• Text size      
  • Send this article to a friend
  • Print this article

Sports Direct's shares rise as sales grow

MIKE Ashley's Sports Direct International has seen its shares climb more than 7% after posting a strong increase in sales.

The retailer said group sales were up 11.2% from £589.5 million to £655.4m in the 13 weeks to January 26 while gross profit grew 14.6% from £244.8m to £280.7m. The core sports division saw its sales grow 6.9% to £529.9m, from £495.8m with gross profit 12.9% greater at £230m.

The upmarket premium lifestyle arm, which includes Cruise and USC, saw a 52.5% hike in sales to £71.2m with gross profits surging more than 39% to £28.4m although the prior year comparable figure did not include a contribution from Republic, which was acquired in February 2013.

Revenue from the brand owning operation in the period to January 26 was 15.5% higher at £54.3m with gross profits there growing 7.7% from £20.7m to £22.3m.

Dave Forsey, chief executive, said the company remains on track to hit its target of £310m in underlying earnings before interest, tax, depreciation and amortisation.

The company did not give any further details on a potential collaboration with Debenhams.

Sports Direct shares closed up 51p at 767p.

Contextual targeting label: 

Commenting & Moderation

We moderate all comments on HeraldScotland on either a pre-moderated or post-moderated basis.
If you're a relatively new user then your comments will be reviewed before publication and if we know you well and trust you then your comments will be subject to moderation only if other users or the moderators believe you've broken the rules

Moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours. Please be patient if your posts are not approved instantly.