They may not carry the same glitz and glamour as the big dogs in the S&P/ASX 200 Index (ASX: XJO), but a handful of smaller ASX retail shares are certainly upstaging many of their larger peers in terms of share price movement today.
The consumer discretionary sector — home to the largest ASX retailers — is down 0.2% at the time of writing. Collins Foods Ltd (ASX: CKF) is taking the heaviest blow to its share price, tumbling 11% following a disappointing update.
But what about those ASX retail shares slipping under the radar because of their small stature? Their results can help inform us about the broader retail industry while presenting potential investment opportunities.
Here are three retailers making noteworthy gains (and losses) today.
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3 ASX retail shares reacting to results
Beacon Lighting Group Ltd (ASX: BLX)
In what is becoming a common theme in reporting season, Beacon Lighting felt the inflationary squeeze during FY2024. The lighting retailer grew its sales from $312 million to $323.1 million, assisted by increased trade and online sales. However, the slight sales growth failed to translate to brighter profits.
Beacon's annual report described that some of the group's operating expenses were 'difficult to manage in the current inflationary environment'. As a result, net profit after tax (NPAT) fell from $33.6 million to $30.1 million as operating expenses consumed 42.9% of sales.
The company declared a fully franked dividend of 7.9 cents per share. Shares in the ASX retailer are up 4% to $2.61 in afternoon trading.
Universal Store Holdings Ltd (ASX: UNI)
The footwear and apparel company is walking with an extra spring in its step today. Unlike Beacon, Universal Store Holdings dialled up its sales and earnings in FY24 through 'disciplined cost control'. Sales jumped 9.7% to $288.5 million, while underlying NPAT leapt 18% to $30.2 million.
Still, if we look at like-for-like sales, Universal Store actually experienced a 0.3% decline. Conversely, the company's smaller brands (Perfect Stranger and CTC) showed strong sales growth, increasing by 56.2% and 6.2%, respectively.
Universal Stores declared a fully franked final dividend of 19 cents per share. The ASX retail share is trading 11.2% higher to $7.05.
Reject Shop Ltd (ASX: TRS)
Last, and definitely the least impressive to shareholders, is discount store operator Reject Shop.
Store sales may have climbed 4.1% to $852.7 million in FY24, but it's not enough to mask the bottom line. Blaming rising costs, Reject Shop recorded a 35.9% reduction in net profits, sinking to $4.7 million for the full year. The cost of doing business swelled from 36.8% of sales to 37.7%, eating further into an already paper-thin margin.
The weak result prompted the board to refrain from declaring a final dividend. The signalling effect of this decision might be why this ASX retail share is bearing a 9% price fall today, dropping to $3.11 apiece.
