SUPERDRY LIMITED exhibits a consistent trend of extended payment cycles, with an average payment time of 52 days, significantly exceeding standard 30-day terms. Only 33% of invoices are settled within 30 days, while a substantial 38% are paid over 60 days, indicating a trajectory towards slower rather than punctual payment performance. This data suggests a systemic pattern of delayed payments rather than isolated incidents.
The company demonstrates high payment volatility and unpredictability, with 80% of all payments classified as late, making it challenging for suppliers to forecast cash flow accurately. A significant 38% of payments exceeding 60 days introduces considerable reliability risk, as payment dates are neither consistent nor predictable. This erratic payment behavior poses a substantial risk of prolonged accounts receivable for suppliers.
Suppliers should anticipate an average payment duration of 52 days and a high probability (80%) of late payments, with nearly 40% extending beyond 60 days. Key decision factors must include assessing one's capacity to manage extended cash conversion cycles and the potential for increased working capital strain. Mitigation strategies should involve negotiating tighter payment terms, requiring upfront deposits, or implementing stricter credit limits to manage exposure effectively.
| Reporting Period | Filing Date | Average Time to Pay (days) | Paid within 30 days | Paid 31-60 days | Paid after 60 days | Not Paid within Terms |
|---|---|---|---|---|---|---|
| 01 May 2023 - 28 Oct 2023 | 12 Dec 2024 | 52 | 33% | 29% | 38% | 80% |
| 01 Nov 2022 - 01 May 2023 | 01 Sept 2023 | 53 | 36% | 42% | 22% | 90% |
| 03 May 2022 - 28 Oct 2022 | 06 Dec 2022 | 61 | 29% | 43% | 28% | 80% |
| 21 Oct 2021 - 03 May 2022 | 30 Jun 2022 | 73 | 33% | 30% | 37% | 73% |
| 26 Apr 2021 - 21 Oct 2021 | 06 Jun 2022 | 57 | 40% | 35% | 25% | 70% |
| 26 Oct 2020 - 25 Apr 2021 | 09 Jun 2021 | 92 | 31% | 32% | 37% | 76% |
| 27 Oct 2019 - 25 Apr 2020 | 22 May 2020 | 62 | 38% | 31% | 31% | 66% |
| 28 Apr 2019 - 26 Oct 2019 | 26 Nov 2019 | 45 | 56% | 21% | 23% | 48% |
| 28 Oct 2018 - 27 Apr 2019 | 27 May 2019 | 39 | 48% | 37% | 15% | 43% |
| 29 Apr 2018 - 27 Oct 2018 | 27 Nov 2018 | 48 | 32% | 45% | 23% | 60% |
| 29 Oct 2017 - 28 Apr 2018 | 25 May 2018 | 48 | 35% | 43% | 22% | 43% |
| 30 Apr 2017 - 28 Oct 2017 | 27 Nov 2017 | 34 | 57% | 30% | 13% | 56% |
This information is as reported by the business, and responses are in their own words.
Standard payment terms
The Superdry group of companies operate to a set of standard payment terms, which are 60 days for goods for re-sale, 30 days for non-goods for re-sale and 14 days for store rents and utilities. Variations to these terms do exist based on agreements with certain suppliers.
Were there any changes to the standard payment terms in the reporting period?
No information available
Any other information about payment terms
N/A
Maximum contractual payment period agreed
60
Payment disputes are settled by reference to the companies 'Condition of Purchase' in the first instance. Where disputes cannot be settled through this process, suppliers are asked to contact the Superdry Accounts Payable email and the appropriate accounts payable assistant will respond to the query. Superdry operates an escalation process which sees items not satisfactorily resolved in the first instance elevated to the Head of Department, Finance Operations Manager and CFO.
Has this business signed up to a code of conduct or standards on payment practices?
For example, signatories to The Prompt Payment Code must commit to paying 95% of their invoices within 60 days.
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Does this business offer e-invoicing in relation to qualifying contracts?
This is where suppliers can electronically submit and track invoices. It's not just allowing suppliers to email them an invoice.
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Does this business offer supply chain finance?
This is where a supplier who has submitted an invoice can be paid by a third-party finance provider earlier than the agreed payment date. The business would then pay the finance provider the invoiced sum.
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Under its payment practices and policies, can this business deduct sums from payments under qualifying contracts as a charge for remaining on a supplier list?
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During the reporting period, did the business deduct sums from payments as a charge for remaining on a supplier list?
No information available
Superdry PLC is a fashion retail and wholesale business trading as Superdry, with its head office in Cheltenham. It designs, sources and sells clothing and footwear under the Superdry brand, operating through its own retail stores across the UK and Ireland alongside wholesale and online (mail order and internet) sales channels. Companies House records list its activities as wholesale of clothing and footwear, retail sale of clothing and footwear in specialised stores, and retail sale via mail order or internet. Its careers site confirms roles spanning retail stores, design, merchandising, sourcing, wholesale, logistics and eCommerce, describing itself as a premium outfitter brand built on heritage, craft and design detail.
Generated from the company's website and Companies House records. Sources: careers.superdry.com