Investors flee candle retailer Dusk despite higher full-year sales, earnings
Investors fled Dusk on Friday despite the home fragrance and candles retailer forecasting higher sales and earnings for the 2025 financial year.
In a trading update, the company said it expected total full-year sales to hit between $137 million and $139m, up from the $126.7m last year.
Underlying earnings is forecast to be between $7m and $8, up from the $6.2m recorded in the 2024 financial year.
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By continuing you agree to our Terms and Privacy Policy.But shareholders responded negatively to gross margin pressures. Dusk said the gross profit rate for 2025 was expected to be 50 to 100 basis points lower on last year’s 64.3 per cent, sending shares 26.5 per cent, or 31¢, lower to 86¢.
The NSW-based retailer has about 140 stores across Australia, according to its 2024 annual report.
Dusk said it continued to implement its product-led turnaround strategy, achieving ongoing sales and earnings growth year-on-year as it drove customer acquisition and expanding into new categories.
Chief executive Vlad Yakubson said the 2025 financial year was an important year for the retailer as it transformed the business.
“We are excited by the improvements we are planning for FY26, as we deliver refreshed core product ranges, exciting seasonal and fashion product and further category expansion,” he said.
“We are in a strong financial position and our inventory remains clean and well balanced.”
