Warehouse problems hit SuperGroup
SuperGroup, the owner of the Superdry fashion brand, has reported a first half pre-tax profit of £20.3 million compared to £14.6 million in the same period last year.
Underlying profit before tax was £13 million down from £13.5 million last year following a glitch with an upgrade to the company’s warehouse IT system which left some stores short of stock during the summer. Although the warehouse problem was resolved, SuperGroup issued a profit warning in October saying that it would cost the company around £8.8 million of profit for the full year.
Group revenue increased to £136.1 million from £90.3 million while retail revenue grew 34% to £73.1 million. Retail like-for-like sales were up 4% in the 26 week period.
Online sales almost doubled in the period and now account for 8% of group revenue. International sales were also strong with 65% of total sales revenue coming from international markets which increased 132% compared to the previous year.
Superdry opened 12 new stores in the six months and said it was on track to add a further 20 by April 2012.
Commenting on the results SuperGroup’s CEO, Julian Dunkerton, said:
"In the last six months we have seen a challenging trading environment and have had to overcome some significant distribution issues within our Retail Division.
"Our replenishment capability in the UK business in now restored and our international and eCommerce businesses continue to show good growth as a result of strong demand for the Superdry brand.
"While the economic outlook remains very uncertain, I am confident in our strategy and ability to improve many operational aspects of our Company to achieve further efficiency and to maximise the opportunity we have both in the UK and overseas."
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