accordance with Generally Accepted Accounting
Practice (GAAP). They comply with New Zealand equivalents to International Financial Reporting Standards (NZ
IFRS) and other applicable Financial Reporting Standards, as appropriate for for-profit entities. T he consolidated
financial statements also comply with International Financial Reporting Standards Accounting Standards (IFRS
Accounting Standards).
T
he consolidated financial statements are presented in New Zealand dollars which is the Company’s functional
currency and the Group’s presentation currency. All financial information has been presented in thousands, unless
otherwise stated.
T
he material accounting policies adopted in the preparation of the financial report are set out below. These policies
have been consistently applied to all the periods presented, unless otherwise stated.
Entities reporting
The consolidated financial statements reported are for the consolidated Group which is the economic entity
comprising Briscoe Group Limited and its subsidiaries. The Group is designated as a for-profit entity for the
purposes of complying with GAAP.
Reporting period
These consolidated financial statements are in respect of the 52-week period 29 January 2024 to 26 January 2025
and provide a balance sheet as at 26 January 2025. The comparative period is in respect of the 52-week period 30
January 2023 to 28 January 2024. The Group operates on a weekly trading and reporting cycle resulting in 52
weeks for most years with a 53-week period occurring once every 5-6 years.
Principles of consolidation
Subsidiaries are all entities over which the Company has control. The Company controls an entity when the
Company is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to
affect those returns through its power over the entity. Subsidiaries are fully consolidated from the date on which
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
1.Basis of Preparation
12
control is transferred to the Company. They are deconsolidated from the date that control ceases.
I
ntercompany transactions, balances and unrealised gains or losses on transactions between Group companies are
eliminated. Accounting policies of subsidiaries are changed when necessary to ensure consistency with the policies
adopted by the Company.
Subsidiaries Activity 2025 Interest 2024 Interest
Briscoes (New Zealand) Limited Homeware retail 100% 100%
The Sports Authority Limited (trading as Rebel Sport) Sporting goods retail 100% 100%
Rebel Sport Limited Name protection 100% 100%
Living and Giving Limited Name protection 100% 100%
All companies above are incorporated in New Zealand and have a balance date consistent with that of the
Company as outlined in the accounting policies.
Historical cost convention
These financial statements have been prepared under the historical cost convention, as modified by the revaluation
of certain assets as identified in specific accounting policies detailed throughout these financial statements.
Critical accounting judgements and estimates
In the process of applying the Group’s accounting policies and the application of accounting standards, a number of
estimates and judgements have been made. The estimates and underlying assumptions are based on historical
experience and adjusted for current market conditions and other factors, including expectations of future events
that are considered to be reasonable under the circumstances. If outcomes within the next financial period are
significantly different from assumptions, this could result in adjustments to carrying amounts of the asset or liability
affected.
Further explanation as to estimates and assumptions made by the Group can be found in the notes to the financial
statements:
Areas of judgement and estimation Note Key estimates
Inventories 3.1.3 Inventory provision
Leases 3.4 Incremental borrowing rate
C
limate related risks
The Group monitors its exposure to Climate-related risks and reviews its Climate-related risk assessment annually.
As part of this annual assessment, we have not identified any material impacts requiring specific disclosure in the
financial statements. The identified climate-related risks and opportunities including both physical and transitional
impacts have been considered as part of the above critical accounting judgements and estimates.
Foreign currency translation
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the
dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions
and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign
currencies are recognised in the income statement, except when deferred in which case they are recognised in
other comprehensive income as qualifying cash flow hedges.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
2. Performance
13
Thi
s section reports on the results and performance of the Group, providing additional
information about individual items, including performance by operating segment, revenue,
expenses, taxation and earnings per share.
2.1 Seg
ment Information
An operating segment is a component of an entity that engages in business activities which earns revenue and
incurs expenses and for which the chief operating decision maker (CODM) reviews the operating results on a regular
basis and makes decisions on resource allocation. The Group has determined its CODM to be the group of
executives comprising the Managing Director, Chief Operating Officer, Chief Financial Officer and the Chief People
Officer.
The Group is organised into two reportable operating segments, namely homeware and sporting goods, reflecting
the different retail sectors within which the Group operates. The Company is considered not to be a reportable
operating segment. Eliminations and unallocated amounts as shown below are primarily attributable to the
Company. There were no inter-segment sales in the period (2023: Nil).
I
nformation regarding the operations of each reportable operating segment is included below. Segment profit
represents the profit earned by each segment and is extracted from the income statements associated with the two
trading subsidiary companies, Briscoes (New Zealand) Limited and The Sports Authority Limited (trading as Rebel
Sport). Earnings before interest and tax (EBIT) is a non-GAAP measure and used by CODM to assess the
performance of the operating segments. This measure should not be viewed in isolation, nor considered as a
substitute for measures reported in accordance with NZ IFRS. This non-GAAP financial measure may not be
comparable to similarly titled amounts reported by other companies.
For the period ended 26 January 2025
Homeware Sporting
goods
Eliminations/
Unallocated
Total Group
$000 $000 $000 $000
INCOME STATEMENT
Sales revenue 489,810 301,659 -791,469
Cost of goods sold (293,980) (177,948) -(471,928)
Gross profit 195,830 123,711 -319,541
Earnings before interest and tax 56,529 44,229 3,643 104,401
Finance income 1,121 4,239 767 6,127
Finance cost (10,271) (5,177) (3)(15,451)
Net finance costs (9,150) (938)764 (9,324)
Income tax expense (20,944) (12,133) (1,366) (34,443)
Net profit after tax 26,435 31,158 3,041 60,634
BALANCE SHEET ITEMS:
Assets 396,548 266,135 29,807
1.
692,490
Liabilities 264,082 142,631 (14,018) 392,695
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
2. Performance
14
OTHER SEGMENTAL ITEMS:
Acquisitions of property, plant and equipment,
intangibles and investments 53,106 5,055 -58,161
Depreciation and amortisation expense 23,022 12,776 -35,798
$000
1. Investment in equity securities
23,187
Intercompany eliminations
(22,650)
Other balances
29,270
29,807
For the period ended 28 January 2024
Homeware Sporting
goods
Eliminations/
Unallocated
Total Group
$000 $000 $000 $000
INCOME STATEMENT
Sales revenue 490,116 301,837 -791,953
Cost of goods sold (279,034) (177,157) - (456,191)
Gross profit 211,082 124,680 -335,762
Earnings before interest and tax 75,267 44,764 6,265 126,296
Finance income 1,418 4,024 767 6,209
Finance cost (10,178) (5,043) (3) (15,224)
Net finance costs (8,760) (1,019) 764 (9,015)
Income tax expense (18,873) (12,254) (1,933) (33,060)
Net profit after tax 47,634 31,491 5,096 84,221
BALANCE SHEET ITEMS:
Assets 379,270 282,560 59,326
1.
721,156
Liabilities 256,861 143,988 4,439 405,288
OTHER SEGMENTAL ITEMS:
Acquisitions of property, plant and equipment,
intangibles and investments 10,826 4,233 -15,059
Depreciation and amortisation expense 22,386 12,449 -34,835
$000
1.Investment in equity securities 37,829
Intercompany eliminations (7,432)
Other balances 28,929
59,326
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
2. Performance
15
2.2 Income and Expenses
R
evenue recognition
Revenue comprises the fair value of consideration received or receivable for the sale of goods and services, net of
Goods and Services Tax (GST), and discounts and after eliminating sales within the Group. Revenue is recognised
as follows:
Sales of goods - retail
For all sales, control is considered to pass to the customer at the point when the customer can use or otherwise
benefit from the goods and services. For in-store sales, control passes to the customer at point of sale. For
online sales, the order al ong with delivery to the customer are considered to comprise a single performance
obligation, therefore control is considered to pass to the customer on delivery of the goods. Retail sales are
predominantly by credit card, debit card or in cash.
R
ental income
Rental income (net of any incentives given to lessees) is recognised on a straight-line basis over the period of
the lease.
I
nterest income
Interest income is recognised on a time-proportionate basis using the effective interest method.
Dividend income
Dividend income is recognised when the right to receive the dividend is established.
P
rofit before income tax includes the following specific income and expenses:
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Income
Rental income 155 105
Dividends received 6 2,885
Insurance recovery 114 110
Gain on lease surrender -474
Expenses
Depreciation of property, plant and equipment 11,713 10,985
Amortisation of software costs 1,444 1,393
Depreciation of right-of-use assets 22,641 22,457
Interest on leases 15,448 15,220
Operating lease rental expense 37 56
Wages, salaries and other short-term benefits 97,399 99,133
Equity-based remuneration (refer also Note 6.2) 497 391
Amounts paid to auditors:
Statutory Audit 165 156
Half year review 55 47
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
2. Performance
16
2.3 Taxation
Current and deferred income tax
The income tax expense for the period is the tax payable on the current period’s taxable income based on the
income tax rate adjusted by changes in deferred tax assets and liabilities attributable to temporary differences
between the tax bases of assets and liabilities and their carrying amounts in the financial statements.
T
he current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at the
balance sheet date in New Zealand, being the country where the Group operates and generates taxable income.
The Group periodically evaluates positions taken in tax returns with respect to situations in which applicable tax
regulation is subject to interpretation. It establishes provisions where appropriate on the basis of amounts expected
to be paid to the tax authorities.
D
eferred income tax is provided in full, using the liability method, on temporary differences arising between tax
bases of assets and liabilities and their carrying amounts in the consolidated financial statements. Deferred income
tax is determined using tax rates (and laws) that have been enacted or substantially enacted by the balance sheet
date and are expected to apply when the related deferred income tax asset is realised or the deferred income tax
liability is settled.
D
eferred income tax assets are recognised to the extent that it is probable that future taxable profit will be available
against which the temporary differences can be utilised.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets and
liabilities and when the deferred tax balances relate to the same taxation authority. Current tax assets and liabilities
are offset when the entity has a legal enforceable right to offset and intends either to settle on a net basis or to
realise the asset and settle the liability simultaneously.
Goods and Services Tax (GST)
The income statement, statement of comprehensive income and statement of cash flows have been prepared so
that all components are stated exclusive of GST. All items in the balance sheet are stated net of GST, with the
exception of trade receivables and trade payables, which include GST invoiced.
