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Supergroup - Forecast eps of 49.4p, rising to 69.2p

January 2012

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • SGP
  • Price:
  • 556.5p
Pretax profit for the six months to 30 September would have been up by around 25% were it not for the warehouse disruption; instead profits dipped by 4% to £13m (eps 11.7p). But with the warehouse problems addressed and like-for-like trading back in positive territory in H2, the rate of growth is expected to resume its uptrend. A trading statement is due on 11 January, which will hopefully confirm this is indeed the case. As it was, sales for the first half went up “only†51% to £136.1m. Retail sales, which are the owned UK shops and concessions, grew by 34% to £73.1m, driven by higher online sales growth (c. £11m sales) and 12 new shop openings to take the total to 72. Operating profit on the retail side was down fr ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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