Super Retail Group shares are on a tear

Louisa Gouliamaki/AFP/Getty Images

Shares in the Super Retail Group, the owner of Rebel, BCF and Super Cheap Auto, surged after releasing a trading update showing strong sales growth.

A short time ago, they were up 8.3% to $7.55.

The company says like for like sales grew 4.4% in the first 17 weeks of the second half to April 28.

Super Retail in February announced a 2.2% rise in sales to $1.3 billion for the half year to December. Net profit was down 3% to $72.2 million.

The company then said it is positioning itself for growth from digital channels rather than its bricks and mortar stores.

“We expect that digital channels will present the key opportunity for growth and we will invest in further increasing our share of customer spending in those channels,” said Peter Birtles, Group Managing Director and CEO.

Bricks and mortar retailers have been hit by a shift to digital, sagging consumer sentiment and more competition from global players, including Amazon, in Australia.

Super Retail sees minimal growth from physical stores.

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