Harvey Norman Holdings Limited’s retail operations in overseas markets differs to that of the Australian franchised system as the retail complexes are company-operated stores trading under the Harvey Norman® brand name.
The first company-operated store in New Zealand commenced trading in July 1997 and as at 30 June 2016 there were 38 Harvey Norman® company-operated stores in the New Zealand market. Harvey Norman® continues to capitalise on its dominant brand position in New Zealand and continues to capture market share.
New Zealand retail sales revenue amounted to $810.18 million for the year ended 30 June 2016. The New Zealand segment result before tax was $68.72 million for the year ended 30 June 2016.
Ireland and Northern Ireland:
The first company-operated store was opened in Dublin in the suburb of Swords in August 2003. As at 30 June 2016 there were 12 Harvey Norman company-operated stores in Ireland and 2 company-operated stores in Northern Ireland.
In Ireland, sales revenue amounted to $259.14 million for the year ended 30 June 2016. The Irish business is now in its 5th year of sales growth and the Harvey Norman® brand in Ireland is established as a strong market leader in key categories. There has been a successful turnaround of the 12 company-operated stores in Ireland. Robust year-on-year sales growth and the strengthening of product margins across key categories, saw the Irish business generate a local retail trading profit of €0.54 million for the year ended 30 June 2016.
In Northern Ireland, a new 60,000 square feet company-operated furniture flagship store was opened on Boucher Road in South Belfast in November 2015. This move is expected to improve the viability and long-term outlook for the retail operations in the region. Sales revenue from the 2 company-operated stores in Northern Ireland was $16.55 million for the year ended 30 June 2016.
Singapore and Malaysia:
The consolidated entity holds a controlling interest of 80.25% in Pertama Holdings Limited (“Pertama”), Singapore. The principal activities of Pertama are retail sales of furniture, bedding, computers, communications and consumer electrical products in Singapore and Malaysia. Pertama, trading as Harvey Norman®, operates 13 company-operated stores in Singapore and 14 company-operated stores in Malaysia.
The new 100,000 square feet company-operated flagship store at Millenia Walk, Singapore opened in December 2015 replacing the existing 45,000 square feet store. The store is unrivalled in Asia in terms of store design and premium product offering.
The “Space” brand is a luxury retail offering by the consolidated entity in Singapore and Malaysia, with an emphasis on premium, designer furniture and homewares. The flagship Space showroom located in Bencoolen Street, Singapore, was officially opened in November 2011 following extensive redesign and restoration work by WOHA Architects. This world class showroom has received worldwide acclaim for its spectacular design. The Space showroom located in The Intermark Mall, Malaysia commenced trading in September 2011 and is well-placed to capitalise on the expanding prestige market in Malaysia.
Total sales revenue for Singapore and Malaysia amounted to $434.65 million for the year ended 30 June 2016
Slovenia and Croatia:
The first Slovenian company-operated store commenced trading in September 2002 in Ljubljana. Subsequent company-operated stores were opened in Koper (September 2006), Celjé (August 2009), Novo Mesto (October 2010) and Maribor (October 2011), bringing the total number of company-operated stores in Slovenia to 5.
In October 2011, we entered into the Croatian market and opened our first company-operated store at Zagreb, the capital of Croatia.
Total sales revenue for Slovenia and Croatia amounted to $104.86 million for the year ended 30 June 2016.