Many thanks, Paulie. Good morning, everyone, and thank you for taking the time to dial in today.

On the call today, you have our Executive Deputy Chairman, Mark McInnes, our Group CFO, Chris Lauder, and myself, John Cheston, Global CEO. As you are aware, this morning we published our full-year results for the ASX, and we'd like to talk you through them now.

I'll do a page turn through the highlights of the presentation, happy to take questions at the end. If we first turn to page 3, we will talk through some of the highlights of the year.

I'm pleased today to present another strong result for FY26, as Lovisa maintained momentum through to the first half, having 75 new stores in the second half to take the full-year count to 160 new stores opened, and now takes the store network to 1,136 stores at financial year end. This allowed us to deliver growth in total sales of 17.6%, which including comparable store sales up 2% on prior year.

A highlight of this performance was the delivery of close to 30% growth in both the Americas and European markets, reflecting the focus on growing these markets with quality stores. Our gross margin continued its consistent growth up 60 basis points to 82.6%.

We continue to invest in the cost structure of the business to support ongoing growth in stores and online, with all of this combining to deliver EBIT of $158.2 million, up 14.1%, and NPAT of $95.6 million, up 10.7%, which has allowed the board to announce an increased final dividend of 33 cents, up 22% on prior year to be paid in October. As you'll all know, we opened the first trial stores of our potential new global brand, Joules, in the UK in June last year.

The results of the Joules business are included in the reported FY26 results for the full period in the current year that I just noted, and we will talk to further today. As Joules continues to be in its startup phase, we will not specifically be talking about its performance as part of today's results.

However, its impact is included in the numbers we will be talking to. If we turn to page 5, you can see the sales performance for the period that shows the benefit of our continued store network expansion with consistent sales growth over a number of years.

Looking to our regions, growth was once again strong in the European and Americas markets at close to 30% for each market for the financial year, with those regions continuing to provide consistent new store growth. The APAC regions continue to be our biggest opportunity through a renewed focus on operational excellence with structural changes to our operations team in place and now starting to deliver benefits.

I'd now like to hand over to Chris Lauder, our CFO, to talk through our financials. Thanks, Chris.

Thanks, John. Morning, all.

If we turn to page 6, gross profit was $775.3 million at an 82.6% gross margin, up on last year by 60 basis points, and represents a continuation of the strong year-on-year margin growth we've seen over a sustained period, with 270 basis points of improvement since FY23 alone. This result has been delivered from our continued focus on sourcing, ongoing promotional efficiency, and improved shrinkage.

We've continued to focus on the efficiency of our inventory position, and are very pleased that we've been able to maintain our inventory in a good state. Turning to page 7, I'll talk through our profit.

As you can see, we've again been able to deliver strong growth in profit, continuing the consistent trend over a number of years, while continuing to invest into the business with a focus on service and management structures, technology, and supply chain to support our constantly growing business, while at the same time also being able to invest in the startup phase of the Joules business. Turning to page 8, you'll see that the cash generated by the business has again been a highlight, with cash from operations before interest and tax of $294.5 million for the financial year, up 21%, reflecting tight management of our working capital and the continuing operational strength of the business.

Cash capital expenditure for the period was $58.5 million, predominantly for new store fit-outs, as well as store refurbishments and investment into support technology. Cash interest and lease payments were also higher than prior year due to the growth in the store network.

Turning to page 9, you'll see that the balance sheet remains strong, with a clean inventory position and significant liquidity available to fund growth. The strong profit result for the period and continued strong cash flow and balance sheet position has allowed the board to announce a final dividend of 33 cents per share, up 22 cents on prior year--sorry, 22% on prior year, taking full-year dividends to 86 cents and representing the distribution of 100% of earnings for the financial year.

I'll now hand back to John.

Thank you, Chris. If we turn to page 10, a quick update on store numbers.

The key driver of future growth for Lovisa continues to be in our global store rollout. We finished the financial year with 1,136 stores trading in over 50 markets, with 160 new stores opened in the financial year.

We remain focused on continuing to grow the store network globally, and we're pleased that we were able to maintain the momentum from the first half through the second half of FY26. The strong base we have built in the European market allowed that market to deliver the largest share of new store growth for the period, with 76 new stores, including 34 in the United Kingdom and 20 in Germany, and provides us with a very strong base to continue to expand from.

In the Americas region, we were able to continue the momentum in our US and Canadian store rollout, with 44 new stores opened in the Americas during the period. We were also We were also able to open six new franchisee markets in Réunion, Mauritius, Ghana, Kenya, Burkina Faso, and Iraq.

