Nick Scali's Trading Update Needs to be Read Cautiously

Dow Jones
08/07

0023 GMT - Citi urges investors to be cautious when reading furniture retailer Nick Scali's trading update for its Australia and New Zealand business. Nick Scali's written sales orders were flat in the first five weeks of FY 2027. The retailer points out this performance measures up against high-single digit growth a year ago. Citi says this appears positive at first glance, noting 1H consensus expectations are for a 4% fall in like-for-like sales. However, Nick Scali's update isn't a reflection of same-store sales. Analyst Sam Teeger notes new store growth was 5% over this period, with four stores opening in FY 2026 and 1.5 in July. Citi had a neutral call on Nick Scali ahead of its FY 2026 result and trading update. Nick Scali is down 1.1% at A$17.04.

 

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