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Momentum builds at SuperGroup

SuperGroup has had a solid start to the year, and with momentum building, the shares are poised for further upside.
September 5, 2013

Momentum is building behind UK clothing retailer SuperGroup (SGP), as the company reported better-than-expected first-quarter trading. Group sales jumped nearly 26 per cent to £75m, with retail sales up 17.6 per cent to £53.2m. On a comparable basis, retail sales grew an impressive 8.5 per cent - well ahead of city forecasts.

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A 51 per cent rise in wholesale revenue was flattered by delivery timings, but the Autumn/Winter 2013 order book, a good indicator for underlying growth, grew 26 per cent on last year. This suggests two things: third-quarter retail sales will be robust and SuperGroup's new clothing ranges are proving popular.

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