Harvey Norman has reported a profit before tax (PBT) of $400.29 million for the first half of the 2025 financial year, marking an an increase of $116.71 million, or 41.2%, compared to the first half of 2024.

The company's total system sales revenue, which includes overseas company-operated sales and aggregated franchisee sales in Australia, reached $4.83 billion. The net debt to equity ratio stands at 12.01%, while the cash conversion rate has improved to 118.8%, an increase of $186.59 million from the first half of 2024.

Net assets are valued at $4.72 billion, reflecting an increase of $206.34 million from the first half of 2024. The company has achieved a five-year compound annual growth rate (CAGR) of 7.5% in net assets.

Franchisee sales for the period from July 1, 2024, to October 31, 2024, rose by 3.2% compared to the same period in the previous year, with comparable sales up 3.1%. Sales for November and December 2024 increased by 9.0% compared to the same months in 2023, with comparable sales up 8.6%. January 2025 sales saw a rise of 2.4% compared to January 2024, with comparable sales up 2.1%. Sales for the first 21 days of February 2025 increased by 7.2% compared to the same period in February 2024, with comparable sales up 7.0%.

Chairman Gerry Harvey said: "We have made significant strides in enhancing our digital, online and in-store experiences, alongside the strategic expansion of our global store network and targeted investments in key segments. Consumers continue to embrace the growing AI-PC market, with Harvey Norman proudly enhancing it AI foothold in the delivery of the Next Gen AI technology range. The continuing innovation and mainstream adoption of Next Gen AI PCs and devices are expected to drive further sale s growth in Home Appliances, Television, Audio, Mobile & Computer Technology categories throughout 2025 and beyond."

The board has recommended a fully-franked interim dividend of 12.0 cents per share to be paid on 1 May.