SuperGroup's new CEO Euan Sutherland has said his company will not discount its clothing despite the fact that the group will definitely miss its profit forecast. SuperGroup forecast a 60 to 65 million pound profit (76 - 83 million euro) profit now, missing the earlier 72.3 million pound (92 million euro) profit forecast due to the excellent weather over the past two months.
Protect the brand
Sutherland said that discounts do not add any long-term value and he prefers to protect the brand instead of desperately trying to find additional turnover. Rather, the company will open outlets to sell its own stores' unsold inventory at lower prices.
SuperGroup's profit is also hampered by its new store openings: from the start of its fiscal year, the chain has opened another 12 stores, 11 of those outside the United Kingdom. In its previous quarter, which ended on 25 October, retail turnover grew 11.4 % to 71 million pounds (90 million euro) because of these new stores.