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Ash4781

Sports Direct Sees Flat Earnings

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http://uk.reuters.com/article/UK_COMKTNEWS...072539820080710

LONDON (Reuters) - Sporting goods retailer Sports Direct (SPD.L: Quote, Profile, Research), reported a 30 percent fall in core earnings for its first year as a public company, calling it the toughest in its history and forecasting no upturn this year.

The Sports World and Lillywhites stores operator and owner of the Slazenger, Lonsdale and Dunlop brands saw it shares fall as much as 15 percent to a new low of 61.25 pence on Thursday.

"Retailing on the high street is the worst for the 25 years that we've been doing it," Mike Ashley, Sports Direct's billionaire founder who still controls about 70 percent of the company, told reporters.

...

Sports Direct said underlying EBITDA fell 30 percent to 150 million pounds in the year to April 27, in line with forecasts.

Revenues were down 6.5 percent at 1.26 billion pounds, and the firm said it would pay a dividend of 4.5 pence a share.

Underlying profit fell 51 percent to 85 million pounds, which analysts at Citi and Panmure said was lower than their forecasts, due largely to a higher than expected interest change. They cut their underlying profit forecasts for the current financial year by 20 percent and 12 percent to around 85 million and 72 million pounds, respectively.

Ouch!

Edited by Ash4781

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I 'kin hate their business model and methods, take YSL; perfectly good brand and quality of goods, now utterly ruined by them driving it totally down market and despite the price you wouldn't wear it, unless it's a shirt and you can hide the motif. Now they're doing the same to Champion sports goods, quality stuff originally from the USofA <_< How's Ashley doing with his punt on HBSO shares, was that a rumour, or is he currently nursing a 200mil loss? :blink:

Edited by Converted Lurker

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It is one of the telling ironies of modern British life that folk become more immobile, more obese, more unhealthy & more globular such that eventually they reach the point that the only stuff that fits them is sports clothes.....

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It is one of the telling ironies of modern British life that folk become more immobile, more obese, more unhealthy & more globular such that eventually they reach the point that the only stuff that fits them is sports clothes.....

Lol, quality B)

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I 'kin hate their business model and methods, take YSL; perfectly good brand and quality of goods, now utterly ruined by them driving it totally down market and despite the price you wouldn't wear it, unless it's a shirt and you can hide the motif. Now they're doing the same to Champion sports goods, quality stuff originally from the USofA <_< How's Ashley doing with his punt on HBSO shares, was that a rumour, or is he currently nursing a 200mil loss? :blink:

I dont really have a problem with it. If YSL didn't make it sports direct couldn't sell it. I buy all my gym kit from there, t shirts for a fiver and shorts for 6 quid, does the job for stuff that just gets really sweaty. They also own dunlop & slazenger which are still well respected brands in the racket sports world. I would have thought the shares could be a good buy as people look to save money. Celarly they were massively over priced at the IPO which was at £3 per share, but then I blame the banks mostly for that. Of course he is going to sell at the highest price he possibly can.

One of the problems they may face is property costs as I think Ashley kept all the freeholds in his name. On the upside there are good expansion prospects in china and the far east.

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I dont really have a problem with it. If YSL didn't make it sports direct couldn't sell it. I buy all my gym kit from there, t shirts for a fiver and shorts for 6 quid, does the job for stuff that just gets really sweaty. They also own dunlop & slazenger which are still well respected brands in the racket sports world. I would have thought the shares could be a good buy as people look to save money. Celarly they were massively over priced at the IPO which was at £3 per share, but then I blame the banks mostly for that. Of course he is going to sell at the highest price he possibly can.

One of the problems they may face is property costs as I think Ashley kept all the freeholds in his name. On the upside there are good expansion prospects in china and the far east.

I get all my gym gear from there. Only problem being if you turn up at the gym in Umbro shorts and Lonsdale T-shirt everyone knows you're a sports world shopper :lol:. Not that I'm THAT bothered about image in the gym ;)

I assume all their stuff is made and imported from the Far East, surely the £1.99 T-shirts aren't going to last much longer?

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I get all my gym gear from there. Only problem being if you turn up at the gym in Umbro shorts and Lonsdale T-shirt everyone knows you're a sports world shopper :lol:. Not that I'm THAT bothered about image in the gym ;)

I assume all their stuff is made and imported from the Far East, surely the £1.99 T-shirts aren't going to last much longer?

I am not that bothered what I look like at the gym, but smelling isn't so good, so when the t-shirts get that perma BO, you can bin them and replace for next to nothing.

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So if they close braches what will all the Rudeboys in their Burberry caps do? How will they clothe themselves.

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  • 401 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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