Key points
- Group sales up 3.8% to $641.7 million, driven by Adairs and Mocka
- Underlying Group EBIT of $55.0 million, stable year-on-year
- Statutory net loss of $39.4 million due to non-cash impairments and project costs
- Final dividend of 6.0 cents per share, total dividend 11.5 cents
- Focus on Furniture underperformed, reset and turnaround underway
Full summary
Adairs Ltd has released its FY26 Annual Report and Preliminary Final Report. The Group reported sales of $641.7 million, up 3.8% year-on-year, driven by growth at Adairs (+3.9%) and Mocka (+22.9%), partially offset by a decline at Focus on Furniture (-5.6%). Underlying Group EBIT was $55.0 million, stable year-on-year, with strong earnings growth at Adairs and Mocka offset by the decline at Focus on Furniture. The statutory result reflects a non-cash impairment of the carrying value of goodwill and brand intangibles at Focus on Furniture ($63.5 million), Adairs New Zealand exit costs ($2.5 million), and SaaS technology project costs ($18.6 million), resulting in a statutory net loss after tax of $39.4 million. The Board has declared a final fully franked dividend of 6.0 cents per share, taking total dividends for FY26 to 11.5 cents per share.