High street fashion brand Superdry’s soggy sales outlook and decision to withdraw profit guidance suggests it is really struggling against a backdrop where shoppers are becoming more careful with their money.
Blaming the weather for poor performance is never something likely to endear a business to investors and yet Superdry reaches for this excuse as it seeks to explain a downturn in sales in February and March.
AJ Bell’s Russ Mould said: “Today’s update is only likely to fuel the argument that the brand is just no longer as relevant as it once was, with fewer people prepared to pay a premium for its faux-Japanese stylings.
“Reducing costs will help in the short term but reducing the number of clothing ranges could diminish its appeal further. Closing shops is also sensible but suggests things are only going one way. Its destiny could be the same as the likes of Joules and Cath Kidston, with the brand owned by a third party and its high street presence being diminished or disappearing entirely.”