Frasers Group pulls guidance after new UK Covid restrictions

Mike Ashley’s Frasers Group said it was pulling full-year guidance after the UK government closed non-essential retail stores in response to a new variant of the coronavirus breaking out in London and the South East.

The company, which includes the Sports Direct chain, had guided for a 20% - 30% improvement in underlying core earnings during full-year 2021.

Frasers said the latest curbs had led to “virtually all of our stores closing in these areas”, adding it had taken the decision to pull its forecasts “given this is a peak trading period … combined with the high likelihood of further rolling lockdowns nationwide over the following months at least”.