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Supergroup surges as it posts jump in H1 sales, says FY profit will meet views

Thu, 10th Nov 2016 07:47

(ShareCast News) - Supergroup shares surged on Thursday after the FTSE 250 owner of clothing brand Superdry reported a bigger-than-expected jump in first-half revenue and said it expects full-year profit to be in line with market expectations of £84.6m.In a trading update for the 26-week period to 29 October, the group said revenues were up 31.1% to £334m, as the weaker pound accounted for about one third of the reported growth in each of Supergroup's operating divisions. Analysts had been expecting sales of around £292m.Retail revenue was up 25% to £215.2m, with particular growth in e-commerce, while wholesale revenue rose 43.8% to £118.8m, benefitting from investments made in the prior year to strengthen the group's capability in this division. However, Supergroup said gross margin in the period is expected to decline year-on-year by around 130 basis points, mostly due to the strong participation of relatively lower margin wholesale sales. The company added 67,000 square feet to the own store portfolio, increasing the brand's average retail space by 19% year-on-year. During the half year, it opened 12 owned stores, all outside the UK.In addition, Supergroup successfully opened new distribution facilities in Europe and the US, which will operate as planned throughout peak trading and remain on track to be fully operational in 2017. Chief executive officer Euan Sutherland said: "This is another good performance particularly when set against last year's strong first half trading. Our new product ranges continue to perform well and during the second quarter our continuity ranges provided trading resilience when the weather across Europe was unseasonably warm."Our focus remains on executing the clear growth opportunities for the Superdry brand, together with key third quarter trading period ahead of us. The long-term opportunity for the brand is underpinned by continued investment in infrastructure and our multi-channel strategy that combines the ongoing development of our e-commerce platform with a disciplined approach to new space growth."Supergroup said it now expects pre-tax profit for the first half to be in a range of between £20m and £22m, compared to £19.3m the year before. Canaccord Genuity said: "Supergroup has broken the mould of downbeat trading updates from the majority of other clothing retailers with a stellar sales performance in H1."Meanwhile, RBC Capital Markets reiterated its 'outperform' rating on the stock. For the first half, it expects pre-tax profit of £21.6m versus consensus of £21.3m, with £86.8m for the full year versus consensus of £84.6m.At 1000 GMT, the shares were up 11.4% to 1,612p.
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19 Mar 2015 13:44

FTSE 250 movers: Retailers and energy stocks surge, ex-dividend insurers lower

Supergroup made strong gains after Investec said a focus on retail execution and UK profit maximisation was a "major opportunity". The broker reiterated its 'buy' rating, with analyst Kate Calvert adding: "We see material growth opportunities, not only in maximising UK profitability by optimising it

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12 Mar 2015 17:30

Thursday broker round-up

Asos: Cannacord Genuity raises target to 3,250p from 2,520p and reiterates hold. Cambian Group: Cannacord Genuity lifts target to 311p from 294p and reiterates buy. BP: JP Morgan raises target to 410p from 400p and reiterates underweight. Royal Dutch Shell: Investec reiterates hold. Supergroup: C

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25 Feb 2015 14:21

FTSE 250 movers: Petrofac beats analysts' expectations, AO World and Supergroup drop

Petrofac topped the risers as profits came in above analysts' expectations, albeit towards the bottom of the company's own guidance. Chief executive Ayman Asfari said the company was well positioned to deal with the oil industry's declining prices, as the group ended the year with a record-breaking

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25 Feb 2015 11:38

UK WINNERS & LOSERS: AO World Shares Dive On Profit Warning

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25 Feb 2015 09:56

UPDATE 1-SuperGroup's finance chief quits after being declared bankrupt

(Adds details, analyst reaction, shares) By Paul Sandle LONDON, Feb 25 (Reuters) - SuperGroup Plc, the owner of the Superdry fashion brand, said on Wednesday its finance chief Shaun Wills had quit after being declared bankrupt two weeks ago. Wills, who is a qualified accountant,

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25 Feb 2015 08:33

UK MORNING BRIEFING: Weir Group Falls On Poor 2015 Outlook

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25 Feb 2015 08:00

Supergroup boardroom upheaval continues as CFO replaced

In four months under the whip of new chief executive Euan Sutherland, Supergroup has parted company with half the executives on the board after chief financial officer Shaun Wills was issued marching orders on Wednesday. Wills' departure, which was branded "bizarre" and a "genuine shock", comes just

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25 Feb 2015 07:48

SuperGroup CFO Leaves After Being Declared Personally Bankrupt

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25 Feb 2015 07:25

SuperGroup's finance chief leaves after he was declared bankrupt

LONDON, Feb 25 (Reuters) - SuperGroup plc said its finance chief Shaun Wills had stepped down after the company learnt he was the subject of a personal bankruptcy order earlier this month. The owner of the fashion brand Superdry said on Wednesday Nick Wharton, previously chief executive of

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12 Feb 2015 12:13

Supergroup surprises as COO squeezed out

Supergroup has parted company with chief operating officer Susanne Given, with the shock announcement sending the shares lower on Thursday afternoon. Given has departed with immediate effect "to explore other opportunities", less than four months since new chief executive Euan Sutherland took the re

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12 Feb 2015 09:33

UPDATE 1-SuperGroup operations chief abruptly leaves

(Adds detail, spokesman, analyst comment, shares) LONDON, Feb 12 (Reuters) - SuperGroup, the British firm behind the Superdry fashion brand, is parting company with its chief operating officer four months after it recruited the former boss of the Co-op to be its new chief executive. T

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12 Feb 2015 07:35

SuperGroup COO to leave firm

LONDON, Feb 12 (Reuters) - SuperGroup, the British firm behind the Superdry fashion brand, has parted company with its chief operating officer. The firm said on Thursday that Susanne Given, who joined SuperGroup in 2012, has stepped down from the board as a director with immediate effect an

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12 Feb 2015 07:21

SuperGroup COO Susanne Given Leaves Company

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10 Feb 2015 15:50

Superdry clothing stores to open in Russia

MOSCOW, Feb 10 (Reuters) - Azerbaijan's PNN Group will open two stores selling SuperGroup's Superdry clothing label in Russia in the coming months, despite gloomy expectations for consumer sentiment due to a slump in the rouble and a foundering economy. SuperGroup said two franchised stores

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9 Feb 2015 13:51

FTSE 250 movers: Miners and oil companies trading higher, Halma hit by downgrade

Halma took its biggest one day fall since May 2010, as JP Morgan downgraded the stock from 'neutral' to 'underweight'. Man Group was among the fallers despite an increased price objective from analysts at Liberum Capital, from 145p to 213p. Polymetal International and Kaz Minerals were putting in d

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