2.3.1 Taxation – Income statement
The total taxation charge in the income statement is analysed as follows:
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
(a)Income tax expense
Current tax expense:
Current tax 26,887 33,383
Adjustments for prior periods 967 1,245
27,854 34,628
Deferred tax expense:
Decrease/(increase) in future tax benefit current period 161 (309)
Tax effect of legislative changes
1.
7,374 -
Adjustments for prior periods (946)(1,259)
6,589 (1,568)
Total income tax expense 34,443 33,060
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
2. Performance
17
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
(b) Reconciliation of income tax expense to tax rate applicable to profits
Profit before income tax expense 95,077 117,281
Tax at the corporate rate of 28% (2024: 28%) 26,622 32,839
Tax effect of amounts which are either non-deductible or non-
assessable in calculating taxable income: 426 235
Tax effect of legislative changes
1.
7,374 -
Prior period adjustments 21 (14)
Total income tax expense 34,443 33,060
1. During the year, the New Zealand government passed legislation to remove commercial building depreciation for tax purposes.
As a result of the legislation change, the deferred tax liabilities have increased by $7,373,537 with a corresponding increase in tax
expense of $7,373,537 as the tax base of the Company’s buildings has reduced to nil
.
The Group has no tax losses (2024: Nil) and no unrecognised temporary differences (2024: Nil).
2.
3.2 Taxation – Balance sheet
(a) Deferred Taxation
The following are the major deferred taxation liabilities and assets recognised by the Group and movements
thereon during the current and prior period:
Depreciation Provisions
Derivative
financial
instruments
Right of use
asset
Lease
liability Total
$000 $000 $000 $000 $000 $000
At 29 January 2023 191 4,149 727 (68,236) 79,791 16,622
Recognised in the income statement 181 661 -(453) 1,179 1,568
Recognised in equity -(57) 911 - - 854
Recognised in other comprehensive
income - - (1,735) - - (1,735)
At 28 January 2024 372 4,753 (97)(68,689) 80,970 17,309
Recognised in the income statement (7,007) (304) -4,215 (3,493) (6,589)
Recognisd in equity -48 469- - 517
Recognised in other comprehensive
income - - (1,247) - - (1,247)
At 26 January 2025 (6,635) 4,497 (875) (64,474) 77,477 9,990
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
2. Performance
18
(b) T
axation payable
The following is the analysis of the movements in the taxation payable balance during the current and prior period:
2.
3.3 Imputation credits
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Imputation credits available for use in subsequent
accounting periods 145,980 142,436
The above amounts represent the balance of the imputation account as at the end of the reporting period, adjusted
for:
•Imputation credits that will arise from the payment of the provision for income tax,
•Imputation debits that will arise from the payment of dividends recognised as liabilities at the reporting date, and
•Imputation credits that will arise from the receipt of dividends recognised as receivables at the reporting date.
T
he consolidated amounts include imputation credits that would be available to the Company if subsidiaries paid
dividends.
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Movements:
Balance at beginning of period (8,316) (11,308)
Current tax (27,854) (34,628)
Tax paid 30,488 37,195
Foreign investor tax credit (FITC) 435 425
Balance at end of period (5,247) (8,316)
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
2. Performance
19
2
.4 Earnings Per Share
Earnings per share (EPS) is the amount of post-tax profit attributable to each share.
B
asic EPS is computed by dividing the net profit attributable to shareholders by the weighted average number of
ordinary shares on issue during the period.
Diluted EPS adjusts for any commitments the Group has to issue shares in the future that would decrease the Basic
EPS. These are in the form of performance rights. Diluted EPS is therefore computed by dividing the net profit
attributable to shareholders by the weighted average number of ordinary shares on issue during the period, adjusted
to include the potentially dilutive effect if performance rights to issue ordinary shares were exercised and converted
into shares.
Period ended Period ended
26 January 2025 28 January 2024
Net profit attributable to shareholders
$000 60,634 84,221
Basic
Weighted average number of ordinary shares on issue (thousands) 222,787 222,756
Basic earnings per share 27.2 cents 37.8 cents
Diluted
Weighted average number of ordinary shares on issue adjusted for
performance rights issued but not exercised (thousands) 223,208 223,070
Diluted earnings per share 27.2 cents 37.8 cents
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
3.Operating Assets and Liabilities
20
This section reports the assets used to generate the Group’s trading performance and the
liabilities incurred as a result. Liabilities relating to the Group’s financing activities are addressed
in note 5. Assets and liabilities in relation to deferred taxation and taxation payable are shown in
note 2.3. The carrying amounts of financial assets and liabilities are equivalent to their fair value
unless otherwise stated.
3.1 Wor
king Capital
Working capital represents the assets and liabilities the Group generates through its trading activity. The Group
therefore defines working capital as cash, trade and other receivables, inventories and trade and other payables.
3.1.1 Cash and cash equivalents
Cash and cash equivalents include cash on hand, deposits held at call with financial institutions and other short-
term, highly liquid investments with original maturities of three months or less, that are readily convertible to known
amounts of cash and that are subject to an insignificant risk of changes in value.
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Cash at bank or on hand 142,401 175,441
As
at 26 January 2025 the Group held foreign currency equivalent to NZ$1. 473 million (2024 : NZ$1.820 million)
which is included in the table above. The foreign currency in which the Group deals primarily is the US Dollar.
3.1.2 Trade and other receivables
Trade receivables arise from sales made to customers on credit or through the collection of purchasing rebates
from suppliers not otherwise deducted from suppliers’ payable accounts. All rebates are deducted from the cost of
inventory. Trade receivables are recognised initially at the value of the invoice sent to the customer (fair value) and
subsequently at the amounts considered recoverable (amortised cost). Trade receivable balances are reviewed on
an on-going basis.
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Trade receivables 1,645 1,502
Prepayments 3,242 3,268
Other receivables 1,943 2,968
Total trade and other receivables 6,830 7,738
No interest is charged on trade receivables.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
3.Operating Assets and Liabilities
21
3.1.3 Inventories
Inventories are stated at the lower of cost and net realisable value. Cost is determined using a weighted average
method and includes expenditure incurred in acquiring the inventories and bringing them to their existing location
and condition. Net realisable value is the estimated selling price in the ordinary course of business, less the
estimated costs necessary to make the sale.
T
he Group assesses the likely residual value of inventory. Stock provisions are recognised for inventory which is
expected to sell for less than cost and also for the value of inventory likely to have been lost to the business
through shrinkage between the date of the last applicable stocktake and balance date. In recognising the provision
for inventory, judgement has been applied by considering a range of factors including historical results, current
trends and specific product information from buyers.
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Finished goods 103,992 110,293
Inventory provisions and adjustments (4,296) (5,425)
Net inventories 99,696 104,868
During the period the Group recognised $459.6 million (2024: $445.9 million) of inventory as an
expense within cost of goods sold.
3.
1.4 Trade and other payables
Trade and other payable amounts represent liabilities for goods and services provided to the Group prior to the
end of a financial period, which are unpaid.
T
rade payables
Trade payables are recognised at the value of the invoice received from a supplier (fair value). The carrying value
of trade payables is considered to approximate fair value as the amounts are unsecured and are usually paid within
60 days of recognition.
E
mployee entitlements
Wages and salaries, annual leave and sick leave
Liabilities for wages and salaries, including non-monetary benefits, annual leave and accumulating sick leave
expected to be settled within 12 months of the reporting date are recognised in other payables in respect of
employees' services up to the reporting date and are measured at the amounts expected to be paid when the
liabilities are settled. Liabilities for non-accumulating sick leave are recognised when the leave is taken and
measured at the rates paid or payable. The liability for employee entitlements is carried at the present value of the
estimated future cash flows.
B
onus plans
A liability is recognised for bonuses payable to employees where a contractual obligation arises for an agreed level
of payment dependent on both company and individual performance criteria.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
3.Operating Assets and Liabilities
22
L
ong service leave
The liability for long service leave is recognised as a non-current liability and measured as the present value of
expected future payments to be made in respect of services provided by employees up to the reporting date using
the projected unit credit method. Consideration is given to expected future wage and salary levels, history of
employee departure rates and periods of service. Expected future payments are discounted using market yields at
the reporting date on government bonds with terms to maturity that match, as closely as possible, the estimated
future cash outflows.
P
rovisions
A provision is recognised if, as a result of a past event, the Group has a present legal or constructive obligation that
can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the
obligation.
Provisions relate to returns in relation to sales of goods directly imported by the Group and are expected to be fully
ut
ilised within the next twelve months. Provisions relating to inventory, receivables and employee benefits have
been treated as part of those specific balances. There are no other provisions relating to these financial statements.
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Trade payables 67,175 65,942
Employee entitlements 12,444 19,045
Other payables and accruals 30,926 22,404
Provisions 167 142
Total trade and other payables 110,712 107,533
Shown in balance sheet as:
Current liabilities 109,301 106,292
Non-current liabilities 1,411 1,241
Total trade and other payables 110,712 107,533
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
3.Operating Assets and Liabilities
23
3.2 Property, Plant and Equipment
All property, plant and equipment is stated at historical cost less depreciation and any impairment adjustments.
Historical cost includes expenditure that is directly attributable to the acquisition of property, plant and equipment.
Costs are included in an asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is
probable that future economic benefits associated with an item will flow to the Group and the cost of an item can be
measured reliably.
A
ssets’ residual values and useful lives are reviewed, and adjusted if appropriate, at each balance date.
A
n asset’s carrying amount is written down immediately to its recoverable amount if its carrying amount is greater
than its estimated recoverable amount.
G
ains and losses on disposals of assets are determined by comparing proceeds with carrying amounts. These
gains and losses are included in the income statement
.
Land
is not depreciated. Depreciation on other assets is calculated using the straight-line method to allocate their
cost, net of their estimated residual values, over their estimated useful lives, as follows:
- Freehold buildings33 years
- Plant and equipment3 - 15 years
Property, plant and equipment is reviewed whenever events or changes in circumstances indicate that the carrying
amount may not be recoverable. An impairment loss is recognised for the amount by which an asset’s carrying
amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs to
sell, or value in use.
