Interim Management Statement

RNS Number : 9882G

Sports Direct International Plc

11 February 2010

 



11 February 2010

Sports Direct International plc

Interim Management Statement

Sports Direct International plc ("the Group"), the UK's leading sports retailer, today announces its Interim Management Statement relating to the period from 26 October 2009 to 10 February 2010.

Current Trading Update

Group total sales for the 13 weeks ending 24 January 2010 were £370m (2009: £355m) and gross profit was £154m (2009: £143m).

Retail sales increased 9.4% year on year to £326m (2009: £298m), and retail gross profit increased 11.5% to £136m (2009: £122m).  The Brands division revenue declined 22.8% to £44m (2009: £57m), and the corresponding gross profit declined 14.3% to £18m (2009: £21m) - this performance is as expected due to the Group's long-term focus of growing the division's higher-margin licensing business.

During this period, UK Retail has opened 12 stores and closed three, being a mix of new core, relocations and Field & Trek stores.  International retail opened three stores and closed two smaller stores.

The Company announced at its interim results on 10 December 2009 that the Board expect to achieve full year underlying EBITDA of at least £155m, after the £10m charge for the bonus share scheme.  Based on current trading and subject to current exchange rates, we are now targeting underlying EBITDA of at least £160m.

Dave Forsey, Chief Executive of Sports Direct International plc, said:

"The Board is pleased with the Group's trading performance during the quarter. The UK retail division continued to deliver strong results, particularly in online sales at Sportsdirect.com, where sales accounted for over 5% of the total UK revenue during the quarter."

"Cash generation in the period has been strong and we expect year end net debt to be similar to and not more than the half year level.  Trading since the end of the quarter has remained encouraging."

Ends

For further information, please contact:

Sports Direct International plc                                          T. 0870 333 9410

Dave Forsey, Chief Executive

Bob Mellors, Group Finance Director

Financial Dynamics                                                              T. 0207 831 3113

Jonathon Brill

Caroline Stewart

Alex Beagley

 

END

 

 

IMSDMGMZRGMGGZM