Superdry’s share price skyrockets after announcing a second special dividend off the back of a bumper year

British fashion retailer Superdry has announced its second special dividend in two years, after delivering double digit growth in sales and profits in its full year results.

The group is issuing a full year ordinary dividend of 31.2p per share at an increase of 11.4 per cent, coupled with a special dividend of 25p per share which the company says is due to "continued strong cash generation".

As a result, Superdry's share price has boosted 12.32 per cent so far this morning, as analysts like David Madden at CMC Markets labelled the special dividend as a "pleasant surprise" amid strong growth results for the company.

Per the group's already announced figures in May for the year ending 28 April 2018, Superdry's so-called global brand revenue, which converts wholesales into the prices consumers would pay including taxes, was up 22.1 per cent to £1.6bn, up from £1.31bn in 2017.

At the time its share price plummeted more than 10 per cent as markets opened, and analysts issued "hold" ratings for the retailer due to a write-down in Berlin.

Underlying profit before tax was confirmed today to be up 11.5 per cent to more than £97m, beating 2017's profits of £87m in the same period.

Wholesale revenue was up 29.6 per cent, including the eight new markets that Superdry reached over the year. Retail revenue as a whole was up 9.2 per cent year-on-year, driven by a big boost in online sales at 25.8 per cent, and store revenue up 3.4 per cent.

To date, investors have been looking for assurances that sales are picking up after the company had a slow start to the year in January as a result of the cold weather and ongoing pressure on the high street.

Euan Sutherland, CEO of Superdry, said:

"Our focus remains on executing our growth strategy and realising the potential we have identified across products, geographies and channels."

"Whilst the consumer environment continues to be challenging, the Board remain confident that Superdry is a uniquely advantaged, highly cash-generative business that will continue to deliver sustainable growth for our investors. This confidence is demonstrated through our second special dividend in two years."