Harvey Norman has released its preliminary profit results for the year ending 30 June 2012.

The company witnessed sales of $5.74 billion for the period, a seven per cent decline for the same period a year ago. Like for like sales over the period were down 6.5 per cent.

The preliminary profit report also demonstrated a significant decline for the period. According to Harvey Norman chief financial officer, Chris Mentis, profit before tax and minority interests for the consolidated entity was $227.6 million compared to 373.9 million the year before. This represents a decline of 39.1 per cent.

“Trade conditions continue to be challenged coupled with deflationary headwinds, particularly in the technology categories. Home appliances, furniture and bedding remain stable and the businesses are well placed for an upturn in any housing starts,” said Mentis.

“Our retail franchisees will continue to innovate, invest and improve their product offering, online channel, staff changing and strategy category enhancements.”

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