Epicentre’s gross profit dives 23.9% to $12.8 million

Rising price competition and weak retail market weighed on business.

Digital retail company Epicentre Holdings Limited took a beating from a sluggish economy as poor retail sentiments prompted revenue declines and eventual closure of stores. The company declared a gross profit of $12.8 million in FY16, a 23.9% plunge from the previous year’s $16.8 million.

According to Epicentre’s full year results, group revenue for the financial year ended 30 June 2016 dipped 8.1% to $164.1 million compared to the previous corresponding year. The company blamed the increase in price competition and the weak global economy for the slumping revenues.

The business also sank further into the red with $5.8 million losses for FY16, twice as worse as its net loss of $2.9 million last year.