Superdry’s share price continued to dive today after the embattled retailer issued a profit warning last week following weak sales over the crucial Christmas trading period.
The fashion chain’s shares dropped more than eight per cent this morning to 401.2p, before recovering slightly in the afternoon to 412p.
On Friday the high street brand said underlying profit before tax could reach up to £10m, but warned it could disappear after retail sales were lower than anticipated following Black Friday.
Analysts had expected Superdry to report profit of £40.5m for the year. The company’s share price plunged 20 per cent following the announcement.
“While we have always said it will take time, we continue to make progress in implementing our strategy,” chief executive and co-founder Julian Dunkerton said.
Last month Superdry revealed it swung to a £4.2m loss in its first half-year results after Dunkerton returned to the company.
Following the results announcement Dunkerton blasted Black Friday discounting, saying he would reduce Superdry’s reliance on the sales next year.
Analysts said Black Friday promotions could have hurt Superdry’s Christmas sales.
On Friday Richard Lim, chief executive of Retail Economics, said: “It appears that Superdry is another victim of positive Black Friday sales coming at the expense of Christmas trading.
“Rationale consumers pulled forward their Christmas shopping at discounted prices leaving the traditional peak sales period void for retailers.
“Disappointing post-Christmas clearance sales also showed that discounting fatigue set in by the time retailers are ready to clear wanted stock.”