By David Winning

SYDNEY--Lovisa's shares achieved a new intraday high on Wednesday after the costume jewelry retailer's snapshot of trading early in fiscal 2026 sparkled.

Lovisa said same-store sales were up 5.6% in the first eight weeks of fiscal 2026, while total sales--which include shops open for less than one year--were 28% higher.

Jarden analyst Ed Woodgate said the early pace of total sales in fiscal 2026 was nearly double the 14.6% growth that the market is anticipating for the year as a whole. Consensus estimates for annual same-store sales growth are 2.9%, so Lovisa is outperforming and faces sales a year ago that will become easier to beat as fiscal 2026 progresses.

Lovisa's share price was recently at A$41.90, up 15%. In contrast, the benchmark S&P/ASX 200 index was 0.2% higher.

Jefferies analyst John Campbell said Lovisa's sales growth is very positive if it can be maintained.

Fiscal 2026 looks like an interplay between much improved same-store sales, a faster store rollout in more affluent regions, but costs, rents and depreciation and amortization are headed higher, Jefferies said.

"Where forecasts go will depend on how the company guides on these variables," said Campbell.

Right now, the rise in same-store sales is likely to be the decisive factor, he said.

Write to David Winning at david.winning@wsj.com

(END) Dow Jones Newswires

August 26, 2025 21:27 ET (01:27 GMT)

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