Baby Bunting click and collect sales grow over 200 per cent in first quarter
Baby Bunting has seen online sales grow by 126 per cent during the first quarter of FY21, while click and collect sales grew 233 per cent.
And comparable store sales grew 17 per cent during the same period, though excluding stores impacted in Melbourne would bump that figure to 28.5 per cent.
“We’ve seen the positive momentum in sales continue for the first quarter, which is reflective of the less discretionary nature of the maternity and baby goods category,” said Baby Bunting chief executive Matt Spencer.
“All our Victorian stores have remained open, however sales in the Melbourne area under stage 4 restrictions have moderated under the lockdown.”
The business’ gross margin also grew during the first quarter, up 90 basis points to 37.5 per cent.
However, the ongoing costs of operating stores in the Covid-19 environment, such as increased cleaning and operating costs, on top of the impact to the business’ supply chain in relation to frieght, storage and handling, have increased financial pressure on the business.
“In response to the Covid pandemic, management has been and continues to be focused on three workstreams: first, managing our day-to-day operations; secondly, ensuring we have a sustainability business looking 3 to 6 months ahead and then; thirdly and importantly, focusing on recovery and progressing strategic opportunities,” Spencer told investors at the business’ AGM.
“There is no doubt that FY20 and FY21 will be remembered for the impacts of the Covid-19 pandemic.”