Sports Direct’s “Rest of World” Segment Sales Dip

The “Rest of World Retail” division of Sports Direct, which includes 27 Bob’s Stores and 21 Eastern Mountain Sports locations in the U.S., and 33 Sports Direct doors in Malaysia, reported an 8.5 percent decline (-12.5 percent in constant currency) in revenues to the equivalent of $123 million for the six months ended Oct. 27. The publicly traded British parent, which is formally changing its name to Frasers Group, plc, said the decline was related to the rationalization of its Bob’s stores and the implementation of its brand elevation strategy. The operating unit suffered a 50 basis point decline in gross margin to 39.4 percent and the equivalent of a $5.7 million loss during the reporting period.