Turning to pages 11 through 16, you will see some images of our latest store fit-out concept, which we call Series 5, which we have continued to roll out to new and refurbished stores around the world. This concept is designed to give a more refined and elevated feel to our stores, and add a new piercing studio store-in-store concept, along with new elements such as digital screens.

To date, we have opened 53 stores under this concept, with a strong pipeline of further investment in store look and feel coming for FY27. On page 17, I will talk to the trading update for the first eight weeks of FY27.

Trading for the first eight weeks of the new financial year saw total sales on a constant currency basis up 16.4% on the same period in FY26, with comparable store sales for this period up plus 3% and showing an improving momentum through the month of August. We continue to focus on opportunities for expanding both our physical and digital store network, with a long new store runway supporting continued store rollout momentum, and our balance sheet remains strong with available cash and debt facilities supporting continued investment in growth.

To summarize the financial year on slide 18, we were able to again deliver strong sales growth for the period, with store network growth combined with comp sales up 2% to deliver total sales growth of plus 17.6%. Our global expansion delivered 160 new stores opened in the financial year, finishing the year with a total network of 1,136 stores.

Gross margins were again outstanding at 82.6%, an improvement of 60 basis points on the prior year, which was achieved along with a clean inventory position. This combined to deliver strong profit growth, with EBITDA of $301 million, up 20.9% on the prior year; EBIT of $158.2 million, up 14.1%; and NPAT of $95.6 million, up 10.7%, with our strong cash flow and balance sheet position allowing the board to announce a final dividend of 33 cents per share to be paid in October.

We're also very pleased to be able to announce a solid start to the new financial year, with total sales up 16.4% and comp sales up 3% for the first eight weeks. I'd like to take this opportunity to thank our entire global team for the outstanding work they are doing to deliver these results.

With that, I'd like to invite you today to ask any questions you have. Many thanks.

Hi, guys. Just firstly, conscious you said that you're not going to give us any specific numbers around Joules, but can you give us a sense of whether the trial was loss-making or profit-making in the second half of the year, please?

Thank you, James. We've not disclosed the the second half.

We we did disclose it in the first half. I think our view would be, it's a similar number in the in the second half to the first half.

What we would say is we're excited with the new trial that we've got in our Brent Cross store in North London. We're seeing some very encouraging results coming through from that concept.

It is a a somewhat different iteration to the first concept, and the initial signs are very encouraging. Then once once we're in a position to give some more color on Joules, we'll do so.

I think that's all we'd say on that today.

Good morning, John, Chris, and Mark. The pace of stores slowed in the second half, and I appreciate that you made some commentary around making sure that any lease renewals were entered into with specific return hurdles in mind.

Does that mean that we should expect a similar pace of stores, sort of a 1.5 per week net openings for the for FY27?

Look, we we opened 160 over the financial year. I I would be looking to a similar number to that in the FY27.

We've got a good pipeline established. We're focused on the markets we wish to open our stores.

We know, where we're getting good traction. I I I would see a similar similar number of stores in FY27 to that of FY26.

A similar pace of closures as well then?

No, no, no. I'm I'm talking to store openings.

We we as I said, we've set 160 last year. We'll be looking for another similar 160 for the new financial year.

We we assess all of our stores in terms of their their profit. We'll we'll take a decision on stores if we need to close some, if we need to refit some, we need to relocate some.

I really wish I'd wish for you to focus more on we're looking at 160 new store openings for FY27.

Thank you.

Thank you. Good morning, John and Chris.

Thanks for taking my question. Just want to focus on the ANZ region.

The ANZ store performance looks like the average store revenue in the second half is down more than in the first half. Could you talk to what's driving this, and has has there been any improvement as we go into FY27 with the global comps more reflecting a quite strong level?

I think the most important thing I'd like everybody to to to acknowledge is we're a global business. We've got over 1,100 stores.

We've seen 30% growth in the Americas, we've seen 30% growth in in Europe, and we've got a very, very long long runway of store openings. We we look at our our business in a global perspective.

We we are fortunate in some regards that over the years, we've built a global business, one of only very few Australian global businesses. We we look to talk to the global number and the growth that we've delivered over the over the the financial year.

We're insulated in some regards, and we've naturally hedged in some regards to the the the business over in Australia and New Zealand. I'd really prefer people to look at us as a global business and the great growth we're delivering as a global entity.

Hi, guys. I wanted to ask on working capital.

It seemed pretty strong with a 13% reduction in inventory despite 18% sales growth. Has there been any structural efficiencies in inventory efficiency that we should think about going forward, or are there some one-off benefits in '26?

We're always looking to improve our inventory efficiency, Sam, so that's BAU, and we've we've definitely made some improvements there. Just a big part of that movement is just the movement in spot translation rates at the end of the financial year.

