The Warehouse Group has revealed its financial results for the 2025 fiscal year, reporting a net loss of $2.8 million after tax.
The Warehouse achieved sales of $1.8 billion, with Warehouse Stationery sales declining by 2.5% to $226.0 million, while Noel Leeming sales increased by 3.3% to $1.0 billion.
Group sales reached $3.1 billion, a 1.6% increase compared to FY24, remaining steady on a 52-week same-store basis.
The Warehouse Group chairperson Dame Joan Withers said the loss was due to the “economic and retail conditions in New Zealand” which she described as “extremely challenging.”
“Unemployment and inflation remain comparatively high, and consumer confidence is down, putting further pressure on discretionary spending and intensifying retail competition,” she said.
“While we are seeing early signs of improvement,” Withers said. “We remain cautious about the pace of recovery. The Warehouse Group has taken the right steps to reset its foundations, and the Board is confident in the leadership and direction now in place.”
Meanwhile, chief executive Mark Stirton described FY25 as a “reset” of the group’s operations.
“We simplified our organisational structure and returned to a brand-led model with retail ways of working. We also reset our pricing, improved our product range, and controlled costs and capital expenditure,” he said.
According to Withers, the group entered FY26 with “a clear focus on disciplined delivery.”
“Margin recovery will be driven by improved sourcing, tighter inflow margin control, and disciplined inventory management.”
“The Warehouse will target growth in higher-margin categories, including apparel, health and beauty, home and toys,” Withers added.