Highlights

  • Accent Group shares rose 2.68% to AUD 0.58 on 13 May 2026 following the release of its 2030 Strategic Growth Plan.
  • The company is targeting more than AUD 1.9 billion in sales, EBIT margins above 9% and around 950 stores by 2030.
  • Management outlined planned operational efficiencies expected to deliver gross cost savings of approximately AUD 40 million through FY28.
  • The Sports Direct rollout across Australia and New Zealand remains a major expansion focus, with 30 stores targeted within three years.
  • The company said existing Capital resources and projected cash flows are expected to support its Long-term Growth strategy.

Accent Group Limited (ASX:AX1) shares moved higher during the afternoon session on 13 May 2026 after the retailer released a detailed strategic growth roadmap outlining long-term sales, profitability and store expansion targets through to 2030.

Accent Group shares climbed 2.68% to AUD 0.58 after the company presented its updated growth strategy to investors, including ambitions to lift annual sales beyond AUD 1.9 billion while improving EBIT margins to above 9%.

The market reaction suggested investors viewed the update favourably, particularly as management highlighted multiple profit improvement initiatives, expansion opportunities across growth brands and plans to optimise operating efficiencies over the coming years.

Despite today’s gain, Accent Group shares remain down 71.11% over the past year, reflecting broader challenges facing discretionary retail businesses amid softer consumer spending conditions and Margin pressures across the sector.

However, the latest strategy update appears to have renewed investor focus on the company’s long-term growth initiatives and operational restructuring plans.

Accent Group Outlines Long-Term Growth Ambitions

Accent Group’s newly released 2030 Strategic Growth Plan is built around three primary pillars — Efficiency, Evolution and Expansion.

Management stated that the strategy is designed to Leverage the company’s existing retail scale, broad Brand portfolio and customer reach while positioning the Business for future growth opportunities across both lifestyle and sports retail categories.

Under the plan, the company is targeting:

  • More than AUD 1.9 billion in annual sales by 2030
    • EBIT margins exceeding 9%
    • Approximately 950 stores across its retail network

The company noted that it currently operates around 900 stores and generated approximately AUD 1.5 billion in FY25 sales, with an EBIT margin of 7.3%.

Accent Group believes future growth will come from a combination of operational efficiencies, brand development initiatives, digital expansion and new store rollouts.

Efficiency Initiatives Target Cost Savings

A major focus of the strategic update involved improving operational efficiency across the business.

Management outlined approximately AUD 40 million in gross cost-saving initiatives expected to be implemented through FY28.

Of this amount, around AUD 30 million has already been actioned for FY27, while a further AUD 10 million remains targeted through to FY28.

After accounting for Inflation and comparable sales growth, Accent Group expects total net cost savings of between AUD 15 million and AUD 20 million through FY28.

The company said these initiatives involve re-engineering business processes, removing operational inefficiencies and improving scalability across the organisation.

Accent Group also highlighted plans to deploy AI-oriented projects aimed at supporting future efficiencies.

The company expects these measures to contribute toward a reduction in the cost of doing business as a percentage of sales over time.

Management indicated that the initiatives are intended to strengthen profitability across its core retail banners while also helping position the business for future market conditions.

Store Portfolio Optimisation Expected to Support Earnings

Another key initiative within the strategy involves optimisation of the store portfolio.

Accent Group said Lease renewal negotiations, store performance improvement measures and the avoidance of underperforming store losses are expected to contribute at least AUD 7 million in EBIT uplift by FY30.

Retail store network management remains an important focus for many discretionary retailers as businesses continue balancing physical store presence with changing consumer shopping habits and digital growth.

The company indicated that improvements to the store network are expected to support both profitability and operational efficiency over the longer term.

Sports Direct Expansion Forms Major Growth Driver

One of the most significant expansion opportunities highlighted in the update relates to the rollout of the Sports Direct retail format across Australia and New Zealand.

Accent Group plans to open approximately 30 Sports Direct stores within the next three years, with longer-term ambitions ranging between 50 and 100 stores over time.

