Superdry Closed Stores On A Large Scale, And The Company Said That It Had Sufficient Funds And Was Not In Trouble

British Chaopai SuperDry (extremely dry) said last Wednesday that due to the epidemic, it has temporarily closed some of its stores, and said that it will not meet the performance expectations released on January 10.

In view of the uncertainty of the current situation, Superdry has not yet given new sales expectations. At the beginning of January, SuperDry said that it was expected that the weekly sales in this fiscal year could reach 5 to 6 million pounds.

So far, 78 stores of Superdry in Europe outside the UK have been forced to close due to the impact of the epidemic, and their sales account for about 40% of the total.

SuperDry's stores in Britain and the United States are basically still open, but the company said, "With the government taking measures to curb the spread of the virus, the customer flow of stores has also been significantly affected, with an average weekly decrease of about 25%." Among them, the weekly sales of British stores accounted for 50% of the total sales, and that of American stores accounted for 10%.

Superdry said: "We do not believe that the sales growth of e-commerce channels and cost saving measures worldwide can completely mitigate the impact of the decline in sales of our retail stores."

SuperDry stressed that although the current environment is bad, it does not mean that the company has been in trouble. Superdry currently has net cash of £ 47 million, sufficient cash flow and better than expected operation.

In order to overcome the difficulties, Superdry has started to discuss rent reduction with the landlord and negotiate with the existing loan group to obtain additional funds to ensure the company's liquidity. In addition, Superdry will also take measures such as structural adjustment of the company and postponement of investment.

Julian Dunkerton, CEO of Superdry, said: "We are taking measures as far as possible. The safety of employees and customers is our top priority. The company will take measures in accordance with the requirements of the local government to jointly respond to the epidemic crisis. I believe that the company has the ability to reshape its brand and achieve transformation plans."

On December 12 last year, Superdry updated key financial data for the first half of 2019/2020. As of the first 26 weeks of October 26, the total net sales decreased by 11% year-on-year to 369.1 million pounds.