John Journee: The Warehouse interim Chief Executive on making a profit again

The Warehouse group is making a profit again, announcing its half-year results for the six months ending 26 January this year. 

But results did show a revenue drop of 1.6% for the first half of 2024.

The Warehouse interim Chief Executive John Journee talks to Ryan Bridge about the results.  

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Episode Transcript

Speaker 1 (00:00):
Ten after five, Ryan Bridge, are we seeing a bit
of a turnaround for the warehouse? They've reported eleven point
eight million and a half year net profit. This is
after tax, but sales did decline. They're still expecting to
make a loss over the entire year. John Janay is
the interim CEO. He's with me now, good evening, all right,

(00:22):
So what do you make of this? Because you've got
warehouse revenue down two percent, Stationary down seven, no lemming
up one. What's it telling you?

Speaker 2 (00:30):
Definitely it's a work in progress, Ryan, would be the summary.
But we're very encouraged with the momentum we're seeing across
the business now.

Speaker 1 (00:38):
And what from what base did you come give us
an idea of how bad things were?

Speaker 2 (00:44):
Well, we were basically, as you might recall, we were
in a strategy that wasn't working with our customers last year.
We've done some work to change that, repoint, refocus our
business on our retail brands, which absolutely critical in particular
the warehouse, and actually get us back on what our
customers want. Focused on that and that's what our teams

(01:04):
have been doing, and that's starting to show fruit, and
that's turning up in product that is better pricing, much
lower pricing, and much more exciting and engaging. Our customers
are loving the new products that were coming into store
and they're responding really well.

Speaker 1 (01:20):
First Union says that your strategy is basically understaffing and
not replacing people when they're sick.

Speaker 2 (01:28):
Yeah, bit confused as to the lines he was drawing.
There are the same as we're making predominantly coming from
reduction and it costs and our project costs, and basically
our green shoets are coming from our product successes and
the engagement with our customer. So a little bit confused
with where he's coming from. Over ten thousand team members

(01:50):
up and down the country. They're a critical part of
our operation and a success.

Speaker 1 (01:55):
So there's been no I mean, this is Rud Hughes,
the First Workers Union and representative. He says they've received
seventy five understaffing complaints and six staff not being replaced.
He said, this is your strategy is cutting costs to
make profit. Yeah, you're saying he's wrong.

Speaker 2 (02:10):
Yeah, I'm not sure. Six staff out of ten thousand
as a particular and strong fact point to be leaning
in terms set Again, we're seeing different things and you
know we know what we're focused on and what our
teams are supporting with us, and we're very appreciative of
what they're doing. They are working hard. I think everybody
today is working hard, and we appreciate them for that,
and they're passionate about serving our customers and that's what

(02:30):
we love them for.

Speaker 1 (02:31):
All Right, good on, John, thanks for coming on the show.
Really appreciate it. That's John June is the intermschief executive
at the Warehouse. For more from Hither Duplessy Allen Drive,
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