{"id":83554,"date":"2025-10-17T03:47:09","date_gmt":"2025-10-17T03:47:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/83554\/"},"modified":"2025-10-17T03:47:09","modified_gmt":"2025-10-17T03:47:09","slug":"macpac-revenue-and-profit-fall-as-new-zealand-demand-softens","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/83554\/","title":{"rendered":"Macpac revenue and profit fall as New Zealand demand softens"},"content":{"rendered":"<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">The business has 39 stores in New Zealand, 26 in the North Island and 13 in the South Island, but has a majority in Australia as part of the Super Retail Group with 64 stores.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">The wider Macpac business, including the Australian stores, reported total sales of A$231.4m ($261.5m) for 2025, a 3.8% increase year-on-year.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Like-for-like growth of 3.7% in Australia was partially offset by a decline of 0.9% in New Zealand, although the New Zealand market recovered in the second half of the financial year.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Macpac\u2019s profit before tax margin declined by 390 basis points, as a 30-point improvement in gross margin was more than offset by negative operating leverage, with the cost of doing business rising as a percentage of sales.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">However, the group\u2019s gross margin did improve by 30 points, maintaining promotional discipline despite the softer market conditions.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Inventory for the New Zealand arm also grew, rising from $26.8m to $35.1m. <\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Baselayers, midlayers, gear and accessories were among the strongest-performing categories for the business. <\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">In contrast, demand for insulation products was weaker, with the overall mix of sales reflecting milder conditions prevalent throughout much of the period.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Macpac managing director Cathy Seaholme was approached for comment.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Macpac was ranked the best places for Kiwis to shop by Consumer NZ <a href=\"https:\/\/www.nzherald.co.nz\/lifestyle\/nzs-best-and-worst-retailers-revealed-macpac-stihl-shop-top-survey-of-kiwis-favourite-stores\/VKRKPYR4ENBULD3K7A77HLVAGY\/\" target=\"_blank\" rel=\"noreferrer nofollow noopener\" title=\"https:\/\/www.nzherald.co.nz\/lifestyle\/nzs-best-and-worst-retailers-revealed-macpac-stihl-shop-top-survey-of-kiwis-favourite-stores\/VKRKPYR4ENBULD3K7A77HLVAGY\/\">in September<\/a>, with Consumer NZ\u2019s Kate Harvey saying the brand topped its competitors \u201cin all the categories we ask about, including perceived value and range of products available\u201d.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Speaking of competitors, Macpac\u2019s larger rival Kathmandu <a href=\"https:\/\/www.nzherald.co.nz\/business\/companies\/retail\/kathmandu-parent-kmd-brands-swings-to-deeper-936m-loss-in-2025\/RQSWZUZISZG2JOMXI442WQKGEU\/\" target=\"_blank\" rel=\"noreferrer nofollow noopener\" title=\"https:\/\/www.nzherald.co.nz\/business\/companies\/retail\/kathmandu-parent-kmd-brands-swings-to-deeper-936m-loss-in-2025\/RQSWZUZISZG2JOMXI442WQKGEU\/\">reported an increase<\/a> in sales, although this was driven by stores overseas.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Kathmandu\u2019s sales increased by 0.2% from $361.1m in 2024 to $361.9m in 2025.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Despite an 8.8% drop in year-on-year performance in the third quarter, the fourth quarter and winter trading period delivered a 2.5% rise in performance from a year ago.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Australian sales increased by 0.2% year-on-year, while New Zealand sales were down by 2.3%. Both locations had positive sales growth year-on-year in the fourth quarter.<\/p>\n<p class=\"iNwUpnfLcxPBLSL\" style=\"display:none\">Tom Raynel is a multimedia business journalist for the Herald, covering small business, retail and tourism.<\/p>\n<p>Listen and subscribe to the <a href=\"https:\/\/www.iheart.com\/podcast\/1049-today-in-business-287718209\/\" rel=\"nofollow noopener\" title=\"https:\/\/www.iheart.com\/podcast\/1049-today-in-business-287718209\/\" target=\"_blank\">Today in Business<\/a> podcast \u2013 the top headlines from the NZ Herald business team summarised and delivered by an artificial intelligence (AI) voice as an easily digestible recap.<\/p>\n","protected":false},"excerpt":{"rendered":"The business has 39 stores in New Zealand, 26 in the North Island and 13 in the South&hellip;\n","protected":false},"author":2,"featured_media":83555,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[836,95,806,63946,138,18987,39426,8278,4190,6097,38402,15972,3592,15215,106,63944,225,117,111,43,139,69,657,29848,5340,29158,15267,12229,659,7493,63945,102,80],"class_list":["post-83554","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-zealand","tag-836","tag-and","tag-as","tag-australasian","tag-business","tag-camping","tag-clothing","tag-conditions","tag-demand","tag-down","tag-drop","tag-equipment","tag-fall","tag-fullyear","tag-head","tag-macpac","tag-market","tag-new","tag-new-zealand","tag-news","tag-newzealand","tag-nz","tag-outdoor","tag-poor","tag-profit","tag-putting","tag-reported","tag-result","tag-retailer","tag-revenue","tag-softens","tag-with","tag-zealand"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/83554","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=83554"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/83554\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/83555"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=83554"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=83554"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=83554"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}