SuperGroup PLC Confirmation of full year results (6292J)

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RNS Number : 6292J

SuperGroup PLC

29 June 2017

29 June 2017

SuperGroup<Plc

Confirmation of full year results

SuperGroup Plc ("SuperGroup" or "Group"), the owner of the Superdry brand, has become aware that an external party may have had sight of a draft of the preliminary results for the 52 week period ended 29 April 2017 (the "FY17 Results") following a random theft from an employee.

Accordingly, the Group sets out below the key highlights of the unaudited FY17 Results and announces that the FY17 Results will be released on Monday 3 July 2017.

Key financial highlights of the FY17 Results:

On a comparable 52-week basis(1, 2)

   --      Revenue up 27.4% to GBP752.0m, with retail like-for-like(4) sales growth +12.7% 

-- Underlying gross margin down 130 basis points ("bps") to 60.2% reflecting strength of Wholesale channel mix

   --      Underlying operating margin 11.9% (2016: 12.6%) 
   --      Underlying profit before income tax up 18.4% to GBP87.0m (2016: GBP73.5m) 
   --      Underlying basic earnings per share up 17.4% to 84.5p (2016: 72.0p) 

On a 2016 53-week basis:

   --      Profit before income tax up 53.1% to GBP84.8m (2016: GBP55.4m) 
   --      Year-end net cash(3) position GBP65.4m (2016: GBP100.7m) 

Unaudited guidance for FY18.

 
 FY18 Full Year underlying Profit Before Tax expected 
  to be in line with market expectations 
 
  Inventory reduction drives operating efficiencies: 
   *    Gross Margin - Ongoing trading margin: Broadly flat 
        year on year. - Up to 100bps dilution from planned 
        inventory re-base from next phase of Design to 
        Customer programme 
 
 
   *    Sales, Distribution and Central costs - Increase 
        slower than revenue 
 
 
   *    Working Capital - Growth materially slower than 
        revenue 
 
 
 
  Disciplined investment continues: 
   *    Space growth - 125k sq. ft. new owned space (75k EU, 
        50k USA) - 60 Superdry branded franchise store 
        openings (20% year-on-year growth) 
 
 
   *    Capital - GBP60m - GBP70m investment, GBP45m on new 
        and refurbished store space 
 
 
 
  Capital Policy 
   *    Progressive ordinary dividend at 3.0x - 3.5x cover 
 
 
   *    Special dividend when appropriate 
 

Notes:

1. The Group believes that the financial results for the 52-week period to 29 April 2017 ("FY17") are more appropriately compared to the 52-week period to 23 April 2016 ("FY16").

2. Underlying is defined as reported results adjusted to reflect the impact of the (loss)/gain recognised on re-measurements (being the fair valuation of financial derivatives), exceptional items and, when appropriate, the related income tax. The Directors believe that the underlying results provide additional guidance to statutory measures to help understand the performance of the Group.

   3.     Net cash includes cash and cash equivalents. 

4. Like-for-like sales ('LFL') growth is defined as the year-on-year sales growth for stores and concessions open for more than one year and include E-commerce revenues. Foreign currency sales are translated at the average rate for the month in which they were made.

 
 For further information: 
 SuperGroup 
 Nick Wharton                [phone] 
 Chief Financial Officer     [e-mail] 
 
 Tulchan 
 Susanna Voyle               [phone] 
 Samantha Chiene             [e-mail] 
 
 

Cautionary Statement

This announcement contains certain forward-looking statements with respect to the financial condition and operational results of SuperGroup Plc. These statements and forecasts involve risk, uncertainty and assumptions because they relate to events and depend upon circumstances that will occur in the future. There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by these forward-looking statements. These forward-looking statements are made only as at the date of this announcement. Nothing in this announcement should be construed as a profit forecast. Except as required by law, SuperGroup Plc has no obligation to update the forward-looking statements or to correct any inaccuracies therein.

Notes to Editors

SuperGroup is the owner of British global lifestyle brand Superdry. A brand designed for attitude not age with affordable, premium-quality clothing, accessories, footwear and cosmetics.

As we develop the breadth and nature of our product range, we continue to appeal to a much broader, aspirational age group. Those who want to feel amazing in what they wear and appreciate style, quality and attention to detail.

Already well established in the UK - our home market - we operate a significant and continually expanding international business, selling through our websites, wholesale partners, a network of franchise stores and, increasingly, independent stores. We are becoming a more efficient business as we improve our process from Design to Customer and refine our wholesale model. Simultaneously, we are focused on expanding our business globally with a clear strategy for growing our e-commerce business as well as our operations in key markets within Europe, North America and China.

The Group has a physical presence in 62 countries and 863 stores and concessions globally. We also have a successful e-commerce business with 27 international websites across 18 countries covering 12 different languages.

This information is provided by RNS

The company news service from the London Stock Exchange

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June 29, 2017 10:15 ET (14:15 GMT)