Superdry Parent Company Reclaims Operation Right In North America

British fashion brands Superdry SuperGroup PLC (SGP.L), the extremely dry parent company, updated its group strategy yesterday and plans to distribute dividends from the 2016 fiscal year at the same time as it reclaims the right to operate in the North American market.

SuperGroup PLC reclaimed the right of operation of the US, Canada and Mexico to the US authorized partner SDUSA LLC at the cost of 22 million 300 thousand pounds, and terminated the partnership from 2008 to 30 years earlier. SuperGroup PLC will get Superdry's extreme dry brand sales rights, inventory in North America, and existing 15 store rental contracts. The group had already been in Scandinavia. Scandinavian region Spain and Germany implement similar strategies to directly control and coordinate the global development of Superdry's extremely dry brands, so as to establish long-term value of group business.

North American business recorded a loss of 5 million 100 thousand in the year ended December 31, 2014. The Group expects to reduce its operating losses in 2016 fiscal year by half, and make profits in the 2017 fiscal year.

In terms of dividends, the group said the board recommended gradual adoption. Dividend strategy In the first half of fiscal year 2016, the first dividend was issued since 2010. Stifel Nicolaus analysts said SuperGroup PLC began to pay dividends, showing group management's confidence in the Superdry brand and earnings growth, and also a positive signal for group capital constraints. News stimulated SuperGroup PLC (SGP.L) increased by 9.6% to 1023 pence on Thursday, and reported 991.67 pence a day, narrowing to 6.23%. The stock has plunged more than 41% in the past 12 months.

In addition, in order to practice the strategy of creating a global lifestyle brand, SuperGroup PLC will launch a high-end clothing series with the British star actor Idris Elba, which will be launched worldwide this fall.

Finally, in the past half a year, SuperGroup PLC announced the appointment of Penny Coca-Cola Hughes, President of the UK and Ireland, as an independent non-executive director. Penny Hughes has also been a non-executive director of many multinational companies such as The Gap Inc. (NYSE:GPS), Next Group PLC (NXT.L), The The, Inc., and so on.

In October last year, the group suddenly announced the departure of the founder and CEO Julian Dunkerton, and appointed Co-operative Group CEO Euan Sutherland as CEO. In February of this year, Susanne Given, the group's chief operating officer, resigned immediately because of personal reasons. Later, the chief financial officer, Shaun Wills, stepped down as a result of personal bankruptcy.

SuperGroup PLC maintains a 60 million Euro euro -6500 pre tax profit forecast for the whole year. In the first half of fiscal year ending October 2014, SuperGroup PLC adjusted its operating profit by 31.6%, down from 17 million 700 thousand pounds in the previous year to 12 million 100 thousand pounds. SuperGroup revenue rose 8.4% to 208 million 200 thousand pounds, of which retail revenue rose 12.5% to 131 million 600 thousand pounds; wholesale income rose 2% to 76 million 600 thousand pounds. Gross margin rose 220 basis points to 59%.