Shares in Harvey Norman Holdings climbed to a new peak on Friday after the Australian retailer announced a 47% increase in net profit after tax (NPAT) for the 2025 financial year (FY25) with strong growth reported from all business segments.
The company said profit after tax rose to A$525.58 million (US$324.36 million) in the year ended 30 June 2025 from $357.628 million in FY24 on sale revenue which increased 4% to $2.919 billion.
At the time of writing, Harvey Norman (ASX: HVN) shares were trading 73 cents (11.81%) higher at $6.91, capitalising the company at $8.70 billion, after earlier reaching a record peak of $7.09.
Profit before tax for the year increased 39% to $753.10 million as the group reported continued momentum across its integrated retail, franchise, property and digital operations.
The profit included a $150.39 million gain from revaluing property, compared with a reduction of $116.5 million in FY24.
Directors announced a fully franked dividend of 14 cents per share to be paid on 3 November to shareholders registered on 7 October, making 26.5 cents for the full year, up from 22 cents in FY24.
"The FY25 result is a testament to the strength of our diversified business model and the disciplined execution of our long-term strategy,” Chairman and joint founder Gerry Harvey said in an ASX announcement.
“We’ve delivered solid growth across all core segments, driven by strong franchisee performance, the resilience of our property portfolio, our measured global expansion, and continued investment in digital transformation and in-store innovation.”
He said the franchising operations segment in Australia lifted profit before tax 25.9% to $344.39 million on a 6.1% rise in aggregated franchisee sales revenue to $6.43 billion in FY25 as margins rose to 5.36% from 4.52% last year.
Franchisees continued to benefit from strong consumer demand across Home & Lifestyle categories, particularly in Mobile & Computer Technology and Electrical, supported by the growing adoption of AI-enabled devices.
The property segment doubled profit before tax to $321.55 million, supported by the net property revaluation increment.
“The early trading results for FY26 are encouraging,” Harvey said.
The momentum of aggregated franchisee sales in the second half of FY25 had continued, with franchisee sales rising 6.6% in July from July 2024.
Founded in 1982, Harvey Norman operates more than 310 company-owned or franchised ‘complexes’ in Australia and overseas, selling a range of electronic and home appliances and products such as computers and beds.
