Group sales at Sports Direct are up 12.2%

Sports Direct's interim management statement shows strong performance in sports retail sales, with drop in profits elsewhere in the business

Sports Direct
Sports Direct

Group sales at Sports Direct were up 12.2% on last year for the 13 weeks ended July 27, increasing from £634m to £711.2m.

An interim management statement from the clothing retailer, founded by Newcastle United owner Mike Ashley, also shows gross profit increased 11.8% during the period to £301.2m.

Sports Retail sales likewise increased 16.3% to £611.8m, while gross profit from that strand of the business grew 15.8% to £260.4m.

Premium Lifestyle sales, meanwhile, decreased 8.8% to £52.1m, with gross profit dropping 11.6% to £20.5m.

In the brands division, similarly, revenue fell 7.1% to £47.3m, with gross profit decreasing 4.7% to £20.3m.

According to the update, there has been no material change in the financial position of the group since the end of the most recent reporting period on April 27.

Dave Forsey, chief executive of Sports Direct International plc, said: “As we highlighted at our preliminary results in July, recent trading, including the period since July 27, has been in line with management’s expectations with some stronger weeks offset by England’s disappointing World Cup performance.

“Within Sports Retail we continue to focus on upgrading our store portfolio and integrating recent acquisitions, including Eybl and Sports Experts in Austria.

“Consistent with previous guidance we continue to target underlying EBITDA (before share scheme costs) of £360m for the current period.”

The Group will report its interim results on December 11.

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