The Lovisa Holdings Ltd (ASX: LOV) share price has now collapsed in half since last August from above $12 to just $5.67 as investors exit the cut-price jewellery retailer on the back of a weaker-than-expected trading update and poor sentiment over the retail sector in general.
At its recent AGM Lovisa's management told investors that same-store sales for the financial year to date were down 0.9%, which is way off the strong rates of comparable growth investors in the business had grown used to.
The group is still working on an aggressive Australian and global expansion strategy via new store openings, with it expecting to have at least 360 stores trading by Christmas.
In FY 2018 Lovisa gres same-store sales 6.8% to deliver a net profit up 24% to $36 million. It also paid 14 cents per share in dividends to place it on a trailing yield of 2.5% plus full franking credits.