The Group assesses whether there are indications, for example loss-making stores, for certain trigger events which
may indicate that an impairment in property, plant and equipment values exist at balance date.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
3.Operating Assets and Liabilities
24
Land and
buildings
Plant and
equipment Total
$000 $000 $000
At 29 January 2023
Cost 105,883 97,515 203,398
Accumulated depreciation (12,161) (60,945) (73,106)
Net book value 93,722 36,570 130,292
Period ended 28 January 2024
Opening net book value 93,722 36,570 130,292
Additions 5,613 7,969 13,582
Disposals -(79) (79)
Depreciation charge (2,961) (8,024) (10,985)
Closing net book value 96,374 36,436 132,810
At 28 January 2024
Cost 111,497 101,076 212,573
Accumulated depreciation (15,123) (64,640) (79,763)
Net book value 96,374 36,436 132,810
Period ended 26 January 2025
Opening net book value 96,374 36,436 132,810
Additions 31,963 24,503 56,466
Disposals -(43) (43)
Depreciation charge (2,937) (8,776) (11,713)
Closing net book value 125,400 52,120 177,520
At 26 January 2025
Cost 143,460 124,213 267,673
Accumulated depreciation (18,060) (72,093) (90,153)
Net book value 125,400 52,120 177,520
Capital commitments Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Capital commitments in relation to property, plant and
equipment at balance date not provided for in the
financial statements 61,190
1.
11,419
1.$60
.4 million in relation to the construction and automation of the Group’s new distribution centre at Drury, South Auckland.
3.3 Intangible Assets
Intangible assets are non-physical assets used by the Group to operate the business. Software costs have a finite
useful life. Software costs which can be capitalised
are amortised on a straight-line basis over the estimated useful
economic life of 2 to 5 years. Software-as-a-service costs are expensed when they are incurred.
S
oftware is the only intangible asset recorded in the financial statements. All software has been acquired externally.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
3.Operating Assets and Liabilities
25
3.4 Leases
Right-of-use assets and lease liabilities arising from a lease are initially measured on a present value basis. Lease
liabilities include the net present value of the remaining lease payments. Lease payments to be made under
reasonably certain extension options are also included in the measurement of the liabilities.
Right-of-use assets are initially recognised on commencement of lease at cost, comprising the initial amount of the
lease liabilities less any lease incentives received. Right-of-use assets are subsequently depreciated using the
straight-line method from the commencement date to the end of the lease term. In considering the lease term, the
Group applies judgement in determining whether it is reasonably certain that an extension or termination option will
be exercised.
Both right-of-use assets and lease liabilities are discounted applying interest rate implicit in the lease, or if this
cannot be determined, the incremental borrowing rate at the commencement of the lease. To determine the
incremental borrowing rate the Group have applied a blended secured and unsecured borrowing rate. For the
secured rate the Group have utilised third party financing options and adjusted for an appropriate credit spread
which reflects the terms of the lease and the type of asset leased.
Extension options are included in a number of property leases across the Group. These are used to maximise
operational flexibility in terms of managing the assets used in the Group’s operation. Extension options held are
exercisable only by the Group and not by the respective lessor. During the period the Group recognised all
extension options (2023: all recognised).
The following tables show the movements and analysis in relation to the right-of-use assets and lease liabilities,
created on the adoption of NZ IFRS 16:
3.4.1 Right-of-use assets:
Land and Buildings
$000
Period ended 28 January 2024
Opening carrying amount 243,701
Additions 27,273
Surrender (3,199)
Depreciation for the period (22,457)
Closing carrying amount 245,318
At 28 January 2024
Cost 351,412
Accumulated depreciation (106,094)
Carrying amount 245,318
Period ended 26 January 2025
Opening carrying amount 245,318
Additions 7,586
Surrender -
Depreciation for the period (22,641)
Closing carrying amount 230,263
At 26 January 2025
Cost 357,977
Accumulated depreciation (127,714)
Carrying amount 230,263
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
3.Operating Assets and Liabilities
26
3.4.2 Lease liabilities:
As at As at
26 January 2025 28 January 2024
$000 $000
Opening value 289,180 284,969
Additions 7,586 27,273
Surrender - (3,673)
Interest for the period 15,448 15,220
Lease payments made (35,512) (34,609)
Total lease liabilities 276,702 289,180
3.4.3 Lease liabilities maturity analysis:
Minimum lease payments Interest Present value
$000 $000 $000
Within one year 35,488 (14,814) 20,674
One to five years 134,098 (48,359) 85,739
Beyond five years 229,725 (59,436) 170,289
Total 399,311 (122,609) 276,702
Current 20,674
Non-current 256,028
Total 276,702
3.4.4 Lease related expenses included in the income statement:
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Depreciation 22,641 22,457
Short-term leases 37 56
Interest on leases 15,448 15,220
Total 38,126 37,733
3.4.5 Lease payments included in the cashflow statement:
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Total cash outflow in relation to leases 35,512 34,609
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
4.Investments
27
This section explains how the Group records investments made in listed securities.
4
.1 Investment in Equity Securities
D
uring 2015, 2018 and 2019 Briscoe Group Limited acquired a total of 48,007, 465 shares in KMD Brands
Limited for a cost of $87,853,048. This holding represented a 6.75% ownership in KMD Brands Limited as at 26
January 2025.
T
hese shares are equity investments, quoted in the active market, which the Group has elected to designate as
a financial asset at fair value through other comprehensive income (FVOCI). An adjustment was made at period
end to reflect the fair value of these shares as at 26 January 2025
1.
.
$000
At 29 January 2023 50,888
Additions -
Change in fair value credited to other reserves (15,842)
At 28 January 2024 35,046
Additions -
Change in fair value credited to other reserves (14,643)
At 26 January 2025 20,403
1. Fair value determined to be $0. 425 per share as per NZX closing price of KMD Brands Limited as
at 24 January 2025 (2024 : $0. 73) (Level 1 in the fair value hierarchy).
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
5.Financing and Capital Structure
28
This section reports on the Group’s funding sources and capital structure, including its balance
sheet liquidity and access to capital markets.
5.1 Inte
rest Bearing Liabilities
B
orrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are subsequently
measured at amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption
amount is recognised in the income statement over the period of the borrowings using the effective interest method.
Borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of the
liability for at least 12 months after the balance sheet date.
T
here were no interest bearing liabilities as at 26 January 2025 (2024: Nil).
N
et finance cost
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Interest income 6,127 6,209
Interest expense - leases (15,448) (15,220)
Other finance cost (3) (4)
Net finance cost (9,324) (9,015)
5.2 Financial Risk Management
The Group’s activities expose it to various financial risks including credit risk, liquidity risk and market risk (such as
currency risk and equity price risk). The Group’s overall risk management programme seeks to minimise potential
adverse effects on the Group’s financial performance. The Group uses certain derivative financial instruments to
hedge certain risk exposures.
5.
2.1 Derivative financial instruments
D
erivatives are recognised initially at fair value on the date a derivative contract is entered into and are
subsequently re-measured to their fair value. The method of recognising the resulting gain or loss depends on
whether the derivative is designated as a hedging instrument, and if so, the nature of the item being hedged. The
Group designates certain derivatives as hedges of highly probable forecast transactions (cash flow hedges).
At the inception of a transaction the economic relationship between hedging instruments and hedged items, and the
risk management objective and strategy for undertaking various hedge transactions, are documented. An
assessment is also documented, both at hedge inception and on an on-going basis, of whether the derivatives that
are used in hedging transactions have been and will continue to be effective in offsetting changes in fair values or
cash flows of hedged items.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
5.Financing and Capital Structure
29
Cash flow hedge
The effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges,
is recognised in other comprehensive income. The gain or loss relating to the ineffective portion is recognised
immediately in the income statement within cost of goods sold.
A
mounts accumulated in other comprehensive income are recycled in the income statement in the periods when
the hedged item will affect profit or loss (for instance when the forecast purchase that is hedged takes place).
However, when a forecast transaction that is hedged results in the recognition of a non-financial asset (for example,
inventory) or a non-financial liability, the gains and losses previously deferred in other comprehensive income are
transferred from the cash flow hedge reserve and included in the measurement of the initial cost or carrying amount
of the asset or liability.
When a hedging instrument expires or is sold or terminated, or when a hedge no longer meets the criteria for hedge
accounting, any cumulative gain or loss existing in other comprehensive income at that time remains in other
comprehensive income and is recognised when the forecast transaction is ultimately recognised in the income
statement. When a forecast transaction is no longer expected to occur, the cumulative gain or loss that was
reported in other comprehensive income is immediately transferred to the income statement within cost of goods
sold.
Derivatives that do not qualify for hedge accounting
Certain derivative instruments do not qualify for hedge accounting. Changes in the fair value of these derivative
instruments are recognised immediately in the income statement within administration expenses.
5.2.2 Credit risk
Credit risk refers to the risk of a counterparty failing to discharge an obligation. In the normal course of its business,
Briscoe Group incurs credit risk from trade receivables and transactions with financial institutions. The Group
places its cash, short-term investments and derivative financial instruments with only high-credit-rated, Board-
approved financial institutions. Sales to retail customers are settled predominantly in cash or by using major credit
cards. Less than 1% of reported sales give rise to trade receivables. The Group holds no collateral over its trade
receivables.
5.2.3 I
nterest rate risk
The Group has no long-term interest-bearing liabilities but does have interest rate risk exposure from periodic short-
term drawdowns of established funding facilities and placements of short-term deposits, as operating cash flows
necessitate. The Group’s short to medium term liquidity position is monitored daily and reported to the Board
monthly.
5.2.4 Liquidity risk
Liquidity risk is the risk that an unforeseen event or miscalculation in the required liquidity level will result in the
Group foregoing investment opportunities or not being able to meet its obligations in a timely manner, and therefore
gives rise to lower investment income or to higher borrowing costs than otherwise. Prudent liquidity risk
management includes maintaining sufficient cash, and ensuring the availability of adequate amounts of funding
from credit facilities.
The Group’s liquidity exposure is managed by ensuring sufficient levels of liquid assets and committed facilities are
maintained based on regular monitoring of a rolling 3-month daily cash requirement forecast. The Group’s liquidity
position fluctuates throughout the period, being strongest immediately after the end of the period. The months
leading up to Christmas trading put the greatest strain on Group cash flows due to the build-up of inventory as well
as the interim dividend payment. The Group operates well within its available funding facilities.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
5.Financing and Capital Structure
30
The table below analyses the Group’s financial liabilities and gross-settled forward foreign exchange contracts into
relevant maturity groupings based on the remaining period from the balance sheet date to the contractual maturity
date. The cash flow hedge ‘outflow’ amounts disclosed in the table are the contractual undiscounted cash flows
liable for payment by the Group in relation to all forward foreign exchange contracts in place at balance date. The
cash flow hedge ‘inflow’ amounts represent the corresponding injection of foreign currency back to the Group as a
result of the gross settlement on those contracts, converted using the forward rate at balance date. The carrying
value shown is the net amount of derivative financial liabilities and assets as shown in the balance sheet. Changes
in the carrying value affect profit when the underlying inventory to which the derivatives relate, is sold.
