Superdry recently released its annual results for the period ending in April, showing a modest increase in revenue as the brand’s recovery continues. However, alongside this increase, the company also reported a wider loss. Additionally, Superdry provided a trading update for the first quarter of the current fiscal year, revealing a decline in group revenue, although it was in line with expectations. The company experienced a 3.7% decrease in store revenue and a significant drop of 12.6% in e-commerce sales. Despite these challenges, Superdry remains confident in its AW23 collection and its partnership in Asia.

The full-year results indicated a 2.1% rise in group revenue, totaling £622.5 million. While there was retail growth of 14.6%, this was offset by a decline of 19.1% in the Wholesale sector. The company’s gross margin was negatively impacted due to the clearance of aged stock. Ultimately, Superdry reported a loss before tax amounting to £21.7 million, in contrast to the previous year’s profit of the same amount. The net loss experienced a significant increase due to non-cash impairments of store assets and other adjustments.

Despite the challenges faced by Superdry, CEO Julian Dunkerton expressed confidence in the brand’s momentum. Dunkerton highlighted the strong sales performance in both stores and e-commerce, emphasizing his excitement about the upcoming AW23 collection. While acknowledging the difficulties within the Wholesale sector, Dunkerton believed that the new team in place would be able to revive the business in the medium term. He also discussed the company’s new partnership in Asia, which has positively impacted the balance sheet and solidifies Superdry as a global brand.

Although the consumer retail market remains unpredictable and challenging, Superdry remains optimistic about the success of its AW23 collection, specifically in the outerwear category. The company’s focus for the full year will primarily be on cost savings and margin improvement rather than significant revenue growth.

Useful links:
1. Retail Gazette article on Superdry’s positive outlook for outerwear and Asian partnership
2. BBC News coverage of Superdry’s annual results and challenges in the retail market