Profits at Sports Direct have surged over the last few months boosted by the company’s sports retail arm.
Group sales were up 11.2% to £655.4m as gross profit increased 14.6% to £280.7m for the 13 weeks to January 26 . Revenues across the sports retail arm rose 6.9% to £529.9m while gross profit increased 12.9% to £230m.
Sales across Sport’s Direct’s premium lifestyle division rose 52.5% to £71.2m, with revenues from Republic, which the company acquired in February 2013, included in the figures yet not in the comparable period.
Gross profits jumped 39.2% to £28.4m.
Revenues at the brands division increased by 15.5% to £54.3m as gross profit grew 7.7% to £22.3m.
Chief executive Dave Forsey said: “Despite tougher comparisons during the period, Sports Retail continues to perform well driven by our on-going focus on exceptional quality, unbeatable value and availability.”
Forsey said the online business also performed strongly with non-UK online gross profit contribution expected to be greater than the UK equivalent this financial year.“
He added: “While we retain the ability to invest in margin, inventory and group marketing to deliver long-term sustainable growth, the Board is very confident of achieving at least our full year internal underlying EBITDA target of £310m, before the charge for the employee bonus share scheme.”