02 Jul 2018
Pentland Group plc today announces results for the year ended 31 December 2017.
• Total group revenue up 25% to £3.6bn (2016: £2.9bn), driven by a record performance from JD Sports Fashion plc;
• Group operating profit, before amortisation of intangibles and exceptional items, up by 14% to £376m (2016: £331m);
• Group net assets increased by 22% to £1,276m (2016: £1,044m).
• Pentland Group was awarded two prestigious family business awards – the EY UK Family Business of Excellence award and the International Institute for Management Development (IMD) & FBN Global Family Business Award.
Pentland is the majority shareholder in JD Sports Fashion plc which had another exceptional year with revenues up 33% and operating profits strongly ahead of the prior year. This was driven by its ongoing investment in enhancing its multichannel proposition; a focus on driving continual improvements through its buying, merchandising and retail disciplines; and its continued success in offering customers the best combination of physical and digital retail on an increasingly global scale.
Since year-end, JD Sports Fashion has announced the completion of its acquisition of Finish Line Inc, a US retailer of athletic footwear and apparel.
Further information on JD Sports Fashion, and its results for the year ended 31 January 2018, is available at www.jdplc.com.
PENTLAND BRANDS DIVISION
Pentland Brands continued to build its presence in key markets during the year, resulting in a strong performance by several of its brands. 2017 highlights include:
• Ellesse enjoyed another strong year, delivering 21% revenue growth and building on the continued favourable trend in sports fashion.
• Speedo achieved 8% sales growth, underpinned by its move to a direct-to-consumer business model in China in 2016.
• Canterbury sponsored the 2017 British and Irish Lions tour to New Zealand and achieved considerable success with the partnership.
In 2017, Pentland Brands reorganised and streamlined its operations, actively managing its brand portfolio including the creation of a joint-venture with the Lacoste Group, one of its major brand partners.
Pentland Brands continues to seek to attract high quality brands into the Pentland fold. Further progress was made in 2017 with the acquisition of US footwear brand SeaVees. Since year-end, Pentland Brands has also announced the acquisition of cycling brand, Endura.
The Pentland Group continues to be committed to corporate responsibility and recently published its annual corporate responsibility review, Doing Business Better. 2017 highlights include:
• The JD Foundation launched the ‘Inspired to Aspire’ mentoring programme, to help young people prepare for the world of work.
• 40% of Berghaus’ range was MADEKIND™ for the environment and 70% of Speedo’s men’s water shorts used eco-friendly production techniques or materials.
• Pentland Brands trained more than 90 staff in factory-facing roles and JD trained more than 170 auditors to spot modern slavery risks in the supply chain.
Stephen Rubin, Chairman of Pentland Group, commented: “I am delighted that Pentland Group’s 85th set of annual results, once again, demonstrate our commitment to nurturing our brands and evolving our business to ensure that we continue to meet the changing needs of our retail customers, brand partners and consumers.
“We are very grateful to all our people for their passion and dedication to ensuring that we build our business, doing business the right way.”