If you just look at the rates, that's that's caused you'll see equivalent decrease in trade creditors and and inventory. It's on both sides of the balance sheet.

Thanks.

Thank you. Good morning.

Just a question on the efficiency of the business as you as you see it today. Understand you're talking at a global profile, let's do that.

You have invested hard into the cost base in FY26, setting up support structures and other structures globally. Obviously, noting the inventory comment you just sort of talked to, but to what extent do you feel you have now invested heavily in the business and maybe willing to let more sort of operating leverage flow through in looking forwards?

Look, our focus is always to to manage our cost of doing business as tightly as as we can. We're we're fully au fait with as a a business that has a a strong margin, if we can deliver comp sales growth which are acceptable, if we can continue that strong margin delivery that we we continue to execute, and we can manage our CODB tightly, we're all fully aware that the operating leverage of that will filter down to the bottom line.

Our focus is remain, and will always remain, on comp sales, on managing costs, on on managing our margin, and seeing that filter through to the bottom line.

Hi guys, hope you're well. Obviously sneaky and sneak two little ones.

Just on the result, you had eight about $8 million of impairment losses and loss on sale on PP&E in the second half of '26, which obviously hurt the result. To what extent is that sort of repeatable?

Then also, did you book a tariff benefit in the gross margin in the second half, please?

Ari, yeah, you can obviously see in the the store count that we we've closed 43 stores in the financial year, and and and relocated, I think it's 12. That's mainly you said loss on sales, just loss on disposal where you close stores and you've still got a written-down value, you've got to write it off.

That and, the ongoing review process of our store network that that we always do means that some stores will will close, and we'll have to raise impairment provisions against or or write off. That's basically that number's just reflective of of that number of store closures for the period.

Then Oh, sorry, the the tariff that did you benefit from tariff refunds in the second half, and to what extent did that help the 83% gross margin, please?

On a full-year basis, the tariffs are in there, and then they came back, there's no impact from from the tariffs on the full financial year. There's a little bit of movement between the first half and the second half, but yeah, it's it's full year, it's not not an impact.

Great. Thank you, guys.

Hi, guys. Thanks for taking my question.

Just wanted to see if we could get an update on how the new Series 5 stores are trading versus the existing fleet, and maybe what that uplift looks like. I guess maybe secondarily to that, just given you've rolled out that concept globally, interested in the consistency of of the uplift across regions.

Thank you.

We we don't give color in terms of the the uplift we get from a a Series 5 or whatever iteration. We don't we don't give that level of detail.

Obviously, it's sufficiently acceptable for us to be rolling out 53 stores and to continue to roll it out in the in the next financial year, I'd take that as a positive. Chris, quite rightly always says it's part of doing business.

You you have to keep reinvesting in your fleet and keep relevant. Some of it is a necessity to do, to to ensure we're relevant to our customers.

Clearly, it's been sufficiently acceptable for us to continue to roll this proposition out.

Got it. Thanks, guys.

Thanks for that. Just just back to store roll out.

A few years ago, you were I I believe you were struggling to open stores in the US that that basically met your return hurdles. Effectively, as I understand it, because rents were too high and they required key money and larger footprints and and other things.

That seems to have turned around in the last period, or probably the last year or so, and you're opening more stores in North America. Can you just comment on whether, terms, leasing terms have got better over there, and and it's generally easier for you?

I think we will own we would own, and we'll continue to own, that it's on us in terms of our what we can do inside our house, and that is to do with products, allocation, marketing, and retail operational standards. Rather than talk to what's happening with landlords and rents, we we believe we've done an an improved job.

We we wanted to, and we've delivered on that. We've got a capable team, we've got a motivated team.

I would look to the continued rollout in the Americas in terms of our improving efficiency and our operational standards.

Okay. No real impediments, I guess, is what you're saying, because of your performance?

No. We we we're a well-represented brand over there.

We are coveted by landlords to come into the centers. We've got a proposition they like.

We've got good standards of stores, good operational standards. I've recently been over in the US for 5 or 6 weeks, and I I've got a landlord base who are hungry for Lovisa business to be in their centers.

Yeah. Thanks for that.

Hi, guys. Conscious you wanted to talk on a global level, but could I just ask about sort of the refurb and CapEx program in ANZ in particular?

Can you just run us through maybe sort of how much of a drag closures for refurbishments might have been in the second half, and whether they were sort of weighted to earlier in the half or later to the half?

There's not really a lot to see there. We renovate or refit a store when the lease comes up, when we've negotiated with the landlords for a renewal, and we've got some tenure so that we can depreciate the capital.

We've obviously been sufficiently encouraged with our new proposition to roll it out. Normal cadence or rhythm of the business is what we've been seeing in the second half, to be totally candid.

