Superdry promises ‘intensified transformation’ after difficult half year
British clothing brand Superdry plc is preparing to intensify its company-wide transformation programme on the back of a “difficult” half-year trading period.
The company this morning (December 12) announced a pre-tax profit of £26.4m for the 26 weeks to October 27, up from £9.1m during H1 2017/18.
Group revenues for the period came to £414.6m, an increase of 3.1% compared with the £402m generated in the same period last year.
Superdry said the figures were negatively impacted by unseasonably warm weather and a weakened, discount-driven consumer economy – both of which suppressed the demand for the cold-weather clothing underpinning Superdry’s offer.
In response, the Cheltenham-headquartered firm plans to intensify the transformation programme it launched in April.
Measures will include repositioning Superdry’s product range, and rebalancing options across categories, through an 18-month innovation and diversification programme.
The firm also said in a statement it will be “re-energising [its] core product with greater innovation” and leveraging digital transformation “to drive incremental efficiency”.
Superdry CEO Euan Sutherland said: “Superdry had a difficult first half, impacted by unseasonably warm weather across our major markets, a consumer economy that is increasingly discount driven and the issues we are addressing in product mix and range.
“In the spring of this year we started an 18-month product innovation and diversification programme. This will increase choice for consumers around the world and address the current over-reliance on jackets and sweats.”
He continued: “Superdry is a strong brand and has strong operational capabilities. We are focused on an intensified transformation programme to reset the business and address the legacy issues we face, particularly in product mix and range.”
“Superdry is responding to its internal challenges as well as a changing world and changing consumers. Our comprehensive transformation will ensure Superdry is well positioned as we optimise our routes to market and make our business more efficient.”