Trade and other payables are shown at carrying value in the table. No discounting has been applied as the impact
of discounting is not significant.
An analysis detailing remaining contractual maturities for lease liabilities is shown in Note 3.4.3.
As at 26 January 2025
3 months
or less
3 – 6
months
6 – 9
months
9 – 12
months Total
Carrying
Value
$000 $000 $000 $000 $000 $000
Trade and other payables (83,299) - - - (83,299) (83,299)
Forward foreign exchange contracts
Cash flow hedges:
-outflow (28,352) (12,141) (2,070) (4,621) (47,184)
-inflow 30,142 13,106 2,180 4,780 50,208
-Net 1,790 965 110 159 3,024 3,024
As at 28 January 2024
3 months
or less
3 – 6
months
6 – 9
months
9 - 12
months Total
Carrying
Value
$000 $000 $000 $000 $000 $000
Trade and other payables (84,516) - - - (84,516) (84,516)
Forward foreign exchange contracts
Cash flow hedges:
-outflow(14,724) (17,474) (12,540) (401)(45,139)
-inflow 14,732 17,597 12,690 409 45,428
-Net 8 123 150 8 289 289
The cash flow hedges inflow amounts use the forward rate at balance date.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
5.Financing and Capital Structure
31
5.2.5 Market risk
Equity price risk
The Group is exposed to equity price risk arising from the investment held in KMD Brands Limited, classified in the
bal
ance sheet as investment in equity securities. (Refer note 4.1).
Foreign exchange risk
The Group is exposed to foreign exchange risk arising from currency exposures primarily to the US dollar, in
r
espect of purchases of inventory directly from overseas suppliers.
The Group’s foreign exchange risk is managed in accordance with Board-approved Group Treasury Risk
Management Policies. The current policy requires hedging of both committed and forecasted foreign currency
payment levels across the current and subsequent three calendar quarters. The policy is to cover 100% of
committed purchases and lower levels of forecasted purchases depending on which quarter the forecasted
exposure relates to. Hedging is reviewed regularly and reported to the Board monthly.
The Group uses forward foreign exchange contracts and maintains short-t
erm holdings of foreign currencies in
foreign denominated currency bank accounts, with major financial institutions only, to hedge its foreign exchange
risk in anticipation of future purchases.
The following table shows the fair value of forward foreign exchange contracts held by the Group as derivative
f
inancial instruments at balance date:
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Current assets
Forward foreign exchange contracts 3,058 548
Total current derivative financial instrument assets 3,058 548
Current liabilities
Forward foreign exchange contracts 34 259
Total current derivative financial instrument
liabilities 34 259
The contracts are subject to an enforceable master netting arrangement, which allows for net settlement of the
relevant assets and liabilities. For financial reporting purposes these are not offset.
Forward foreign exchange contracts – cash flow hedges
Where forward foreign exchange contracts have been designated and tested as an effective hedge the portion of
the gain or loss on the hedging instrument that is determined to be an effective hedge is recognised directly in other
comprehensive income. These gains or losses are released to the income statement at various dates over the
subsequent financial period as the inventory for which the hedge exists, is sold.
The fair value of these contracts is determined by using valuation techniques as they are not traded in an active
mar
ket. The valuation techniques maximise the use of observable market data where it is available and rely as little
as possible on entity specific estimates. The fair value is determined by mark-to-market valuations using forward
exchange. These derivatives have been determined to be within level 2 of the fair value hierarchy as all significant
inputs required to ascertain their fair value are observable.
Forward foreign exchange contracts are used for hedging committed or highly probable forecast purchases of
inventory for the ensuing financial period. The contracts are timed to mature when major shipments of inventory are
scheduled to be dispatched and the liability settled. The cash flows are expected to occur at various dates within
one year from balance date.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
5.Financing and Capital Structure
32
At balance date these contracts are represented by assets of $3,058,2 84 (2024 : $548,213) and liabilities of
$34,190 (2024: $259,377) and together are included in equity as part of the cash flow hedge reserve, net of
deferred tax, as a net gain of $2,177,347 (2024 : net gain $ 207,962). The cash flow hedge reserve also consists of
gains and losses, net of deferred tax, from foreign currencies used as hedges, as a net gain of $72,568 (2024: net
gain of $41,557). The total of these net gains and losses amount to a net gain of $2,249,915 (2024: net gain of
$249,519).
Other comprehensive income reported in the consolidated statement of comprehensive income for the year ended
28 January 2024 has been amended to remove the component of cash flow hedge reserve which represented
transfers of hedging gains/losses upon settlement of forward contracts net of tax as separately disclosed in the
statement of changes in equity ($2,341,903). The change is limited to the statement of changes in equity and other
comprehensive income and has no impact on profit, cash flow or the balance sheet of the Group.
When forward foreign exchange contracts are not designated and tested as an effective hedge, the gain or loss on
t
he forward foreign exchange contract is recognised in the income statement.
A
t balance date there are no such contracts in place (2024: Nil).
5.2.6 Sensitivity analysis
Based on historical movements and volatilities and review of current economic commentary the following
movements are considered reasonably possible over the next 12 month period:
•A shift of -7.5% / +7.5% (2024: -5% / +10%) in the NZD against the USD, from the period-end rate of 0.5703
(2024: 0.6106),
•A shift of -7.5% / +7.5% (2024: N/A) in the NZD against the EUR, from the period-end rate of 0.54559 (2024:
N/A),
•A shift of -1.25% / +0.25% (2024: -0.25% / +0.25%) in market interest rates from the period-end weight
ed
av
erage deposit rate of 4.56% (2024: 5.73%),
•A shift of -10% / +20% (2024: -3 0% / +10%) in the NZX share price of KMD Brands Limited (formerly
Kathmandu Holdings Ltd) from the period-end closing share price of $0. 425 (2024: $0. 73).
If these movements were to occur, the positive / (negative) impact on consolidated profit after tax and consolidated
equity for each category of financial instrument held at balance date is presented below:
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
5.Financing and Capital Structure
33
A
s at 26 January 2025
Interest rate Foreign exchange rate Equity price
Carrying -1.25%+0.25%-7.5%+7.5%-10%+20%
amount Profit Equity Profit Equity EquityEquityEquity Equity
$000 $000 $000 $000 $000 $000 $000 $000 $000
Financial Assets:
Cash and cash
equivalents
1.
142,401 (1,268) (1,268) 254 254 85 (73)--
Derivatives – designated
as cashflow hedges
(Forward foreign
exchange contracts)
2.
3,058 - - - - 2,701 (2,321) - -
Investment in equity
securities
3.
20,403 - - - - - - (2,040) 4,081
Financial Liabilities:
Derivatives – designated
as cashflow hedges
(Forward foreign
exchange contracts)
2.
34 - - - - 227 (200)--
Total increase /
(decrease)
(1,268) (1,268) 254 254 3,013 (2,594) (2,040) 4,081
Receivables and payables have not been included above as they are denominated in NZD and are non-interest
bearing and therefore not subject to market risk.
As at 28 January 2024
Interest rate Foreign exchange rate Equity price
Carrying -0.25%+0.25%-5%+10%-30%+10%
amount Profit Equity Profit Equity Equity EquityEquity Equity
$000 $000 $000 $000 $000 $000 $000 $000 $000
Financial Assets:
Cash and cash
equivalents
1.
175,441 (313)(313)313 313 69 (119)--
Derivatives – designated
as cashflow hedges
(Forward foreign
exchange contracts)
2.
548 - - - - 1,846 (991)--
Investment in equity
securities
3.
35,046 - - - - - - (10,514) 3,505
Financial Liabilities:
Derivatives – designated
as cashflow hedges
(Forward foreign
exchange contracts)
2.
259 - - - - 313 (1,549) - -
Total increase /
(decrease)
(313)(313)313 313 2,228 (2,659) (10,514) 3,505
Receivables and payables have not been included above as they are denominated in NZD and are non-interest
bearing and therefore not subject to market risk.
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
5.Financing and Capital Structure
34
1.Cash and cash equivalents include deposits at call which are at floating interest rates.
2.Derivatives designated as cashflow hedges are foreign exchange contracts used to hedge against the NZD:USD foreign
exchange risk arising from foreign denominated future purchases. There is no profit or loss sensitivity as the hedges are
100% effective.
3.Investment in equity securities represents shares held in KMD Brands Limited. There is no profit or loss sensitivity as
impacts from changes in KMD Brands Limited’s share price are accounted for through equity.
5.3 Equity
5.3.1 Capital risk management
The Group’s capital comprises contributed equity, reserves and retained earnings.
T
he Group’s objective when managing capital is to achieve a balance between maximising shareholder wealth and
ensuring the Group is able to operate competitively with the flexibility to take advantage of growth opportunities as
they arise. In order to meet these objectives the Group may adjust the amount of dividend payments made to
shareholders and/or seek to raise capital through debt and/or equity. There are no specific banking or other
arrangements which require the Group to maintain specified equity levels.
5.3.2 Share capital
Share capital comprises ordinary shares only. Incremental costs directly attributable to the issue of new shares or
options are shown in equity as a deduction, net of tax, from the proceeds.
All shares on issue are fully paid. All ordinary shares rank equally with one vote attached to each fully paid ordinary
s
hare and have equal dividend rights and no par value.
Contributed equity – ordinary shares
No. of authorised shares Share capital
Period ended Period ended Period ended Period ended
26 January 2025 28 January 2024 26 January 2025 28 January 2024
Shares Shares $000 $000
Opening ordinary shares 222,765,778 222,645,586 62,344 62,136
Issue of ordinary shares arising from the
vesting of performance rights 24,234 120,192 91
1.
208
1.
Balance at end of period 222,790,012 222,765,778 62,435 62,344
1. When performance rights vest, the amount in the equity-based remuneration reserve relating to those performance
rights vested is transferred to share capital. The amount transferred for the 24,234 shares i ssued during the period
ended 26 January 2025 was $90,992 (2024: $207,634 for the 120,192 shares issued).
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
5.Financing and Capital Structure
35
5.
