• Pro Forma NPAT $4.8m, up 37% vs pcp
• Comparable store sales growth up 2.2% (up 4.5% in Q2)
• Gross margin of 39.8%, up 260 bps vs pcp

Baby Bunting Group Ltd reported a strong 1H FY25 performance, with Pro Forma NPAT of $4.8m, up 37% versus the prior corresponding period (pcp). Sales grew 2.4% to $254.4m, driven by comparable store sales growth of 2.2% (up 4.5% in Q2). Gross margin improved 260 bps to 39.8%, reflecting progress on supplier trading terms, price architecture simplification, and supply chain initiatives. Cost of doing business increased 6.6% to $87.2m, driven by new and annualizing stores, wage inflation, and investment in marketing and data/analytics. The company continued to execute on its strategic priorities, including growing sales through range innovation and new customer acquisition, expanding gross margins, optimizing its store network, and growing its private label and exclusive brands. In New Zealand, the company reviewed its supply chain and distribution network, identifying around $1m in annualized savings from Q4 FY25. The company maintained its FY25 outlook, expecting Pro Forma NPAT to be in the range of $9.5m to $12.5m.

FY25 pro forma NPAT expected to be in the range of $9.5m to $12.5m.