Adjusted profit before tax reached £544.8 million for the year ending 28 April, driven by strong performance from Sports Direct. While profit before tax from continuing operations fell slightly to £507m, Frasers Group expressed confidence in achieving further profit growth in the coming financial year.

Group CEO Michael Murray commented: “This has been a break-out year for building Frasers’ future growth. As well as delivering a strong trading performance, particularly from Sports Direct, we made significant progress with our elevation strategy.

“We expanded our retail ecosystem, establishing valuable partnerships with new brands. Our brand relationships have never been stronger, giving us invaluable support as we continue the international expansion of our business.”

Dan Coatsworth, investment analyst at AJ Bell, highlighted Frasers’ having doubled its pre-tax profits from a decade ago and as it has now “passed the half-a-billion-pound mark for annual pre-tax profit”. He said it is “a business which cannot stand still”, adding that the group is “finding more ways to make money and the results are clear to see”.

He explained: “Frasers might have the reputation for being a vulture which likes to pick at the bones of failed rivals, but its full-year results paint a different story. They show a business making big strides strategically, leaving its days as a straightforward pile ‘em high, sell ‘em cheap retailer in the distance.

“Sports Direct is still at the core of the group and helped to generate profit at the top end of expectations, but it’s what’s being layered on top of this operation that makes Frasers a lot more interesting. As well as going upmarket with the types of products sold and the clientele it attracts, Frasers has also fine-tuned its engine, adding a spoiler to go faster, upgrading the tyres and topping up the tank.

“It is now selling a wider range of brands, has spread its wings geographically, invested money to have more efficient logistics and warehouse operations, and has dipped its toe into the water with a buy now, pay later service for its own shops and third-party retailers.”

Mr Coatsworth continued: “While Frasers may always be tempted to snap up rivals on the cheap if the opportunity arises, it feels as if it is no longer reliant on acquisitions to support growth. There are plenty of things underway to achieve organic gains, perhaps reflecting a different mindset between how Mike Ashley used to run the business and how the strategy is actioned under Michael Murray.

“It has been two years since Murray took the top job and he says the year to April 2024 was a ‘break-out’ year for Frasers’ future growth. That’s a fair statement and the results suggest he’s done a fine job despite having had big shoes to fill by taking over from one of the most notable characters in British retail.”