3.3 Dividends
Provision is made for the amount of any dividend declared on or before the balance date but not distributed at
balance date
.
Period ended Period ended Period ended Period ended
26 January 2025 28 January 2024 26 January 2025 28 January 2024
Cents per share Cents per share $000 $000
Interim dividend for the period ended 26 January 2025 12.50 -27,849 -
Final dividend for the period ended 28 January 2024 16.50 -36,760 -
Interim dividend for the period ended 28 January 2024 -12.50-27,846
Final dividend for the period ended 29 January 2023 -16.00-35,642
29.00 28.50 64,609 63,488
All dividends paid were fully imputed (refer also to Note 2.3.3 for imputation credits available for use in subsequent
periods). Supplementary dividends of $434,936 (2024 : $424,981) were provided to shareholders not tax resident in
New Zealand, for which the Group received a Foreign Investor Tax Credit entitlement.
On 11 March 2025 the Directors resolved to provide for a final dividend to be paid in respect of the period ended 26
January 2025. The dividend will be paid at a rate of 10.0 cents per share for all shares on issue as at 20 March
2025, with full imputation credits attached.
5.3.4 Reserves and retained earnings
Cashflow hedge reserve
The hedging reserve is used to record gains and losses on a hedging instrument in a cash flow hedge that are
recognised directly in other comprehensive income, as described in the accounting policy in section 5.2. The
amounts are recognised as profit or loss when the associated hedged transaction affects profit or loss. ( Refer also
to the consolidated statement of changes in equity).
E
quity-based remuneration reserve
The equity-based remuneration reserve is used to recognise the fair value of performance rights granted but not
exercised, lapsed or forfeited. Amounts are transferred to share capital when vested performance rights are
exercised. (Refer also to the consolidated statement of changes in equity and note 6.2).
Other reserves
Other reserves represents the adjustment made at balance date to reflect the fair value of the investment in KMD
Brands Limited. (Refer also to the consolidated statement of changes in equity and note 4.1).
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
6.Other Notes
36
6.1 Related Party Transactions
6.1.1 Parent and ultimate controlling party
Briscoe Group Limited is the immediate parent, ultimate parent and controlling party for all companies in the
Group.
D
uring the period the Company advanced and repaid loans to its subsidiaries by way of internal current
accounts. In presenting the financial statements of the Group, the effect of transactions and balances
between fellow subsidiaries and those with the Company have been eliminated. No interest is charged on
internal current accounts.
The G
roup undertook transactions with the following related parties as detailed below:
•The RA Duke Trust, of which RA Duke is a trustee, as owner of the Rebel Sport premises at Panmure,
Auckland, received rental payments of $732,500 (2024: $722,8 97) from the Group, under
an
agr
eement to lease premises to The Sports Authority Limited (trading as Rebel Sport). The remaining
non-cancellable term of this lease is 1.2 years (2024: 2.2 years) with a payment commitment of
$854,583 (2024: $1,587,083).
•Kein Geld (NZ) Limited, an entity associated with RA Duke, received rental payments of $600,634
(2024: $600,634) as owner of the Briscoes Homeware premises at Wairau Park, Auckland, under a
n
agr
eement to lease premises to Briscoes (NZ) Limited. The remaining non-cancellable term of this
lease is 7.6 years (2024: 8.6 years) with a payment commitment of $5,033,296 (2024: $5, 633,930).
•Kein Geld Westgate Limited, an entity associated with RA Duke, forms part of an unincorporated joint
venture known as Westgate Lifestyle Centre Joint Venture. The joint venture owns Westgate Lifestyl
e
Shopping Centre at Westgate, Auckland, which includes the Briscoes Homeware and Rebel Sport
premises. Rental payments of $565,144 (2024: $423,858) were received under an agreement to lease
pr
emises to Briscoes (NZ) Limited. The remaining non-cancellable term of this lease is 0.3 years
(2024: 1.3 years) with a payment commitment of $141,286 (2024: $706,431). The joint venture als
o
r
eceived rental payments of $301,253 (2024: $225,939) under an agreement to lease premises to The
Sports Authority Limited (trading as Rebel Sport). The remaining non-cancellable term of this lease is
0.3 years (2024: 1.3 years) with a payment commitment of $75,313 (2024: $376,566).
•The RA Duke Trust (including RA Duke Limited) received dividends of $49,754,251 (2024
:
$48,896
,419).
•P Duke, spouse of RA Duke, received payments of $65,000 (2024 : $65,000) in relation to her
employment as an overseas buying specialist with Briscoe Group Limited, and rental payments of
$968,512 (2024 : $968,512) as owner of the Briscoes Homeware premises at Panmure, Auckla
nd
under
an agreement to lease premises to Briscoes (NZ) Limited. The remaining non-cancellable ter
m
o
f this lease is 6.3 years (2024: 7.3 years) with a payment commitment of $6,343,751 (2024
:
$7,312, 2
63).
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
6.Other Notes
37
6.1.2 Key management personnel
Key management includes the Directors of the Company and those employees who the Company has
deemed to have disclosure obligations under subpart 6 of the Financial Markets Conduct Act 2013, namely
the Chief Financial Officer, the Chief Operating Officer and the Chief People Officer.
Key mana
gement compensation was as follows:
Period ended Period ended
26 January 2025 28 January 2024
$000 $000
Salaries and other short-term employee benefits 3,857 4,852
Equity-based remuneration 497 240
Directors’ fees 433 400
Total benefits 4,787 5,492
Key management did not receive any termination benefits during the period (2024: Nil).
Key management did not receive and are not entitled to receive any post-employment or long-term benefits
(2024: Nil).
Executives (excluding directors) included in key management received dividends of $3 23,709 (2024 :
$304,524) in relation to Briscoe Group shares held.
6.1.3 Directors’ fees and dividends
Directors received directors’ fees and dividends in relation to their personally held shares as detailed below:
Period ended
26 January 2025
Period ended
28 January 2024
Directors’ fees Dividends Directors’ fees Dividends
$000 $000 $000 $000
Executive Director
RA Duke - - - -
Non-Executive Directors
RPO’L Meo 163 -154-
AD Batterton 92 -82-
RAB Coupe 91 3 87 3
HJM Callaghan 87 -77-
433 3 400 3
The following Directors received dividends in relation to their non-beneficially held shares as detailed below:
Period ended
26 January 2025
Period ended
28 January 2024
$000 $000
Executive Director
RA Duke 49,754 48,896
Non-Executive Directors
RPO’L Meo 29 29
AD Batterton 8 6
RAB Coupe - -
HJM Callaghan --
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
6.Other Notes
38
6.2 Employee Equity-Based Remuneration
6.2.1 Equity settled performance rights
T
he Senior Executive Incentive Plan grants Group employees performance rights subject to performance
hurdles being met. The fair value of rights granted is recognised as an employee expense in the income
statement with a corresponding increase in the employee share-based payment reserve. The fair value is
measured at grant date and amortised over the vesting periods. When performance rights vest, the amount in
the share-based payments reserve relating to those rights are transferred to share capital. There is no
exercise price for these performance rights and there is no right to dividends during the vesting periods.
O
n 26 March 2019 the Board approved the Briscoe Group Senior Executive Incentive Plan to grant
performance rights to key senior management personnel as a long-term incentive programme. The seventh
tranche of performance rights were issued under this programme during the period.
Performance rights movements during the period are summarised below:
T
ranche Grant Date
Balance at
start
of period
(number)
Granted
during
the period
(number)
Vested
during
the period
(number)
Lapsed /
forfeited
during
the period
(number)
Balance at
the end
of period
(number)
4 15 Jun 2021 74,562 -(24,234)(50,328) -
5 5 Aug 2022 125,977 --(14,619) 111,358
6 3 Aug 2023 206,445 --(21,563) 184,882
7 22 Oct 2024 -298,135- - 298,135
406,984 298,135 (24,234) (86,510) 594,375
I
n each tranche the performance rights are subject to a combination of an absolute Total Shareholder Return
(TSR) growth hurdle and/or an EPS growth hurdle. EPS growth hurdle is considered a non-market condition.
The relative hurdle weighting for unvested tranches is shown in the table below:
Tranche Grant Date TSR Weighting EPS Weighting
5 5 Aug 2022 50% 50%
6 3 Aug 2023 50% 50%
7 22 Oct 2024 50% 50%
T
he proportion of performance rights subject to the absolute TSR growth hurdle which may vest is dependent
on Briscoe Group Limited’s TSR compound annual growth rate (CAGR) across a 3-year measurement
period. For each tranche that vests the rights are awarded on a straight-line basis dependent on the TSR
CAGR achieved. The percentage of TSR related performance rights vest according to the following
performance criteria for each unvested tranche:
% Vesting Tranche 5 Tranche 6 Tranche 7
0% < 5.7% CAGR < 10.8% CAGR < 9.0% CAGR
1% - 99% (Straight-line prorata)
=>9.0%, < 11.0% CAGR
50% = 5.7% CAGR = 10.8% CAGR
51% - 99% (Straight-line prorata) >5.7%, < 6.7% CAGR > 10.8%, < 11.8% CAGR
100% => 6.7% CAGR => 11.8% CAGR
=> 11.0% CAGR
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
6.Other Notes
39
T
he TSR performance is calculated across the following periods:
Tranche Performance Period
5 Announcement date of FY 2021/22 Result to announcement date of FY 2024/25 Result
6 Announcement date of FY 2022/23 Result to announcement date of FY 2025/26 Result
7 Announcement date of FY 2023/24 Result to announcement date of FY 2026/27 Result
T
he fair value of the TSR performance rights have been valued under a variant of the dividend adjusted
Binomial Options Pricing Model (BOPM). The fair value of TSR performance rights, along with the
assumptions used to simulate the future share prices are shown below:
Tranche 5 Tranche 6 Tranche 7
Fair value of TSR performance rights $143,287 $144,305 $354,483
Current price at grant date $5.56 $4.68 $5.06
Risk free interest rate 3.54% 5.22% 4.18%
Expected life (years) 2.75 2.62 2.40
Expected share volatility
1.
24% 22% 22%
1.Volatility considers the volatility of the Briscoe Group (BGP) NZD share price based on the average
weekly volatility over the last year (weekly data) as well as the average 90-day volatility for the past 3
years (measured on a daily basis).
T
he estimated fair value for each tranche of performance rights issued is amortised over the vesting period
from the grant date.
