Superdry posts annual loss, founder seeks turnaround

Superdry (LON:SDRY) said on Wednesday that it has made a full year statutory pre-tax loss, swinging to red versus a prior year profit.

Shares in the business were trading over 3.5% lower on Wednesday morning.

The fashion brand posted a full year statutory pre-tax loss of £85.4 million, compared to the prior year’s profit of £65.3 million.

Full year group revenue was flat on the prior year, the company said, underlining the tough retail climate it has had to battle against.

Superdry said that its first half performance benefited from discounting and space growth, but this was followed by poor performance in the second half across all of its channels.

Earlier in April, Founder of Superdry Julian Dunkerton returned to the business despite the company requesting that its shareholders rejected his pledge for a seat on the company’s board.

Superdry, which kicked-off the month of May by issuing another profit warning, delayed the release of its results in June because of complexities and the company’s recent managerial changes.

“The issues in the business will not be resolved overnight. My first priority on returning to Superdry has been to steady the ship and get the culture of the business back to the one which drove its original success,” Julian Dunkerton, Founder and Interim Chief Executive Officer, said in a company statement.

“All the team in Superdry are working incredibly hard to deliver the direction set out, with a real focus on returning the business to its design-led roots and getting the retail basics right. Although we are only three months in, our initiatives are gaining some early traction, and I am confident we are doing the right things to ensure that over time Superdry will return to strong profitable growth,” Julian Dunkerton continued.

“These are clearly a very disappointing set of results. However, everything I have learnt since joining the business in April has reinforced my view that Superdry is a powerful brand with great people across the organization,” Chairman Peter Williams added.

Shares in Superdry plc (LON:SDRY) were trading at -3.56% as of 09:46 BST Wednesday.

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