SuperGroup warns on profit

City A.M. Reporter
SuperGroup, the British company behind the Superdry fashion brand, warned on year profit again, this time blaming "arithmetic errors" and timing issues in its wholesale business as well as lower margins in its retail business.

The firm, whose clothes are a favourite of celebrities such as David Beckham, Leonardo DiCaprio and Zac Efron, said on Friday it expected pretax profit of about £4m for the year to April 29.

In February the firm had forecast an outcome of about £50m.

SuperGroup said arithmetic errors in its forecast of the wholesale business amounted to £2.5m, while £2m of wholesale sales were now expected to be pushed into the 2012/13 year.

A further 2 million pounds shortfall was attributed to the mix of sales through its various retail channels impacting margins as well as an increase in operating costs.

The firm said retail sales were in line with expectations and the factors identified would have a minimal impact on projections for the 2012/13 year.