T
he proportion of performance rights subject to the EPS growth hurdle which may vest is dependent on
Briscoe Group Limited’s EPS compound annual growth rate (CAGR) across a 3-year measurement period.
For each tranche that vests the rights are awarded on a straight-line basis dependent on the EPS CAGR
achieved. The percentage of EPS related performance rights vest according to the following performance
criteria:
% Vesting Tranche 5 Tranche 6 Tranche 7
0% < 1.1% CAGR < -1.9% CAGR< 1.0% CAGR
1% - 99% (Straight-line prorata)
=>1.0%, < 4.0% CAGR
50% = 1.1% CAGR = -1.9% CAGR
51% - 99% (Straight-line prorata) > 1.1%, < 2.6% CAGR>-1.9%, < 0.4% CAGR
100% => 2.6% CAGR => 0.4% CAGR
=> 4.0% CAGR
T
he EPS performance is calculated across the following periods:
Tranche Performance period
5 FY 2024/25 EPS relative to FY 2021/22 EPS
6 FY 2025/26 EPS relative to FY 2022/23 EPS
7 FY 2026/27 EPS relative to FY 2023/24 EPS
T
he fair value of the EPS performance rights have been assessed as the Briscoe Group Limited’s share price
as at grant date less the present value of the dividends forecast to be paid prior to each vesting date. The fair
value of each EPS unvested performance right has been calculated to be $4.89, $4.00 and $4. 48 for tranche
5, tranche 6 and tranche 7, respectively.
The estimated fair value for each tranche of performance rights issued is amortised over the vesting period
Briscoe Group Limited
Notes to the Consolidated Financial Statements
For the 52-week period ended 26 January 2025
6.Other Notes
40
from grant date.
V
esting of performance rights also requires the employee to remain in employment with the Company during
the performance period. The Company has expensed in the income statement $496,627 (2024 : $390,873) in
relation to performance rights.
6.2.2 Equity-based remuneration reserve
Period ended
26 January 2025
Period ended
28 January 2024
$000 $000
Balance at beginning of period 701 575
Current period amortisation 497 391
Performance rights vested transferred to share capital (91) (208)
Performance rights lapsed/forfeited (230) -
Deferred tax on performance rights 48 (57)
Balance at end of period 925 701
6.3 Events After Balance Date
On 11 March 2025 the Directors resolved to provide for a final dividend to be paid in respect of the period
ended 26 January 2025. The dividend will be paid at a rate of 10.0 cents per share for all shares on issue as
at 20 March 2025, with full imputation credits attached (Note 5.3.3).
6.4 New Accounting Standards
T
he Group has applied the following standards and amendments for the first time in the preparation of these
consolidated financial statements.
•FRS-44 amendment - Disclosure of fees for audit firms’ services.
•IFRS Interpretations Committee agenda decision July 2024 - Disclosure of Revenues and Expenses
for Reportable Segments (IFRS 8).
The amendments listed above did not have any impact on the amounts recognised in the financial
statements, however the IFRS Interpretations Committee agenda decision required the Group to provide
enhanced segment disclosures.
C
ertain new accounting standards, amendments to accounting standards and interpretations have been
published that are not mandatory for the 26 January 2025 reporting period and have not been early adopted
by the Group. Other than NZ IFRS 18 these standards, amendments or interpretations are not expected to
have a material impact on the entity in the current or future reporting periods and on foreseeable future
transactions.
N
Z IFRS 18: Presentation and Disclosure in Financial Statements will be effective for annual reporting
periods beginning on or after 1 January 2027. This new standard, which is mandatory for the Group in the
2028 financial year, is expected to change the presentation of the Group’s consolidated income statement.
The Group will disclose more information in the future when a full assessment of the impact of the standard
has been completed.
Independent auditor’s report
To the shareholders of Briscoe Group Limited
Our opinion
In our opinion, the accompanying consolidated financial statements (the financial statements) of
Briscoe Group Limited (the Company), including its subsidiaries (the Group), present fairly, in all
material respects, the financial position of the Group as at 26 January 2025, its financial performance,
and its cash flows for the 52-week period then ended in accordance with New Zealand Equivalents to
International Financial Reporting Standards (NZ IFRS) and International Financial Reporting
Standards Accounting Standards (IFRS Accounting Standards).
What we have audited
The Group's financial statements comprise:
● the consolidated balance sheet as at 26 January 2025;
● the consolidated income statement for the 52-week period then ended;
● the consolidated statement of comprehensive income for the 52-week period then ended;
● the consolidated statement of changes in equity for the 52-week period then ended;
● the consolidated statement of cash flows for the 52-week period then ended; and
● the notes to the financial statements, comprising material accounting policy information and other
explanatory information.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (New Zealand) (ISAs
(NZ)) and International Standards on Auditing (ISAs). Our responsibilities under those standards are
further described in the Auditor’s responsibilities for the audit of the financial statements section of our
report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Independence
We are independent of the Group in accordance with Professional and Ethical Standard 1 International
Code of Ethics for Assurance Practitioners (including International Independence Standards) (New
Zealand) (PES 1) issued by the New Zealand Auditing and Assurance Standards Board and the
International Code of Ethics for Professional Accountants (including International Independence
Standards) issued by the International Ethics Standards Board for Accountants (IESBA Code), and we
have fulfilled our other ethical responsibilities in accordance with these requirements.
Other than in our capacity as auditor we have no relationship with, or interests in, the Group.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in
our audit of the financial statements of the current year. These matters were addressed in the context
of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not
provide a separate opinion on these matters.
PricewaterhouseCoopers, PwC Tower, 15 Customs Street West, Private Bag 92162, Auckland 1142, New Zealand
T: +64 9 355 8000, www.pwc.co.nz
41
Description of the key audit
matter
How our audit addressed the key audit matter
Inventory existence and
valuation
As at 26 January 2025, the Group
held inventories of $99.7 million.
Given the value of inventories
relative to the total assets of the
Group, and the judgements applied
in provisioning against inventory
shrinkage, slow moving, and
obsolete inventory, this has been
considered as a key audit matter.
As described in note 3.1.3 to the
consolidated financial statements,
inventories are stated at the lower
of cost and net realisable value.
The Group has inventory systems in
place to accurately record and
report inventory movements and the
value of inventory on hand. Cyclical
counts of inventories are performed
at various times throughout the
period which includes an
assessment of slow moving and
obsolete stock. The cyclical counts
provide management with evidence
over quantity and quality of
inventory on hand.
Management applies judgement in
determining inventory valuation, in
particular the level of provisions for
inventory which is expected to sell
for less than cost due to
obsolescence, adjustments for
unearned rebate income, and
inventory shrinkage since the last
stock count.
Our audit procedures included:
● gaining an understanding of inventory processes and
assessing the design of certain inventory controls,
particularly controls over the cyclical counting process;
● observing management’s cyclical stocktake process at
selected locations and undertaking our own test counts.
For those locations not visited, on a sample basis,
inspecting the results of stock counts and confirming
stock count variances were appropriately adjusted;
● on a sample basis, testing the cost of inventory to
supplier invoices or contracts providing evidence to
support the accuracy of inventory costing;
● testing that period-end inventory is carried at lower of
cost and net realisable value by comparing a sample of
inventory items to the expected selling price;
● held discussions with management to understand and
corroborate the assumptions applied in estimating
inventory provisions;
● on a sample basis, testing unearned rebate income to
supplier contracts;
● assessing the adequacy of the provision for slow-moving
inventory by comparing historical write-offs against the
level of provision, and assessing provision rates for
various stock categories; and
● assessing the shrinkage provision by performing
analytical procedures over the shrinkage rate used to
calculate the provision since the last store stock counts.
This includes comparing the rate used to the actual
shrinkage rates previously observed and reviewing the
level of actual inventory shrinkage recorded during the
current period.
PwC 42
Our audit approach
Overview
Overall group materiality: $4.75 million, which represents approximately
5% of profit before tax.
We chose profit before tax as the benchmark because, in our view, it is
the benchmark against which the performance of the Group is most
commonly measured by users, and is a generally accepted benchmark
We selected transactions and balances to audit based on the overall
group materiality to Briscoe Group Limited at a consolidated level
rather than determining the scope of procedures to perform by auditing
only specific subsidiaries or entities.
As reported above, we have one key audit matter, being:
• Inventory existence and valuation
As part of designing our audit, we determined materiality and assessed the risks of material
misstatement in the financial statements. In particular, we considered where management made
subjective judgements; for example, in respect of significant accounting estimates that involved
making assumptions and considering future events that are inherently uncertain. As in all of our audits,
we also addressed the risk of management override of internal controls, including among other
matters, consideration of whether there was evidence of bias that represented a risk of material
misstatement due to fraud.
Materiality
The scope of our audit was influenced by our application of materiality. An audit is designed to obtain
reasonable assurance about whether the financial statements are free from material misstatement.
Misstatements may arise due to fraud or error. They are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users taken on
the basis of the financial statements.
Based on our professional judgement, we determined certain quantitative thresholds for materiality,
including the overall Group materiality for the financial statements as a whole as set out above. These,
together with qualitative considerations, helped us to determine the scope of our audit, the nature,
timing and extent of our audit procedures, and to evaluate the effect of misstatements, both
individually and in the aggregate, on the financial statements as a whole.
How we tailored our group audit scope
We tailored the scope of our audit in order to perform sufficient work to enable us to provide an opinion
on the financial statements as a whole, taking into account the structure of the Group, the accounting
processes and controls, and the industry in which the Group operates.
Other information
The Directors are responsible for the other information. The other information comprises the
information included in the Annual Report, but does not include the financial statements and our
auditor’s report thereon. The Annual Report is expected to be made available to us after the date of
this auditor’s report.
Our opinion on the financial statements does not cover the other information and we will not express
any form of audit opinion or assurance conclusion thereon.
PwC 43
In connection with our audit of the financial statements, our responsibility is to read the other
information and, in doing so, consider whether the other information is materially inconsistent with the
financial statements or our knowledge obtained in the audit, or otherwise appears to be materially
misstated.
When we read the other information not yet received, if we conclude that there is a material
misstatement therein, we are required to communicate the matter to the Directors and use our
professional judgement to determine the appropriate action to take.
