Breville has reported $1 billion in sales for the first half of the financial year following double digit revenue growth of 10.1%.
The company successfully maintained its gross profit margin of 36.7% which carried through to overall profit growth of 10.3%.
Net profit grew by 16% to $98 million.
The company’s global product segment recorded $880 million and the distribution segment recorded $120 million.
The global product segment delivered double-digit sales growth of 13% continuing the momentum from the second half of 2024 – ending 30 June 2024. Coffee delivered strong double digit growth, cooking delivered high single-digit growth and food preparation delivered a small single-digit decline.
New products brought to market including the $3000+ Oracle Jet exceeded the company’s expectations, while new geographies entered by the business delivered 36% growth and outperformed expectations.
Breville announced it will enter the Chinese market in the coming months with a direct sales office selling Breville and Sage branded appliances located in Shanghai with offices in Shenzen and Hong Kong.
The Chinese market closely resembles the ‘digital’ or ‘online’ market of South Korea where Breville already operates. A ‘digital market’ delivers the vast majority of sales online rather than through bricks and mortar retailers similar to Australia.
Breville went direct in the Middle East on 1 January 2025 with new headquarters in Dubai. Breville, sage and Lelit products are now sold direct across the region, except for Israel where a distributor operates.
The American market for Breville delivered “solid growth” with coffee delivering double-digit growth, cooking rebounding to deliver low double-digit growth and food preparation delivered a slight negative result.
The Asia Pacific delivered strong growth over a weaker prior period with all categories in growth. Coffee delivered strong double-digit growth.
The EMEA market delivered strong growth led by double-digit uplift from coffee.
American-born Breville CEO Jim Clayton confirmed they decided to fast forward the supply of some inventory from China into the US market ahead of time to potentially avoid tariffs imposed by newly-appointed US president Donald Trump.
Clayton said he is looking at having additional production available in Mexico or South East Asia to reduce the amount of products affected by the tariffs which would decline from 40% of products made in China to 10 per cent.