Superdry Has Closed Its Stores On A Large Scale, Saying Its Capital Is Plentiful And Is Not In Trouble.

British Chao SuperDry (extreme dry) said last Wednesday that it had temporarily closed some of its stores due to the outbreak and said it would not be able to meet its performance expectations in January 10th.

In view of the uncertainty of the current situation, Superdry has not yet given new sales expectations. In early January, SuperDry said it expects sales of 500 to 6 million pounds a week in the current fiscal year.

Up to now, Superdry has 78 stores in Europe outside the United Kingdom, which are forced to close due to the impact of the epidemic. These stores account for about 40% of the total sales.

SuperDry's stores in Britain and the United States are still basically open, but the company said, "with the government taking measures to curb the spread of the virus, store traffic has also been significantly affected, with an average reduction of around 25% per week." Among them, weekly sales accounted for 50% of total sales and 10% of American stores.

Superdry said: "we do not think that the growth of e-commerce channel sales and global cost saving measures can completely alleviate the impact of our retail store sales decline."

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

In order to tide over the difficulties, Superdry has begun discussions with the landlord about rent reduction and negotiations with existing loan groups, hoping to obtain additional funds to ensure the company's liquidity. In addition, Superdry will take measures such as structural adjustment and delaying investment.

Superdry chief executive Julian Dunkerton said: "we are taking measures as far as possible, the safety of our employees and customers is our top priority. The company will take measures according to the requirements of local governments to join hands in coping with the outbreak crisis. I believe that the company has the ability to reshape the brand and realize the transformation plan. "

Last December 12th, Superdry updated the key financial data of 2019/2020 in the first half of fiscal year. As of the first 26 weeks of October 26th, net sales fell by 11% to 369 million 100 thousand.

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