Responsibilities of the Directors for the financial statements
The Directors are responsible, on behalf of the Company, for the preparation and fair presentation of
the financial statements in accordance with NZ IFRS and IFRS Accounting Standards, and for such
internal control as the Directors determine is necessary to enable the preparation of financial
statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Directors are responsible for assessing the Group’s ability to
continue as a going concern, disclosing, as applicable, matters related to going concern, and using the
going concern basis of accounting unless the Directors either intend to liquidate the Group or to cease
operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements, as a whole,
are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that
an audit conducted in accordance with ISAs (NZ) and ISAs will always detect a material misstatement
when it exists. Misstatements can arise from fraud or error and are considered material if, individually
or in the aggregate, they could reasonably be expected to influence the economic decisions of users
taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the financial statements is located at the
External Reporting Board’s website at:
https://www.xrb.govt.nz/standards/assurance-standards/auditors-responsibilities/audit-report-1-1/
This description forms part of our auditor’s report.
Who we report to
This report is made solely to the Company’s shareholders, as a body. Our audit work has been
undertaken so that we might state those matters which we are required to state to them in an auditor’s
report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume
responsibility to anyone other than the Company and the Company’s shareholders, as a body, for our
audit work, for this report, or for the opinions we have formed.
The engagement partner on the audit resulting in this independent auditor’s report is John (Jolly)
Morgan.
For and on behalf of:
PricewaterhouseCoopers Auckland
11 March 2025
PwC 44
---
FY25 ADDENDU M
1
FullYear
Addendum
52 WEEK PERIOD ENDED 26 JANUARY 2025
FY25 ADDENDU M
2
Contents
3
4
5
6
7
8
9
10
11
12
13
14
16
17
Hig hlights
Sa les
Gross Pr ofit Ma rgin %
Net Profit After Ta x
Balance Sh eet
Customer Satisfaction
Online Experience
VIP C lubs
Our T eam
Su stainability
Su pply Chain
Stra tegy
Finan cia l Summa ry
Brand Portfolio
FY25 ADDENDU M
3
Highlights
Full Year E nded 26 January 2025
Stron g sales perfor mance of 99.94% of
last year's r eco rd sales despite
extremelychallengin g eco nomic an d
retail conditions.
•Onl ine sales 19.69% of total
Group sal es.
•Total Customer databasenow
over 2.1m.
•Continued growth in Di rect to
Customer sales.
Solid Online Performance
•Group sal es $791.5m.
•99.94% of LY record sal es.
•Homeware sales -0.06% down to
$489.8m.
•Sporting Goods sal es –0.06%
down to $301.7m.
•Group Sales +21.20% vs Pre-
Covid $791.5m vs $653.0m.
Sales
•Net cash at period end $142.4m.
•Total inventories decreased by
$5.2m at year end to $99.7m.
•Capex spend of $58.2m.
•Total dividend 22.5cps,
payout ratio 74%.
Strong Balance Sheet
•Gross Profit 40.37% down from
42.40%.
•Yet to see any recovery in the
economic environment, the
most chall enging trading
conditions for many years..
Gross Profit Performance
•FY NPAT $68.0m (before impact
of tax adjustment).
•Strong result in tough trading
conditions.
•Total store and overhead costs
well control led at only +1.11%
increase over last year.
NPAT Performance
•Strategic projects on track and on
budget.
•North Island Di stri bution centre
maki ng good progress with
groundworks commenced in
February 2025.
•New Warehouse Management
System (WMS) successfull y
launched and now embedded.
•Roll out of Electroni c Shelf Labels
now completed and delivering
onthe business case.
•New range planning, all ocati on
and replenishment tool on track
to launch first modules in May 25.
Strategic Initiatives
contributing to
increased profitability
FY25 ADDENDU M
4
Sales
Both Homewares and Sportin g Goods
deliver ed near flat full year sales on
last year's recor d sales.
PERCENTAGE GROWTH
BR ICKS & MORTAR VS ON LINE
Homeware and Spor ting Go ods
achieved 99.9 4% o f last year's sales.
Goo d sales gro wth since Covid (YE
Jan2020) of 21.20%.
Sales slowed due to very
challenging market conditions.
47 Br iscoes Homeware and
43 Rebel Sport sto res.
Online developments driving growt h
in o nline mix.
FY25 ADDENDU M
5
Gross Profit Margin %
Continued pressure on gross profit margin due to promotional intensity.
Margin rate despite the challenges, is still above pre-Covid leve ls by 94 basis points.
FY25 ADDENDU M
6
* Before impact of $7.4m tax adjus tment
Net Profit After Tax (NPAT)
Continued solid NPAT performance despite
difficult trading environm ent.
COST OF DOING BUSINESS
Continued focus on costs and
efficiency im proveme nts.
FY25 ADDENDU M
7
Balance Sheet
Excellent improvement in
both quantum and
quality ofinventory.
Healthycash position as
strategic initiatives gain
momentum.
Continue to invest in our
strategic growth plan
despite tough ongoing
market conditions.
Investment in the
strategic growth plan will
require a funding facility
in 2025 through to 2028.
IN VENTOR Y ($M)
NET CASH ($M)
CAPEX ($M)
FY25 ADDENDU M
8
Record levels of satisfaction
achievedfor th e past th ree
years in o ur NPS scores.
On an ann ual basisBriscoes
Homeware no w ru nning abo ve
80 co nsist ently and Rebel
Spo rt over 72.
Th e team con tinue to deliver
Market leadingservice
levelsalongside excellen t
costcon trol.
Customer Satisfaction
at ourHeart
BR ISCOES HOMEWARE NPS
REB EL SPORT NPS
FY25 ADDENDU M
9
Online Platform
Investment
Th is year w e contin ued to invest in ouron lin e
and store fulfilment techno lo gy, to bring ou r
custo mers th e best o nline experien ce.
We expanded our existing co upons o ffering and
introduced evening express delivery, member
pricin g and a suite of AI t ools designed to
optimise w ork-flow.
We will be deliverin g n ew eCommerce and Direct
to Cu st omer platforms in FY26 -Ado be
Commerce and Marketplacer, tw o best in breed
platforms th at w ill provide a great experience for
ou r customers.
We’ve dispatched
3,500,000 units!
SIGNIFICANT
GROWTH IN
CLICK& COLLECT
11%
YOY
1.6M TOTAL
ONLINE ORDERS
Same-Day delivery
launched in Auckland,
Wellington, Christchurch
and Hamilton.
CLICK& COLLECT
SHARE UP 5%
LABOUR SPEND
DOWN 1%
Improvements in
online fulfillment
FY25 ADDENDU M
10
VIP Clubs
We have a large, growing and loyal customer membership
programme with over 2.1million club members.
FY25
Total databa se
1.125m +13.8%
Member frequency
+38% v non-members
Member an nual spend
+24.9% v non-members
FY25
Total databa se
1.03m+14.1%
Member frequency
+24% v non-members
Member an nual spend
+25% v non-members
FY25 ADDENDU M
11
Our Team
TEAM DEVELOPMENT
4
Our Ma nagement & Leadership Devel opment P rogramme
continues to b e recogni sed a nd well received as a valua ble
ai d in b uild ing org anisa tiona l cap abi lity in b oth opera tiona l
and supp ort roles. FY2 5 saw a further four cohorts throug h the
programme wi th a b lend of p articipa nts from stores and
supp ort functions.
GENDER PAY EQUITY
<1%
Our Reta il Manag ement Teams
lea d ov er 2 ,100 of our p eop le
throughout our stores. Not onl y d o
we continue to see an i ncreasing
proportion of women in our store
lea dership roles b ut ensuring pay
equi ty has resulted in there being
less than 1% va ri ati on in pa y on the
ba sis of gender across different
roles and tiers.
RETENTION
19.6%
Lab our turnover wa s red uced by
al most 20% across the fi nancial
yea r. It's no surprise that a
hap py and contented team is
cri tical for hap py and satisfied
custom ers. O ur team tend to
sta y l onger and provid e
excell ent customer service
ba sed on a depth of knowledg e
and experi ence.
ENGAGEMENT
+0.3
Team member engag ement cont inued to increase t hroug hout
the year wit h an overa ll increa se of 0.3 which i s al so 0.3 abov e
the indust ry benchma rk for our industry.
HEAL TH & SAFETY
61%
Continued focus on av oidi ng i njury a t work saw further red uctions
in our Tota l Recorda ble Injury Frequency Rate (-61%) and our Lost
Tim e I njury Freq uency Rate (-68%). Vig ila nce in tra ffic
manag ement and red uci ng ma nual handl ing inj uries is cri tical to
the health, safety and wellb eing of our tea m. 202 4 saw
di gitisationof 3 criti ca l risk tra ining p rograms, consistency i n
del ivery , and com plem enting m anag ement traini ng.
INNOVATIVE APPLIED LEARNING
79% -85%
Ini tia l assessment scores on our
manual ha ndli ng reinforcement
program d emonstrated hig h l ev el s of
retention of what had b een learned
using our innov ati ve Vi rtual Rea lity
trai ning system. Eig hty-six p articipa nts
across our plot sites comp leted the fi rst
module wi th 50 also compl eting our
second modul e. Full implementation of
the soluti on will occur throug hout FY26.
A broad range of investments in our people, systems and processes are contributing to member
capabilities, competence and confidence. Our team is well placed to drive the business forward.
FY25 ADDENDU M
12
Sustainability
Our Steps To A Better Tomorrow
Governance
Community
Environment
19,040 balls through the
pass-it-forward program for
the year.
60 community groups and
sports clubs supported
through our Grassroots
Grant program, investing
$160K in NZ grassroots sport.
A key sponsor of the Auckland
Football Club (AFC), focusing on
investing in the AFC development
centre.
78,000 Kg's of product returns
diverted from landfill through
our product returns program
for the year, reducing our
environmental footprint and
maximizing our social impact
through product donation.
Committed to diverting 90%
of our waste from landfill by
2030.
Our Ethical Supply Chain program
continues to provide reassurance
that ethical and environmental
standards are followed by our
suppliers.
Initial climate transition plan
completed and incorporated
in year 2 climate-related
disclosures to be released in
annual report.
Invested in team training and
engagement, ensuring our
teams are informed and
equipped tostrengthen our
Sustainability impact.
Launcheda Sustainability
Webpage: providing stakeholders
with easy access to key
Sustainability information.
FY25 ADDENDU M
13
Supply Chain
Transformation
Phase 1–Implementation of the
Warehouse management System (WMS)
at the current Auckland distribution
centre(DC) is complete.
Phase 2 -thenew Auckland DC
construction has started and is on track.
•DC fa ci lity design includi ng automation,
now complete.
