Brumby’s targets 60 stores in New Zealand

November 23, 2006

Brumby’s targets 60 stores in New Zealand

Leading trans Tasman baking franchise Brumby’s Bakeries has announced it will open its 23rd store in New Zealand next week with as many as three additional stores planned over the next year.

New Zealand head Rachel Casley said the baking franchise had a long term goal of 60 stores in New Zealand as part of its global expansion plans.

“Our 23rd store at Whangarei follows on from the successful launch in June of our first bakery within retailer The Warehouse’s new concept Extra store at Sylvia Park in Auckland,” Ms Casley said.

“That Sylvia Park store achieved record opening figures and we will be continuing this partnership with The Warehouse as Extra stores are rolled out across New Zealand.”

Ms Casley said Brumby’s New Zealand stores were achieving 40,000 transactions per week with growth in existing store sales double the New Zealand retail average.

“We believe New Zealand will remain a very strong growth market for Brumby’s which is why we have set this 60 store target,” Ms Casley said.

Brumby’s, whose 22 existing New Zealand stores made available almost $1.5 million in bread to local charities in the past year, revealed this month it was on the acquisitions trail with the completion of its debt reduction strategy by the end of 2006.

Brumby’s, which has 316 stores across New Zealand and Australia, said it had identified several acquisition opportunities in the area of food retailing which it could pursue in the next 12 months.

In September, Brumby’s reported a 21 per cent increase in net profit after tax for the full year to June 30, 2006 to $2.08 million, up from $1.72 million for the corresponding period the previous year.

ENDS

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