Superdry anticipates further revenue declines as it embarks on a restructuring journey.
- The company has exited the London Stock Exchange, aiming to stabilise its financial health.
- Annual pre-tax losses have shown some improvement yet remain significant.
- Sales figures have dropped sharply, with projections of further reductions into 2025.
- A notable reduction in workforce accompanies the financial challenges the brand faces.
Superdry, the well-known fashion retailer, has communicated its expectation for continued revenue decline in its current financial year. This comes in the wake of its strategic decision to delist from the London Stock Exchange in July, part of an overarching restructuring initiative aimed at reviving the business’s fortunes. The move was sanctioned by creditors, shareholders, and judicial bodies in June, preventing what could have culminated in insolvency.
The firm’s recent annual financial results reveal a reduction in pre-tax losses, narrowing from £78.5 million to £65.2 million. However, despite this modest improvement, sales have seen a dramatic drop, plummeting from £622.5 million to £488.6 million compared to the previous year. Even more concerning, the brand forecasts that revenues could fall further to between £350 million and £400 million by the close of April 2025.
As part of its strategic realignment, Superdry’s workforce has been reduced by over 12%, now employing 2,263 individuals. This workforce adjustment is indicative of broader efforts to align operational scale with current market realities.
In terms of stock trading, Superdry’s shares have transitioned to the JP Jenkins platform. This platform facilitates trades for unlisted entities, allowing share transactions on a matched bargain basis.
Founder and CEO, Julian Dunkerton, remains committed to reinvigorating the brand’s image. Speaking to the media, Dunkerton assured stakeholders of the brand’s potential to restore relevance and modernity, despite its recent challenges. “This marks a new era,” he stated, pointing towards a future where Superdry sheds its dated image.
Superdry continues to navigate significant financial challenges, striving to redefine its market presence.
