Mike Ashley’s Frasers Group reports higher profits

The firm said it can confidently raise the bottom end of its full year guidance for FY21. It now believes the group will achieve a 20% to 30% improvement in underlying EBITDA  during FY21.

Frasers Group has bought a number of high street brands in recent years, including Evans Cycles and Jack Wills.  

On Monday it confirmed it was in negotiations about a potential rescue deal for ailing department store firm Debenhams. However it warned at the time that “time is short and the position is further complicated by the recent administration of the Arcadia Group, Debenhams' biggest concession holder".

It made no further updates on Debenhams today.

Non-executive chairman David Daly said:  “Fortunately the Frasers Group is a strong business built on solid foundations. We can weather most of the storms faced this calendar year, however much of the UK High Street, which was already suffering before Covid-19, won't survive unless the Government addresses the out of date business rates regime which is due to return come April 2021.”

A business rates holiday, launched at the start of the pandemic to help firms ride out the virus crisis, is finishing at the end of March 2021.