Super Retail Group’s FY25: $4.1B Sales, $329M Profit, and Special Dividend
Super Retail Group delivered record sales growth in FY25 despite margin pressures, expanded its store network, and boosted loyalty membership, while declaring a special dividend alongside its final payout.
- Record group sales up 4.5% to $4.1 billion
- Normalised profit before tax down 4% to $329 million
- Expanded store network with 23 net new stores
- Online sales grew 8% to $524 million, 13% of total sales
- Special fully franked dividend of 30 cents per share declared
Solid Sales Growth Amid Margin Pressure
Super Retail Group has reported a robust financial performance for the fiscal year ended 28 June 2025, achieving record group sales of $4.1 billion, a 4.5% increase over the previous year. This growth was driven by a combination of network expansion, with 31 new stores opened and 8 closed, and a strong second-half sales acceleration across its four key brands, Supercheap Auto, rebel, BCF, and Macpac.
However, despite the top-line momentum, the group faced margin pressures, with gross margin contracting by 50 basis points to 45.6%. Elevated stock loss, particularly at rebel, and increased operating expenses contributed to a 4% decline in normalised profit before tax to $329 million and an 8% drop in statutory net profit after tax to $222 million.
Omni-Retail and Loyalty Programs Drive Engagement
Super Retail Group’s strategic focus on omni-channel retailing is paying dividends, with online sales rising 8% to $524 million, now representing 13% of total sales. Click & Collect remains a vital component, accounting for nearly half of online sales and underscoring the importance of physical stores in the customer journey.
The group’s loyalty programs continue to expand impressively, adding one million active club members to reach 12.5 million, who now contribute to 79% of group sales. This growing base not only supports sales but also enhances customer engagement and retention, critical in a competitive retail environment.
Safety and Operational Investments Highlighted
Safety improvements were a standout achievement, with the Total Recordable Injury Frequency Rate improving from 14.5 to 12.1, reflecting targeted initiatives to protect team members. Operationally, the opening of a new distribution centre in Victoria is set to enhance omni-channel fulfillment capabilities, with phase two expected in 2026.
Looking ahead, the group plans to invest $155 million in capital expenditure during FY26, focusing on store development, completion of the distribution centre, and digital capabilities. The transition to new systems, including a Human Resources Core & Payroll platform, will incur additional costs but aims to streamline operations long term.
Dividend and Balance Sheet Strength
Reflecting confidence in its financial position, Super Retail Group declared a fully franked final dividend of 34 cents per share and a special fully franked dividend of 30 cents per share, bringing total dividends for FY25 to 96 cents per share. The group maintains a conservative balance sheet with no drawn bank debt and a cash balance of $63 million.
Early trading in FY26 is positive, with like-for-like sales growth of 3.1% and total sales growth of 5% in the first seven weeks, suggesting the group’s strategies are gaining traction despite ongoing market challenges.
Bottom Line?
Super Retail Group’s record sales and strong dividends underscore resilience, but margin pressures and rising costs warrant close monitoring.
Questions in the middle?
- How will margin pressures evolve amid ongoing competitive intensity?
- What impact will the new distribution centre and HR system have on operational efficiency?
- Can loyalty program growth sustain sales momentum in FY26 and beyond?