Superdry eyeing entry into China
Supergroup, parent company of Superdry, is said to be closing in on a deal to take its Superdry brand to China. The group is in in talks with a joint venture partner about entering the country, reported The Sunday Times.
Supergroup already amasses over 190 stores in Europe, and in March it took back a distribution licence in America from Sunrise Brands, irritated at a slower-than-wanted rate of store openings.
The China talks come as Supergroup prepares to issue its full-year results on Thursday, where the market expects to see a rise of 12.5% to £485m, while pre-tax profits to stay flat at £62.5m. It will be the first full-year presentation for Euan Sutherland, who took over as CEO last October.
Sutherland’s predecessor Julian Dunkerton outlined his ambitions for expanding the company’s global footprint, spending a growing cashpile on expanding into markets, including China, rather than returning cash to shareholders.
In July 2014 he said: “It’s very important that we are able to deliver the biggest markets for the brand,” but also added that he would proceed with care:
“We will do it, but we have to do it correctly.”