Business
Half-year Report
Frasers Group PLC reported a solid first half of FY26 with revenue up 5.0% to £2,581.3m, driven by a significant 42.8% increase in international revenue, though Adjusted Profit Before Tax (APBT) decreased by 2.8% to £290.9m due to increased impairments and interest costs. The company's Elevation Strategy is progressing with a 160 basis point improvement in gross margin to 47.3%, and retail profit from trading increased by 12.2% to £411.4m. Despite challenging market conditions, Frasers Group is reiterating its full-year APBT guidance of £550m to £600m and continues to invest in international expansion, brand partnerships, and strategic property acquisitions, including the £217.6m purchase of Braehead retail park. Net assets increased to £2,394.2m, and the Group secured a new £3.1bn credit facility. Disclaimer*
About this update from Frasers Group Plc
[{"type":"text","content":"\n\n\n\n4 December 2025\nFRASERS GROUP PLC (\"Frasers Group\", \"the Group\", or \"the Company\")\n \nUnaudited half year results for the 26 weeks ended 26 October 2025 (\"FY26 H1\")\n \nA solid first half: Continued success of the Elevation Strategy with progress on margins, cost savings and international expansion, with tough market conditions continuing into the second half.\n \nMichael Murray, Chief Executive of Frasers Group: \n \n\"We've made a solid start to FY26 even though market conditions are tough, consumer confidence is very subdued and excess inventory continues to weigh on the industry, leading to increased promotional activity. While we remain cautious into the second half, our focus is unwavering as we confront these challenges head-on, and we are today re-iterating our FY26 APBT guidance of £550m to £600m. We are continuing to invest boldly in our Elevation Strategy-deepening brand partnerships, elevating our product mix, opening new Sports Direct stores internationally, and acquiring strategic properties to strengthen our portfolio. These steps reinforce our ambition and give us real confidence in the substantial long-term opportunities ahead for the Group.\"\n \nHeadlines\n· Continued strategic progress against key priorities:\n \n1. Focus on underlying profitable growth\n· Revenue up 5.0% to £2,581.3m, driven by international revenue growth of 42.8%.\n· APBT(1) decreased by 2.8% to £290.9m as an £82.3m increase in impairments of tangible and intangible fixed assets and an £11.3m increase in interest costs were largely offset by a £33.8m gain from the disposal of the Coventry Arena and a £41.1m increase in premiums from strategic investments. \n· Group and retail gross margin % up 160bps year-on-year, driven by improved product and retail mix in both UK Sports (+140bps improvement) and Premium Lifestyle (+410bps improvement), as the core Sports Direct and Flannels businesses continue to grow as a proportion of group sales.\n· Retail profit from trading up 12.2% to £411.4m.\n· Green shoots in the luxury market as Flannels returned to sales growth. Premium Lifestyle's profit from trading up £5....