• Group sales up 3.0% to $371.0m
• Comparable EBIT up 28.6% to $31.0m
• Group inventory reduced by 5.3% to $201.9m

Michael Hill International Ltd reported a 3.0% increase in group sales to $371.0m for the half-year ended 28 December 2025. Comparable EBIT increased 28.6% to $31.0m, driven by higher sales volumes and improved gross margins. The company's retail segments in Australia, Canada, and New Zealand all delivered strong same-store sales growth, with Canada achieving another record performance. Gross margin remained broadly flat at 61.2% as increases in input costs were offset by enhanced product mix and disciplined pricing. The group reduced inventory levels by $11.3m to $201.9m, a 5.3% reduction. During the half, the company opened three new flagship stores and closed a net two stores, taking the total network to 285 stores across all markets. The board has decided not to declare an interim dividend but intends to return to dividends at the full-year results, subject to current trading conditions.

The company reported that for the first eight weeks of FY26H2, group sales were up 4.5% and group same-store sales were up 6.0% on the prior year. The company remains focused on driving growth through product innovation, brand initiatives, and operational efficiencies.