Frasers Group, the parent company of Sports Direct, has reported record profits for the year ending 27 April, despite facing a £50m financial impact from National Insurance increases. The company saw a 3% rise in adjusted profit before tax, reaching £560.2m. The second half of the year proved particularly fruitful, with a profit increase of 8.3%.
Sports Direct’s UK operations led the charge, contributing a 1.6% profit rise to £475.8m. Despite a 7.4% dip in overall revenue, totalling £4.93bn, Frasers managed significant cost savings of £127.2m from eliminating low-margin sales in its Studio and Game segments. Further operational efficiencies added another £224.7m to its savings, bolstering overall performance.
Frasers also made strategic strides in international markets, expanding in Australia, Asia, and EMEA. Stronger partnerships with global brands such as Nike, Adidas, and Hugo Boss are key to these efforts, while the group’s real estate investments continue to deliver value. Frasers Plus has shown promising growth, meeting long-term targets as part of the group’s broader ambitions.
Looking ahead to FY26, Frasers expects adjusted profit before tax to fall within a range of £550m-600m, with continued progress expected despite external challenges.