Thanks, guys. Thank you.

Thanks for taking the follow-up. Just on the gross margin seasonality, historically skewed to the first half.

You've obviously had a good performance in the second half. Assuming from the comments related to the tariffs that that was part of the benefit there, just looking into '27, do you expect the seasonality to return to historics?

Not basing 1H27 off the performance of the second half?

There was, as Chris said, there was a little bit in the second half, but on the blended year, what went out came back, there's nothing in the full year. Our focus is ostensibly and will always be on markdown management and better product.

The team who work closely with me are focused on better product, better cost price negotiation with the vendors, lower markdown management, which means we retain more than we give away. I think we're pleased with the numbers we're reporting today in terms of the margin and the 60 basis points growth.

Our endeavor will be to continue to deliver acceptable gross margins for the shareholders.

Can you sort of unpack the gross margin benefit from those different buckets? Was it substantially from a better promotional activity that you saw that uplift, or from the sourcing?

Combination I'm not trying to be opaque, but it is a combination of everything. If you put all the levers into better product, better buying, better quantification, lower markdown, better marketing, you get an outcome which is acceptable.

Our focus is on all those inputs to get the right output.

Thank you.

Hey, guys. Sorry, I joined the call a little bit late, I'm not sure if I've missed this.

Just on tariffs, just wondering whether you've confirmed whether you'd received a tariff refund from the US in the second half, and or are you expecting anything in FY27?

We had already had that question, and the answer was that in the full year, there's no real impact from the US tariffs because we paid them in the first half and then got some refunds in the second half, so that nets out to nothing in the full year. As for what comes in the next financial year, well, we'll see what happens in the US, but that's outside of our control.

Okay. Thanks.

Thank you. Thanks, John and Chris again, and thanks for taking my follow-up question.

Maybe within the global context for the group, looking at Europe, which is your largest group, would you be able to give us an update of how the store pipeline looks like with the last bit of updates in June from your biggest competitor there?

We're focused on what we can focus on. We know the representative countries well.

We know how many stores we have in those respective countries. We know how many stores we believe we can have in those respective countries.

We're just focused on delivering that number that we believe we can operate in.

Thank you.

Sorry, guys. Sorry.

Just on the comps, July, August obviously up 3% in like-for-likes, and you're cycling plus six last year, and for the rest of the half, the comps get way easier, like plus ones. Can you just run through if there's any one-off benefits or timing impacts from this year in terms of that explains the strong comp update, and whether that normalizes or is the way I'm thinking about it in terms of getting easier in terms of comparables the right way?

Thanks.

You're right to point out that we're cycling some big numbers, because as we've called out this time last year, in the first eight weeks, we were up 5.6%. We're 3% up on the 5.6%.

We've called out there's been improved momentum in the month of August, which is correct, because that's how we're seeing it, and that's what's happening. Credit to the product team, credit to the merchandising team and the operational team for delivering those 3% comps.

As we've said, particularly pleasing in the last few weeks as we've progressed through into August. We're very cognizant of the numbers ahead in terms of what comp sales were up against last year, and I would say we've got all of our plans in a row to continue to deliver the barometer of health, which is a strong LFL.

That's our focus. That's what we do every day.

Oh, hi again. Thank you.

I wanted to ask around the higher rate of store closures. I was wondering, have your internal hurdles become more stringent, or have the performance of the stores closed softened?

Sorry, I didn't catch the final bit. Say that again.

Sure. I'm asking, is the reason that you're closing more stores a function of your internal hurdles becoming more stringent, or is it because the performance of the stores have softened?

Our internal hurdles have not softened. Our internal hurdles have always been the same, and they'll continue to be the same.

We simply believe that there's better quality stores that we can do deals on with landlords in better centers, in better locations, and if there's a better option, that's what we're going to take. What I would say is the quality of the stores that we've been opening in the last financial year have been of a high quality.

We monitor the performance of those stores against their respective pro forma, against their ROI, and where we see there's a better opportunity, that's what we've been taking.

Makes sense. Then are the margin or returns on new stores still consistent with the historical Lovisa rollout model?

How has that changed over the last decade as you guys have scaled globally?

Look, Sam, you know as well as anyone that that's not a simple question to answer, and one that we wouldn't engage in. Things have changed a lot in the last 10 years in the business, we just play every store as it comes, and make sure it hits our return hurdles.

Great. Thank you.

Thank you, Paulie. Once again, thank you for taking the time to join us on this call this morning.

We are pleased to announce these numbers today for FY26, and we're equally encouraged with the start to FY27, with the 3% comp growth improving in the month of August. If we see any of you later, look forward to it.

For now, thank you for taking the time to join Chris, myself, and Mark this morning. Thank you.