The Sports Direct rollout forms part of the company’s broader expansion strategy focused on sports and performance categories.

Management also identified continued growth opportunities from distributed brands including HOKA and Lacoste, alongside further scaling of its vertical-owned brands such as Nude Lucy and ODE.

Additional store openings are also planned across several core and growth brands, including Skechers, HOKA, Lacoste, Nude Lucy and ODE.

The company said it is targeting up to 20 new stores outside the Sports Direct rollout as part of the broader expansion program.

Athlete’s Foot Strategy Included in Growth Roadmap

Accent Group also highlighted plans involving The Athlete’s Foot business.

According to management, Franchisee reacquisitions are expected to contribute around AUD 14 million in incremental EBIT by 2030.

The company views The Athlete’s Foot as an important component of its sports retail positioning and broader customer reach strategy.

Management also plans to continue evolving its core lifestyle brands through expanded product categories, refreshed store concepts and digital growth initiatives designed to align with changing customer preferences.

FY27 Profit Improvement Pipeline Highlighted

Investors also appeared focused on the company’s near-term profit improvement initiatives entering FY27.

Accent Group outlined several expected EBIT improvement drivers, including:

  • AUD 10 million to AUD 15 million from targeted cost efficiency initiatives
    • AUD 16 million linked to the closure of loss-making businesses
    • Up to AUD 6 million associated with The Athlete’s Foot franchisee reacquisitions

Management additionally noted that an Australian dollar Exchange Rate above 70 US cents would provide support for gross margins.

Foreign exchange movements remain an important consideration for retailers importing branded footwear and apparel products from international suppliers.

The company identified consumer sentiment and foreign exchange Volatility as two of the key swing factors likely to influence future performance.

Sales Growth History Remains Part of Investor Focus

Accent Group also used the presentation to highlight its historical sales growth trajectory.

According to the company, total sales increased from AUD 772 million in FY19 to approximately AUD 1.393 billion in FY23 and reached around AUD 1.553 billion on a last twelve months basis through 2026.

Management stated that the company has delivered sales growth above the broader market across each of the past 10 years.

The retailer also pointed to its customer scale, with around 5 million known active customers during the last twelve months spanning multiple demographic segments.

Accent Group said its diversified brand portfolio and flexible operating structure allow the business to adjust product, brand and store priorities in response to evolving consumer preferences and market conditions.

Capital Position Supports Long-Term Strategy

Another area addressed in the strategic update involved funding capacity for the growth plan.

The company stated that existing capital resources and projected future cash flows are expected to support planned investments through to 2030.

This includes funding requirements associated with the Sports Direct rollout, The Athlete’s Foot acquisitions and broader business expansion initiatives.

Management indicated that the company remains positioned to invest in future growth opportunities as required.

Why Investors Reacted Positively

Today’s share price increase appears linked to investor interest in Accent Group’s long-term profitability and growth targets.

The strategic update provided greater visibility around management’s operational priorities, cost efficiency measures and planned expansion opportunities over the next several years.

Investors may also have responded positively to the outlined FY27 profit improvement pipeline and the company’s targeted EBIT margin expansion.

The planned Sports Direct rollout, ongoing brand growth initiatives and operational restructuring measures were among the major themes highlighted in the update.

Although broader retail sector conditions remain sensitive to consumer spending trends and currency movements, the market reaction suggests the strategic roadmap was viewed as constructive by investors.

What Investors May Watch Next

Following the strategy update, investors are likely to monitor:

  • Execution of planned cost-saving initiatives
    • Progress of the Sports Direct rollout
    • New store openings across growth brands
    • Consumer Demand trends across discretionary retail categories
    • Margin performance and cost management outcomes
    • Foreign exchange impacts on sourcing costs
    • Progress toward FY27 EBIT improvement targets

Future updates regarding store rollout progress, operational efficiencies and earnings performance may remain key drivers for investor sentiment toward the stock.