Frasers Group has said the ongoing coronavirus epidemic will cause “significant disruption” to its business and that it would not achieve its previous profit guidance as a result.

The Mike Ashley-owned sports goods retail group said the impact of the virus had reduced customer footfall to its brands’ stores and, as a result, it “will not achieve the range of guidance of 5% to 15% EBITDA growth” previously given for the year ending April 26, 2020.

The retailer said, given the uncertainty, it would not be giving any formal guidance in relation to the 2020 financial year.

Frasers Group said that, before the virus struck the UK, its performance “had been in line with expectations”.

The group said it “has a strong management team that can adapt and respond quickly to challenges and changing market conditions”.

Over the long term, Frasers Group committed to being “focused” on its elevation strategy.

The announcement to the City follows a report in The Guardian yesterday, which said that Ashley and his team were asking landlords for rent cuts of up to 50% in an attempt to save costs.

Ashley also asked for the suspension of service charges at shopping centres and retail parks, as well as rent cuts.

Sports Direct joined the likes of struggling department store chain Debenhams, New Look, Arcadia and even H&M in asking landlords for rental holidays in the face of the epidemic.

Some landlords, however, are looking to work closely with occupiers to help them survive. Yesterday, Argent, the developer of Coal Drops Yard in London, offered its retail, leisure and restaurant tenants a three-month rent holiday.

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