Superdry issues profit warning
Fashion retailer Superdry has issued a profit warning following a weak performance in its wholesale and ecommerce channels in its fourth quarter.
The retailer’s group revenue was down 4.5% in the 13 weeks to 27 April as global brand revenue dropped by 5.2%. Sales in its ecommerce and wholesale channels fell by 3.9% and 9.3% respectively.
In contrast, the performance in Superdry’s retail stores improved in the period with an uplift of 2.2%.
Superdry is now expecting its full year underlying pre-tax profit to be lower than analysts’ expectations. Group revenue was flat in the full year although group brand revenue was up 3.6%.
Last month, Superdry founder Julian Dunkerton narrowly won a shareholder vote to enable him to return to the business after he criticised the retailer’s strategy. This led to chief executive Euan Sutherland and other executive team members stepping down and Dunkerton taking over Sutherland’s role.
In the statement issued today, Superdry said Dunkerton had already identified immediate opportunities to “improve the efficiency and performance” of the business.
Dunkerton said his first priority is to “stabilise the situation”. He added: “There’s a lot to do, but after five weeks, I am more confident than ever that we can restore Superdry to being the design led business with strong brand identity I know it can be.
“All of us in the business are putting all our energy into getting the product ranges right and improving the ecommerce proposition, which are two important steps towards addressing Superdry’s recent weak performance.”
