(Bloomberg) -- Superdry Plc said its turnaround is on track as improving e-commerce profitability and fewer discounts helped counter sluggish footfall and pandemic restrictions in the run-up to Christmas. 

• The clothing retailer, best known for its jackets emblazoned with Japanese characters, said its underlying pretax loss narrowed 74% to 2.8 million pounds ($1.4 million) in the six months through October. The chain’s performance since the end of the first half has also been promising with sales over Christmas up by 20%, the retailer said, adding it’s on track to meet its full-year profit target.

Key Insights

• Superdry is in the midst of a turnaround led by its co-founder Julian Dunkerton who returned to the brand in 2019 following a board-room battle. His plan is focused on improving clothing designs, reducing discounting, expanding its offer for women and renewing its once loyal following among teenagers and young adults.
• The retailer said store-sales over Christmas rose by 84%. While e-commerce sales dropped, the average order value rose 19%.
• Dunkerton said that cost pressures in the business are rising and it would seek to partially offset those by increasing some of its prices.

Market Reaction

• The shares have gained 19% over the past 12 months.

Get More

• Read the statement.

©2022 Bloomberg L.P.