Supergroup boosts revenue as Superdry global expansion continues apace

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Superdry is pushing its sports offering (Source: Getty)

Superdry parent SuperGroup reported a jump in revenue during the first half of this year, as it pushed on with an aggressive global expansion plan.

The figures

Global brand revenue was up 25.2 per cent to £756.3m in the 26 weeks to 28 October.

The biggest driver behind the growth was a 34 per cent increase in wholesale revenue to £159.3m. Ecommerce income also grew quickly, climbing 31.6 per cent to £61.2m.

Underlying profit for the first half of the year will be in the range of £25m-£26m, the company said.

But there was still space for the group's own stores, as the brand increased owned floorspace by 15.4 per cent to over 1m sq ft. Store revenue was up 7.6 per cent to £181.5m.

Through a combination of franchised and owned stores the number of dedicated Superdry stores increased by 50 during the period.

Read more: SuperGroup founders to share wealth with incentive plan for colleagues

Why it's interesting

Superdry has transformed itself from essentially a one-product business to a global brand. Though the group said it remains an "authority" on jackets, it has pushed ahead with other forms of casual wear and a dedicated sportswear line.

The brand now has stores in 23 different countries, and is particularly targeting North America and China.

But the fast expansion comes at a cost, as the growing importance of wholesale is expected to reduce the group's margin. 

Read more: Superdry ready to run with standalone sport stores after positive results

What Supergroup said

Chief executive Euan Sutherland said: "Our focus is on executing against the clear growth opportunities we have identified. We have a clear brand positioning, a disruptive multi-channel approach and a growing culture of operational excellence.

"The performance in this half underlines our confidence in both the strength of the brand we are building and the quality of sustainable financial performance we can deliver."

 

Tags: Supergroup