Frasers Group shares surged 20.6% to 904.5p in late morning trading on Thursday after the group announced a revenue climb of 30.9% to £4.7 billion in FY 2022 against £3.6 billion in FY 2021 in its FY trading update.
Frasers Group highlighted a UK sports retail revenue growth of 31.2% to £2.5 billion compared to £1.9 billion as a result of stores reopening after Covid-19 lockdowns, alongside a 43.6% rise in premium lifestyle revenue to £1 billon from £735.6 million linked to the group’s new FLANNELS stores and maintained online growth.
The company also confirmed a European retail revenue increase of 28.4% to £790.2 million against £615.2 million due to strong growth in Ireland and stores reopening after pandemic lockdowns.
In addition, the firm mentioned a rest of world retail revenue slide of 1.6% to £150.3 million compared to £152.7 million, along with a wholesale and licensing revenue rise of 9.7% to £168.1 million from £153.3 million.
The fashion company reported a pre-tax profit spike to £366.1 million from £8.5 million the last year, alongside a swing back to an adjusted pre-tax profit of £344.8 million compared to a loss of £39.9 million on the back of stores reopening, the launch of new FLANNELS outlets, operating efficiencies and continued growth in the lifestyle premium sector.
Frasers Group confirmed net assets of £1.3 million compared to £1.2 million year-on-year.
The retailer returned £193.2 million to shareholders through its share buyback programme over the period.
The group also noted its successful refinancing of its facility, which currently stands at £980 million.
Frasers Group announced a pre-tax profit guidance between £450 million to £500 million for the coming year, with strong continued momentum despite the economic headwinds.
“I am really proud of the record performance we’ve announced today. It’s clear that our elevation strategy is working and we are building incredible momentum with new store openings, digital capabilities and deeper brand partnerships across all of our divisions,” said Frasers Group CEO Michael Murray.
“We’ve got the right strategy, team and determination to keep driving our business from strength to strength.”