Baby Bunting Group Ltd (ASX: BBN) has given a trading update at its Annual General Meeting (AGM) to say that sales are up 17%.
Baby Bunting is Australia’s largest retailer of baby goods including toys, prams, bottles and cots.
Baby Bunting trading update:
Total sales have increased by 17% compared to the same 20-week period last year. This has been boosted by same store sales growth of 9.6%.
Management said that gross margins are improving and it is on track to exceed 34%. FY19 EBITDA is predicted to be between $25 million to $27 million, excluding employee share expenses (click here to learn what EBITDA means).
Before the integral Christmas retail season, Baby Bunting plans to open another two stores including one at Chadstone Shopping Centre. The shopping centre format is a new one for the retailer.
Once open Baby Bunting will have a total of 52 stores. The company has a long-term goal of 80 stores.
Baby Bunting Chairman Ian Cornell said:
“It is my strong view that from a strategic development point of view, the last twelve months have put the business in a very sound position to achieve further strong market share growth.”
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