Saturday 18 August 2018

Profits plunge over 70pc at Sports Direct

Sports Direct
Sports Direct
Independent.ie Business Desk

Sports Direct has reported a 72.5pc plunge in pre-tax profits to £77.5m (€87m) for the year to April 29, down from £281.6m (€316m) a year earlier.

The company said the drop was due to tough comparatives, having seen profits jump a year earlier on the sale of its Dunlop business as well as its JD Sports shares.

It was also knocked by net losses on its strategic investment in Debenhams during the year to April 2018.

Chief executive Mike Ashley said: "I am particularly pleased that Sports Direct has not only been named among the 10 companies with the most improved reputation in the UK, but also that we were ranked among the top five in an index of international retailers.

"I'm pleased that our underlying EBITDA has come in at the top end of our expected range at £306.1m as we indicated this time last year, and also that the underlying profit after tax has increased substantially to £104.9m."

Group revenue for the period was up 3.5pc at £3.4bn, though its UK sports retail sales fell 2pc to £2.2bn.

Its wholesale and licensing division suffered the largest decline, with revenue falling 22.7pc to £186.3m.

Press Association

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