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KMD Brands Limited (ASX:KMD)

ALERT: Price-sensitive ASX Announcement for KMD
Current share price for KMD : $1.450 1.21 (504.17%)+
Announcement
Release
2 Feb 2026 7:35AM
Price at Release
$0.240
Full Release
download
Summary
KMD Brands Limited reported a positive trading performance update for the first five months of the 2026 financial year, driven by strong direct-to-consumer sales, particularly from Kathmandu during Black Friday and Christmas. Same store sales for Kathmandu increased by 12.7% year-on-year, while Rip Curl's sales grew by 1.7%, with notable success in North America. Group wholesale sales were up by 9.4% year-to-date, with stable forward order books. Despite the competitive market resulting in a 100 basis point drop in gross margin to 56.7%, the margin remained higher than the second half of FY25. The Group's underlying EBITDA for the first half of FY26 is projected to be between $8 million and $11 million, compared to $3.9 million in 1H FY25. KMD Brands has extended its debt facility to April 2027 and has reduced its bank facilities to approximately NZ$283 million. The company remains committed to its 'Next Level' transformation strategy, focusing on sales, gross margin optimization, and inventory management.
Key Points
  • Positive sales momentum led by Kathmandu
  • Same store sales growth: Kathmandu +12.7% YOY, Rip Curl +1.7% YOY
  • Group wholesale sales increased by 9.4% YTD
  • Gross margin at 56.7%, 100 basis points lower YOY due to promotions
  • Projected 1H FY26 underlying EBITDA between $8 million and $11 million
  • Debt facility extended to April 2027, bank facilities reduced to NZ$283 million
  • Commitment to 'Next Level' transformation strategy
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.