Villa World Limited announced audited consolidated earnings results for the year ended June 30, 2018. The company ended the 2018 financial year with a strong full year result, reporting statutory net profit after tax of AUD 43.6 million or 34.2 cents per diluted share, up 15% on the prior period's result of AUD 37.8 million or 32.4 cents per diluted share. Revenue was AUD 441.6 million compared to AUD 386.8 million a year ago. Profit before income tax was AUD 61,982,000 compared to AUD 53,987,000 a year ago. Net cash outflow from operating activities was AUD 67,640,000 compared to net cash inflow from operating activities of AUD 35,415,000 a year ago. Payments for property, and equipment were AUD 1,518,000 compared to AUD 594,000 a year ago. Net debt as at 30 June 2018 was AUD 171.1 million compared to AUD 73.8 million a year ago.

The fiscal year 2019 gross margin is expected to be within the range of 24% to 26%. The company expects cash outflow for acquisitions of AUD 40 million to AUD 60 million in fiscal year 2019, inclusive of AUD 7 million in capital lite transactions, with the balance funded from existing debt facilities. The company is targeting a statutory profit after tax of approximately AUD 40 million, assuming general consumer confidence is maintained, interest rates remain low, consumer credit conditions do not deteriorate, and first home buyer grants remain in place.