SuperGroup first half revenue up 22%

(ShareCast News) - Clothing retailer SuperGroup said sales were up 22.4% in the first half but warned that comparatives throughout the second half are more challenging.Sales in the first half to October 24 rose to £254.9m on the back of positive growth in existing retail and wholesale channels and a healthy new store pipeline.Total revenue in retail was up 30.9% to £172.2m, while wholesale revenue increased 8% to £82.7m. It said the wholesale division continues to perform well notwithstanding the impact of sterling strengthening against the euro.The company said positive sales momentum continued in the period, particularly within e-commerce, delivering retail like-for-like growth of 15.5% in the quarter, albeit against weak comparatives in full year 2015.Net cash at the end of the period was £80m, compared with £67m in the same period a year ago.In addition, the company said gross margin in the first half is expected to have strengthened, ahead of guidance for the full-year, thanks to the strong participation of higher margin retail sales.Chief executive Euan Sutherland said: "The group traded positively throughout the first half of FY16."With a successful first half completed, the business is well placed for the all-important peak season and we remain confident of delivering full year profits in line with our existing guidance although comparatives throughout the second half are more challenging."At 0821 GMT, SuperGroup shares were up 3.6% at 1,535p.