SuperGroup Q1 sales soar 15.9 percent

REPORT_ In its interim management statement covering the period from 27 April 2014 to 26 July 2014, released today, SuperGroup,

said that during the first quarter, the Group has continued to deliver double-digit sales growth across all its primary channels. This resulted in total sales for the period increasing by 15.9 percent to 87 million pounds (143.1 million dollars).

Total retail sales in the period were up 13.6 percent. In line with the growth strategy, new store openings were predominantly in mainland Europe and added a net 13,000 sq. ft. to the portfolio, including a large-format store in Marseille and a smaller one in the Alpine resort of Kitzbuhel, Austria, which compliments the forthcoming launch of the Superdry skiwear range. The new store pipeline remains strong, especially in Germany where six stores, including the German flagship in Munich, are due to open before the close of the calendar year.

“We have delivered another quarter of double-digit sales growth across both Wholesale and Retail. The order book for autumn/winter 2014/15 is in line with our expectations and continues to demonstrate the global appeal of the brand. With our strong pipeline of new stores, particularly in mainland Europe, the continued evolution of the ranges and our improved infrastructure we remain confident that we have the platform to deliver profitable growth in the current year,” said Julian Dunkerton, Chief Executive Officer.

Like-for-like sales in the quarter were down 3.7 percent against a very strong comparative of over 8.5 percent from the first quarter last year. Given the length of time from the end of the first quarter to our current reporting date the Group intends to alter its 2015/2016 reporting calendar. The Group will provide a first quarter trading update in early August 2015. The Group has now completed five weeks of second quarter trading and has seen an improvement in like-for-like sales following the transition to autumn/winter ranges. For the first 18 weeks of the new financial year to 30 August 2014, like-for-like sales were below1 percent.

Wholesale sales for the period increased 21.6 percent. The order book for autumn/winter 2014/15 has now closed and initial indications are that orders have increased by 10 percent, against tough comparatives, and are in line with expectations. This is the fourth consecutive season of double-digit growth, with overseas orders outperforming the more mature UK market. The Group has also continued to extend the global reach of the Superdry brand, having opened further franchise stores in France, Spain, Portugal, Taiwan, The Philippines and Malaysia during the period.