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By Jason Oxenbridge
SUPERCHEAP Auto has hit the gas to record profit across its three core businesses in a stellar second half trading performance.
The figures were today revealed by managing director Peter Birtles in a presentation to the Macquarie Securities 2009 Australian Leaders Conference in Sydney.
Sales growth in the group’s three businesses for the 18 weeks to May 2, 2009 - Supercheap Auto 6%; BCF 10%; Goldcross Cycles 6%.
“Supercheap Auto has traded consistently well over the period, benefiting from the introduction of new products, our store refurbishment program and supply chain
initiatives,” says Birtles.
Birtles told Brisbane Business News that low interest rates and cheaper fuel had helped to drive consumer spending. Average consumer spend per person at Supercheap Auto is $29 and $70 pp at BCF.
“The interesting thing for us is that we have retained a steady level of performance for the last couple of years, despite what is going on elsewhere,” he says.
“One of the key benefits across the whole organisation is that we’re retailing to the mass market. An increase in spending driven by a reduction in interest rates and cheaper fuel has created greater disposable income.
“BCF has also performed very strongly, as a result of product innovation, local ranging initiatives and an increase in the number of people taking camping holidays
over the summer and Easter periods.”
Supercheap Auto acquired the Melbourne-based Goldcross Cycles last year with 11 stores and has recently introduced the brand to the Brisbane market.
“Goldcross Cycles’ Melbourne stores have also benefited from an increase in marketing and an improved range offering,” says Birtles.
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