•Earthworks commenced February 2025.
Phase 1 Design of new
Auckland DC –Completed:
•The new W arehouse Ma nagement System
(WMS) is now embedd ed i n the current
Distribution Center (DC).
•The team hav e ad opted wel l to the new
system a nd are uti lisi ngthe enhanced
functiona lity.
•Deploy ing the new sy stem is fa st tra cking key
lea rning s and wil l hel p to shap e the
operati ons process in our new North I sl and
DC.
Phase 1 WMS–Completed:
•State of the art facili ty and equi pment.
•Reduced stock l evel i n stores by hol ding
more in the DC a nd regul arl y repl eni shing
our stores in line wi th dema nd.
•Improved ra nge of products a nd p otenti al
for newproduct ca tegories i n stores.
Benefits for our Team
and Customers
Phase 2–In Progress 2025:
•Detai led opera tiona l d esi gn, p rocesses
and system requi rem ents for our new dc is
well underway a nd wil l be completed by
the end of July 202 5.
•Confi gura tion, develop ment and testi ng of
the WMS for use in the new dc will take
pl ace through to the end of 2 025.
•Automa tion software desig n and p rocess
flow optimisationkicks off in Ma rch 2 025
and wil l b e devel oped over several
iterations with our i nterna tiona l v end or
Knapp .
•The a utomati on software b uild will then
commence la te 2 02 5.
•Ini tia l target date for practi ca l com pletion
of the construction i s July 2 02 6.
FY25 ADDENDU M
14
LONG TERM GROWTH
ACCELERATION
Exp lore new business
opp ortuniti es to dri ve
sig nificant growth.
Commercial opp ortunity .
Direct To C ustomer (DTC)
sal es accel erat ion.
Onl ine P latform up grade.
RETAIL EXPERIENCE
EVOLUTION
Flag ship store concept s.
Electronic Shel f La bels ( ESL).
Rebel Sport & Bri scoes
H omeware product
range opti mi sa tion.
Cross-sell &up-sell focus.
Loya lty evol ution.
SUPPLY CHAIN
TRANSFORMATION
New Auckl and
Distribution Centre.
Improved all oca tion and
rep lenishment of inventory.
Rebel Sport inventory
optimisation.
Op timisa tion of store spa ce.
BUILDING
BLOCKS
Tech Architecture.
Peop le cap abi lity
and cap acity .
Automa tion and the use of
AI t o sim pl ify processes.
Increa se positive impact
through sustaina bil ity .
Record Levels
of Investment
into Strategic
Growth:
Group Strategy 2024 –2026
•Exp anded DTCto
cover over 110
S uppl iers.
•New onli ne
pl atformAd obe
selected.
•ESL Lab el s rollout
comp leted to al l
Bri scoes a nd Rebel
stores.
•Rebel flag shi p store
desig n complete.
•New DC Si te d esi gn
comp leted.
•Rebel cl ea ra nce stock
red uction.
•The new A ssortment
Pl anning , Al locati on &
Replenishment
systemImpa ct
Ana lytics (I A) on
track.
•New Marketpl acer
platform selected and
design well advanced.
•Over 60 team
members completed
our Leadership
program.
•Over 200 ethical
supplier audits
completed.
•New Adob e pl atform
due to go l ive by July
202 5.
•Test of new product
categ ories on the
Marketpl acerDTC
pl atform July 2 02 5.
•Further opt imisati onof
Briscoes and Rebel
product ranges.
•New Rebel Flagship
store due to open by
January 2026.
•Completion of Bri scoes
Fl agship store design.
•Loyalty platform test for
Rebel S port.
•Early access to new
Auckla nd DC site.
•IA A llocation a nd
Replenishment
modules launched by
July 2 02 5.
•IA A ssortment
Pl anning d ue to go
li ve b y O ctober 2025.
•Roll out suppl ier
aud itprogramto
localsupp liers.
•Tech pl atform rev iew
for next 5 to 7 yea rs
underwa y.
•Continued focus on
waste m inim isa tion.
Delivered in
year end
Jan 2025:
Key
Deliverables
for year end
Jan 2026:
GOAL:
DELIVER THE
BEST RETAIL
EXPERIENCE IN
NEW ZEALAND
FY25 ADDENDU M
15
The Strength of
Our Core Business
Fundamentals
Provides Platform
for Continued
Strategic
Investment:
Trading performance near flat with
LY record sales and ah ead of retail
spend trends fo r both Ho mew ares
and fo r Spo rting Goods.
Cont in ue to in vest in o ur strategic
grow th plan whilst oth ers are
retrenching to su rvive th e do wnt urn.
Key businesshealth metrics
con tinue to steadily impro ve,recor d
levels ofVIP club members,
custo mer and team satisfaction
achieved.
Bot h Homewares an d Sportin g
Goo ds are tradin g w ell despit e
challengin g co ndit io ns.
World class team with proven ability
todeliver on bo th sho rt term and
lon ger-term priorities.
Our biggest ever investment in
supply chain transformat io n is on
track with phase 1 of the systems
complet ed and new Au ckland DC
con st ruction st art ed.
Grou p in vento ry quality impro ved
with relentless fo cus on o pt imising
promotio nal and clear an ce events.
Th e gro up bu sin ess model
con tinues to hold up stron gly and
take share fr om co mpetito rs in the
challengin g eco nomic climat e.
FY25 ADDENDU M
16
Financial Summary
FY Jan 20FY Jan 21FY Jan 22FY Jan 23FY Jan 24FY Jan 25
H omewareRevenue -$000
410,908 439,234 460,887 487,501 490,116
489,810
Sport ing Good sRevenue-$000
242 ,109 262 ,563 283,563 298,353 301,837
301,659
Group TotalRevenue-$000
653,017 701,797 744,450 785,854 791,953
791,469
Onl ineMixofSales-%
11.3%18.8%21.5%19.0%18.7%
1 9.7%
Group Gross Margin -$000
257,502 307 ,116 340,642 345,922 335,762
319,541
Group Gross Margin -%
39.4%43.8%45.8%44.0%42.4%
40 .4 %
Group EBI T -$000
97,22 3 115,886 136,468 135,494 126,2 96
1 04,401
Group EBI T -%toSales
14.9%16.5%18.3%17.2 %15.9%
1 3.2%
Group NP AT -$000
62,583 73,199 87,909 88,437 84,221
68,008
5
Group NP AT -%toSales
9.6%10.4%11.8%11.3%10.6%
8.6%
FreeCa shFlow -$M ( Operati ngCa sh FlowlessCa pex)
60.3 81.1 76.6 128.0 108.3
51 .6
Divi dendsPerS hare-cps
8.5
1
28.5
2
27 .028.0 29.0
22 .5
EarningsPerShare-cps
28.232.939.539.7 37.8
30.5
5
NetCa shPosi tion-$M
67.4 100.4 102.5 149.9
3
175.4
4
1 42.4
6
Inv ent oryTurnover -Xp.a .(CO GS di vid edbyav erag e inventory)
4.74.43.83.7 4.1
4.6
1.Final dividend of 12.5cps cancelledas a result of Co vid-19 pandemic.
2. Includes special dividend of 6cps.
3. Includes $26 million of creditor paym ents made on 31 J anuary 2023.
4. Includes$20million of creditor payments made on 31 January 2024.
5. Excludes $7.4 millionone-off non-cash tax expen se adjustment.
6. Includes $30 million of creditor payments m ade on 31 Janu ary 2025.
FY25 ADDENDU M
17
The Largest Range of Global
Brands in Homewares and
Sporting Goods
BRISCOES HOMEWARE
REBEL SPORT
200+ Brands!
---
Distribution Notice
Please note: all cash amounts in this form should be provided to 8 decimal places
Section 1: Issuer information
Name of issuer Briscoe Group Limited
Financial product name/description Ordinary Shares
NZX ticker code BGP
ISIN (If unknown, check on NZX
website)
NZBGRE0001S4
Type of distribution
(Please mark with an X in the
relevant box/es)
Full Year X Quarterly
Half Year Special
DRP applies
Record date 20/03/2025
Ex-Date (one business day before the
Record Date)
19/03/2025
Payment date (and allotment date for
DRP)
27/03/2025
Total monies associated with the
distribution
1
$ 22,279,001.20000000
Source of distribution (for example,
retained earnings)
Retained Earnings
Currency NZD
Section 2: Distribution amounts per financial product
Gross distribution
2
$0.13888889
Gross taxable amount
3
$0.13888889
Total cash distribution
4
$0.10000000
Excluded amount (applicable to listed
PIEs)
$-
Supplementary distribution amount $0.01764706
Section 3: Imputation credits and Resident Withholding Tax
5
Is the distribution imputed Fully imputed X
Partial imputation
No imputation
1
Continuous issuers should indicate that this is based on the number of units on issue at the date of the form
2
“Gross distribution” is the total cash distribution plus the amount of imputation credits, per financial product, before the deduction of
Resident Withholding Tax (RWT).
3
“Gross taxable amount” is the gross distribution minus any excluded income.
4
“Total cash distribution” is the cash distribution excluding imputation credits, per financial product, before the deduction of RWT.
This should include any excluded amounts, where applicable to listed PIEs.
5
The imputation credits plus the RWT amount is 33% of the gross taxable amount for the purposes of this form. If the distribution is
fully imputed the imputation credits will be 28% of the gross taxable amount with remaining 5% being RWT. This does not constitute
advice as to whether or not RWT needs to be withheld.
If fully or partially imputed, please
state imputation rate as % applied
6
28%
Imputation tax credits per financial
product
$0.03888889
Resident Withholding Tax per
financial product
$0.00694444
Section 4: Distribution re-investment plan (if applicable)
DRP % discount (if any)
%
Start date and end date for
determining market price for DRP
Date strike price to be announced (if
not available at this time)
Specify source of financial products to
be issued under DRP programme
(new issue or to be bought on market)
DRP strike price per financial product
$
Last date to submit a participation
notice for this distribution in
accordance with DRP participation
terms
Section 5: Authority for this announcement
Name of person
authorised to make
this announcement
Geoff Scowcroft
Contact person for this
announcement
Geoff Scowcroft
Contact phone number +64 275633167
Contact email address geoff@briscoes.co.nz
Date of release through MAP
12/03/2025
6
Calculated as (imputation credits/gross taxable amount) x 100. Fully imputed dividends will be 28% as a % rate applied.
Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.
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