The Warehouse Group's slight shift in fortunes is proving encouraging, although the business admits there is still work to do

The company has reported a 11.8-million half year profit, however sales have declined and they are still expecting to make a loss this year.

Warehouse Interim Chief Executive John Journee says they're moving on from a strategy which wasn't working, and refocusing on what customers want.

Journee says their work is starting to show fruit, with lower priced, more exciting products.