Total sales increased 15.3%  for the 13 weeks to 28 April

Total sales increased 15.3% for the 13 weeks to 28 April

UK clothing company Supergroup has today (9 May) posted a 15.3% increase in fourth-quarter sales, as it looks to ramp up expansion efforts and develop its European presence. 

The company, which owns the Superdry brand, said total sales reached GBP86.8m (US$134.8m) for the 13 weeks to 28 April, over the same period last year. 

Retail sales rose 10.9% to GBP43.8m, while like-for-like sales were up 5% and both the internet and its standalone stores performed well. Wholesale sales jumped 20.2% to GBP43m.

Chief executive officer Julian Dunkerton said he was "pleased" with its fourth quarter performance despite facing a "challenging market" due to the cold weather in early spring. 

Over the full year, total sales reached GBP360.1m, up 14.7%, while like-for-like sales rose 6.9%. Wholesale revenue grew 9.2% and continues to be driven by strong international demand for the brand.

"We have delivered solid sales and profit growth this year at the same time as enhancing financial and operational processes. In addition we have made significant progress with developing our product ranges, especially the improvements in women's wear styling," Dunkerton added. 
 
"After a year of consolidation, financial year 2014 will see the group start to move back towards historic levels of space growth as it develops its European presence. The investments in IT and logistics will continue to secure and strengthen the business and, with further developments in our ranges planned, I am encouraged by the group's prospects."

Commenting on the results, Conlumino managing director Neil Saunders said: "While the numbers from Supergroup are solid, there has been a marked slowdown in growth on the retail side", adding that "the final quarter saw the weakest retail sales growth over the year", and the full-year growth number of 18.3% is "somewhat south" of the 29.6% growth achieved in financial 2012.

"The operational and product improvements both bode well for the future of the group and we believe the next financial year will prove to be robust," Saunders emphasised.