dusk Group (ASX:DSK) FY24 Financial Overview

dusk Group Limited (ASX:DSK) presented its FY24 financial overview at the ASX Small & Mid-Cap Conference. The company reported total sales of $126.7m, representing a 7.9% decrease on the prior corresponding period. Gross profit stood at $81.5m, down 7.5% versus the prior corresponding period, with a 20 basis points increase in gross profit percentage. The company also reported a net cash position of $20.8m at year end, compared to $16.0m in the previous year. Earnings per share were 6.9 cents, down from 18.6 cents per share in FY23. The company declared a final dividend of 4 cps, resulting in total dividends of 6.5 cps fully franked for FY24.

Executive Commentary on FY24 Performance and Strategic Priorities

The CEO and Managing Director, Mr. Vlad Yakubson, highlighted the transformational year with a new management team and strategy in place. He emphasized the quarter on quarter improvements in sales trends as FY24 progressed, indicating better execution and the early phase of new strategic initiatives gaining traction. Mr. Yakubson outlined key strategic priorities for FY25 and beyond, focusing on growing market share, increasing customer frequency, redefining the brand identity, and implementing a product-led turnaround. He stressed the importance of new products and ranges, more frequent product drops, and digital marketing expansion to target a broader customer base. Additionally, he mentioned the company's focus on improving store productivity, enhancing systems and supply chain, and providing a trading update for the first 8 weeks of 1H FY25.

Summary of FY24 Performance and Outlook

dusk Group's FY24 financial overview revealed a challenging year with a decline in total sales and gross profit, coupled with a decrease in earnings per share. However, the company reported a positive net cash position at year end and declared dividends for FY24. Looking ahead, dusk Group aims to accelerate its product rejuvenation program, invest in digital marketing, and improve store productivity. The company also plans to focus on enhancing systems and supply chain, with a continued emphasis on margin management strategies. The trading update for the first 8 weeks of 1H FY25 indicated a strong start, particularly in online sales growth and positive response to the renewed product offering. With a focus on providing quality products at affordable prices and appealing to new and existing customers, dusk Group remains optimistic about the future.