Supreme profit up 30% as vaping boosts growth

Shares of Supreme plc, the Manchester fast-moving consumer products supplier, rose about 12% on Tuesday after it published a strong trading update for the three months ended December 31, 2022,

Trading across Q3 FY23, the group’s busiest period, was up significantly compared to Q3 FY22 with revenue and gross profit up 30%,” said Supreme.

This strong performance ensures the group remains well placed to meet market expectations for the year ended 31 March 2023, which were increased in November 2022.

The group’s vaping division has continued its impressive growth trajectory, delivering exceptional organic and acquisitive growth, with Liberty Flights, Cuts Ice and Flavour Core all trading well.

“Bolstered by its extensive retail distribution network and robust D2C capabilities, Supreme remains ideally placed to capitalise on the fast-growing demand in the vaping market.

The gGroup’s lighting division is showing ongoing signs of recovery, reaffirming the temporary nature of the slowdown within the category and across the market. 

“Elsewhere, the group’s battery division produced another consistent performance.

The remainder of the group remains profitable and resilient.

The company’s strong Q3 FY23 performance has ensured Supreme remains well positioned for future growth, underpinning management’s confidence in the group’s outlook for FY 2024.

“Supreme is focused on building on the significant trading momentum generated across the period to deliver on its medium-term strategic priorities.”