Baby Bunting FY26 profit rises 33.9% on strong sales growth

Baby Bunting Group Ltd reported a 33.9% rise in fiscal 2026 profit, driven by sustained sales growth in its core baby products segment. The company, Australia’s largest specialty retailer of baby goods, said net profit after tax reached A$52.3 million ($34.1 million) for the year ended June 30, 2026, up from A$39.1 million in the prior year.

Revenue climbed 12.4% to A$587.5 million, supported by higher demand for prams, car seats and nursery furniture. Same-store sales increased 8.2%, reflecting continued consumer spending on infant essentials despite broader economic headwinds. Baby Bunting attributed the outperformance to its expanded store network and e-commerce platform, which now accounts for 18% of total sales.

Gross margin expanded to 44.2% from 42.7%, partly offset by higher freight and supply chain costs. The company maintained its full-year dividend at A$0.28 per share, signaling confidence in its operating momentum.

Baby Bunting’s results contrast with softer retail trends in discretionary categories, underscoring the resilience of baby and toddler products as a defensive segment. The company plans to open 10 new stores in fiscal 2027, targeting further market share gains in regional Australia.