Superdrug’s full year performance boosted by Love Island sponsorship
Health and beauty retailer Superdrug increased its pre-tax profit by 16% to £92.9 million in 2017 after delivering sales growth across all categories.
Revenue edged up 2.3% to £1.2 billion while like-for-like store sales rose by 2.5% as 22 new UK stores opened in the period.
Superdrug’s online channel performed particularly well with sales climbing by over 30% as improved website functionality and a new mobile app helped to drive growth.
Meanwhile, the retailer’s Health & Beautycard membership programme also put in a strong performance and had 12 million registered customers at the year end.
Superdrug continued its capital expenditure programme by spending £31 million in 2017. Most of the investment supported the retailer’s new store growth and refurbishment programme, but with an increasing spend on digital IT capability. The retailer had 804 stores in the UK and Ireland at the year end.
The year also saw more stores offering beauty services including 26 new Brow Bars and 27 new Nail Bars bringing the totals to 284 and 56 respectively. In addition, some shops introduced ear piercing and waxing services.
During the year Superdrug sponsored the summer TV hit Love Island which helped boost sales of bronzers, makeup and hair styling products. The retailer has continued its sponsorship of the programme this summer.
