Health supplements brand Blackmores Group has reported profit growth during the first-half with revenue estimated at $346 million up by 14.3 per cent compared to the prior corresponding period.
Underlying EBIT was $38.3 million with net profit after tax increasing by 9.6 per cent to $20.8 million. In Australia, revenue fell by 1.2 per cent to $145.9 million however the group’s international business, now the brand’s fastest-growing segment, achieved $116.2 million in sales, increasing by 49.8 per cent.
In China, group revenue increased by 8.5 per cent to $83.9 million. The Singles Day, Double 11 e-commerce shopping festival contributed significantly to sales, with gross merchandise volume on Alibaba up by 14 per cent.
Group CEO, Alastair Symington, credited the business’s sales growth to its expansion in distribution during the first half followed by strong product innovation and market-share gains, particularly in China and international segments.
“While the first half was pleasing, we continue to face significant challenges linked to global supply chain disruption and uncertainty due to Covid which has affected traditional retail channels and impacted consumer behaviour across all our markets,” he added.
Furthermore, demand for the Blackmores brand has increased in Indonesia and is expected to be the largest market in its international segment. Thailand also contributed significantly to the brand’s earnings in the first half. Blackmores also launched in India in September last year in partnership with Amazon India.