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Rebel Sport has paid dividends for parent company Super Retail Group (SRG).

The Group's sporting division, which includes Rebel and Amart, lifted three per cent for the first quarter.

Sales in its leisure business, which includes Ray's Outdoors, dropped by three per cent while its auto division grew four per cent.

The sales are for the 16 weeks to October 18.

SRG will spent $90 million on new stores and refurbishments, with five sports store closures and 15 refurbishments.

Fourteen stores will be added to the sports division, with the focus on expanding its Amart chain.

SRG MD Peter Birtles said the latest results were in line with expectations.

"We are pleased with the sales growth being delivered in both the auto and sports divisions.

"As forecast, the leisure division continues to be impacted by new store cannibalisation and weak trading conditions in mining and regional areas – this impact is expected to reduce in the second half of the financial year."

He said sales at its leisure businesses were below expectations, with gross margins lagging on the same period last financial year.

"We are expecting a recovery is gross margins in the second half and to be in line with the prior period over the full year."

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