While Harvey Norman was printing money during COVID, it ain't tooting its horn too much anymore.
👉 Background: Harvey Norman as the ASX-listed retailer that’s been around since 1982. Since then, it has become a go-to for Aussies for all things furniture, electronics and annoying jingles.
👉 What happened: While Harvey Norman was printing money during COVID, it ain't tooting its horn too much anymore. In fact, we saw its net profit drop from over $800 million last year, to around $547 this year.
👉 What else: But despite the drop in profit, Harvey Norman still has one thing that many other retailers don’t have... an enormous, $4 billion property portfolio as part of its business.
💡Don’t put your eggs in one basket...or fridge, washing machine or couch. Unlike many other pure-play retailers, Harvey Norman isn't just selling couches; they're sitting on $4 billion in property.
💡Harvey Norman is the landlord of Harvey Norman stores, shopping complexes as well as buildings in Australia and Singapore. And this provides them with an alternative source of revenue to help cushion the retail ups and downs.
💡In fact, Harvey Norman’s property portfolio actually makes up nearly a quarter of total underlying profit.
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