Retail in Asia

In Sectors

UK Superdry roller-coaster loses some of its momentum

The last three weeks of January, after the sale season mania faded, were a shocker for many high street retailers. Even so, you might have wagered that SuperGroup, after a decent Christmas, would defy the trend.

The Superdry brand may soon suffer from overexposure but surely, you might have supposed, there was enough momentum in the business to ride over a few January bumps.

It seems not. Like-for-like sales were down about 3 percent in the final three weeks of last month, a statistic that has ripped an 18 percent hole in the share price today. Same-store sales were still up 4.4 percent in the past quarter but the "variable" performance overall means profits for the year are expected to arrive near the bottom of the market’s GBP50 million (USD79.04m) – GBP54m guess. In other words, it’s a mini profits warning to complement last year’s warning about warehouse problems.

 

(Source: guardian.co.uk)