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Speaker 1: Another good period for Brisco is the company that seemingly

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Speaker 1: keeps on selling no matter the economic climate. So the group,

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Speaker 1: which also includes of course Rebel Sport, made a net

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Speaker 1: profit of thirty three million dollars and a half year

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Speaker 1: two July. So what are they doing when so much

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Speaker 1: of retail can't seem to do well? At the moment,

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Speaker 1: Brisco's group managing directors, of course, Rod Duke was with us, Rod,

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Speaker 1: very good morning to you and without well, thank you,

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Speaker 1: and without getting into the weeds here the depreciation and

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Speaker 1: the tax treatment on commercial buildings, if that hadn't changed,

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Speaker 1: you would have in fact got an even better profit,

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Speaker 1: wouldn't you.

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Speaker 2: Yeah, it's a one off cash.

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Speaker 1: I don't know, okay, So what's going on in retail

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Speaker 1: that you do well and so many others can't.

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Speaker 2: I think it's probably the merchandise proposition that we've got.

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Speaker 2: You know, we said about a long time ago to

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Speaker 2: get famous brig named and put them out there at

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Speaker 2: the right price. And it's just one of those propositions.

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Speaker 2: It seems to resonate with customers.

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Speaker 1: None of that was complicated. How come if you can

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Speaker 1: do it, others can't or don't.

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Speaker 2: Look, I guess they've found a market position that they

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Speaker 2: think is sustainable and defendable and they've just persisted at

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Speaker 2: that and sort of left us alone. Yeah, quite right.

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Speaker 1: So is this the bottom economically speaking? Do you reckon

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Speaker 1: or not? Or we don't just don't know.

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Speaker 2: Well, we're happening. So, you know, we saw some green

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Speaker 2: shoots I think not so long ago when interest RaSE

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Speaker 2: looks as though they're plat owed, and I guess that's

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Speaker 2: the first thing that has to happen. It has to

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Speaker 2: work its way through to the suburbs, and that might

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Speaker 2: take a little while, but at least we've got those

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Speaker 2: first signs and that's encouraging.

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Speaker 1: And so as do you directly link your business and

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Speaker 1: the tools ringing to something like the ocr or not?

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Speaker 2: Well, I think it's all about how much pain is

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Speaker 2: being experienced in the suburbs. And clearly, you know, with

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Speaker 2: everything coming on top of us of them all the

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Speaker 2: one time, with insurances and food, inflation, utilities, bank interest rates,

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Speaker 2: you know, at all happening at the one time makes

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Speaker 2: it really, really very difficult in the suburbs.

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Speaker 1: So you've been around a while. Where is this period

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Speaker 1: sitting or has sat in terms of things like the

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Speaker 1: GFC and all of the other things we've experienced. Is

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Speaker 1: this as bad as it's ever been or different?

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Speaker 2: I think it's I think personally, I think it's a

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Speaker 2: little worse. The GFC was, you know, was something that

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Speaker 2: was was sort of started elsewhere. We were still in

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Speaker 2: pretty good shape. We didn't have the sort of infatiary

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Speaker 2: effect in all those items that I've just mentioned all

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Speaker 2: of the one time. We do have it this time,

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Speaker 2: and you know, it's I think it's kind of last,

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Speaker 2: perhaps just a little bit longer. But look, we're sitting

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Speaker 2: on the optimistic side of things and perhaps in the

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Speaker 2: run up to Christmas we'll get a little better.

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Speaker 1: Is there a variation within your group as to how

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Speaker 1: people spend and what they spend or not.

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Speaker 2: We have two businesses, one which is described as discretionary,

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Speaker 2: which is the sporting because business and the house where business.

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Speaker 2: The house with businesses basically a house of staples. You know, irons,

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Speaker 2: toasted color cases and the like. You know, when they

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Speaker 2: wear out or break down, you've sort of got it.

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Speaker 2: You sort of go and get it. With sporting goods,

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Speaker 2: it's one of those discretionary items that you can neither

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Speaker 2: stare or just make do with what you've got for

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Speaker 2: a little bit longer.

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Speaker 1: And so is Rebel hurting a bit more in that sense?

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Speaker 2: Well, oddly enough the rangers within Rebel, that is a

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Speaker 2: lot of the premium product is now available a Rebel,

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Speaker 2: but up until now it has not been. So Rebel's

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Speaker 2: actually performing very very very well.

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Speaker 1: Whoosh, So that's a supply thing, yes it is. Okay,

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Speaker 1: what about labor? What's your observation of labor, getting labor,

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Speaker 1: holding labor, the churn of staff, all of those sort

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Speaker 1: of things. Does that affect you and does it affect

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Speaker 1: you badly?

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Speaker 2: Yeah? It does. We have found for a considerable amount

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Speaker 2: of time it's been particularly difficult, you know, getting hold

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Speaker 2: of new staff. We managed to hold out stuff because

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Speaker 2: I think we generally pay them pretty well and it's

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Speaker 2: a fun place to work, but getting new staff is

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Speaker 2: difficult and has been for a good while now.

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Speaker 1: Right, tell me, hand on heart, honestly, because I read

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Speaker 1: the reports each time they come out with Brisco's and

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Speaker 1: you say the same thing every time, after record after

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Speaker 1: record after record, you then go, a's very difficult time.

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Speaker 1: So I don't know if we will or repeat this

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Speaker 1: and then you go and do it. Are you talking

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Speaker 1: with us, Rod?

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Speaker 2: I don't want to hide an expectation.

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Speaker 1: Like fair enough to so you underpromise over deliver as

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Speaker 1: the name of the game.

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Speaker 2: It's not a bad policy.

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Speaker 1: Very good. Nice to see Rod Duke, who is the

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Speaker 1: Briscos Group managing director.

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Speaker 2: For more from the Mic Asking Breakfast, listen live to

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Speaker 2: news talks. It'd be from six am weekdays, or follow

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Speaker 2: the podcast on iHeartRadio.