Accent Group has laid out an ambitious Vision 2030 strategy aiming for $1.9 billion in sales and a 9%+ EBIT margin. Central to this plan is the expansion of Sports Direct stores and a focus on operational efficiencies and brand evolution.
- Targeting 9%+ EBIT margin by 2030
- Plan to grow store network to ~950
- $30 million cost efficiencies targeted in FY27
- Sports Direct rollout to 30 stores by 2029
- TAF franchise buybacks to add $14 million EBIT
Vision 2030: Ambitious Growth and Efficiency Drive
Accent Group (ASX:AX1) has mapped out a clear path to 2030, targeting $1.9 billion+ in sales, a 9%+ EBIT margin, and a store network of approximately 950 locations across Australia and New Zealand. The strategy pivots on three pillars: efficiency, evolution, and expansion; with a sharp focus on operational cost savings, brand refreshment, and scaling new vertical and distributed brands.
Efficiency measures include a targeted $30 million gross cost of doing business (CODB) savings in FY27, expected to translate into $10–15 million net EBIT uplift post-inflation and comp growth. These savings stem from streamlining business processes, reducing overhead, and deploying AI-driven initiatives. Accent plans further efficiencies in FY28, aiming for an additional $5 million uplift.
Sports Direct: A Key Expansion Lever
One of the most eye-catching elements of Accent's Vision 2030 is the aggressive rollout of Sports Direct stores. Having launched in late 2025, the brand is on track to open eight stores in calendar 2026, with a target of 30 stores within three years. Early results show promising sales traction, with annualised run rates exceeding $7 million and sales per square metre over $6,000 in the first four months.
Sports Direct's entry taps into a $5 billion growing sports footwear and apparel market in Oceania, driven by athleisure trends and health-conscious consumers. Accent leverages its existing scale and customer base of over 10 million profiles to accelerate Sports Direct's growth, aiming for a 7–10% EBIT margin and 35–40% penetration of vertical, distributed, and Frasers Group brands by 2026 year-end. This expansion complements Accent's existing portfolio of global brands like Skechers, Lacoste, and Hoka, which have shown consistent growth and strong brand awareness.
TAF Franchise Buybacks and Brand Evolution
The Athlete’s Foot (TAF) remains a cornerstone for Accent, with franchise buybacks positioned as a capital-efficient growth lever. The company forecasts a $14 million EBIT uplift by 2030 from reacquiring up to 30 franchise stores, supported by an 86% increase in customers using fitting services and a strong Net Promoter Score of 82 in FY25. Corporate ownership is expected to improve product mix towards higher-margin vertical brands and deliver better purchasing efficiencies.
Accent also plans to evolve its lifestyle retail banners to align with shifting consumer trends, refresh brand banners, and incubate new vertical owned brands like Nude Lucy and Ode. This brand evolution strategy aims to capture trend uplift and diversify revenue streams beyond traditional footwear sales.
Market Position and Portfolio Resilience
With nearly 900 stores and over 3,000 wholesale partner doors, Accent Group boasts the largest footwear store network in ANZ. Its portfolio spans distributed global brands, vertical owned brands, and third-party brands, supporting a resilient gross margin profile and flexibility to adjust to macroeconomic cycles. Digital channels are a significant growth driver, with 31 websites generating $300 million+ in sales and 2.9 million orders annually.
Accent's strategy builds on a decade of sales growth exceeding the broader Australian clothing, footwear, and accessories market, despite recent headwinds such as margin pressures and currency volatility. The company has demonstrated the ability to navigate cycles, closing underperforming stores and banners to focus on profitable growth segments.
These operational and strategic moves come after a period of margin pressure and revised FY26 guidance, as reported in recent coverage, where Accent cut earnings forecasts amid inflation and competitive promotional intensity margin pressure and ASIC probe. The Vision 2030 plan appears designed to restore momentum and profitability through disciplined cost control and targeted expansion.
Accent's FY30 targets assume modest comparable sales growth and stable foreign exchange conditions, with key risks including consumer sentiment shifts and execution challenges in store rollouts and franchise buybacks. The company retains flexibility in capital allocation, with a history of over $500 million dividends paid in the past decade and a focus on high-return investments like TAF buybacks and Sports Direct expansion.
As Accent embarks on this evolution, the market will be watching how well the group balances its broad portfolio, digital growth, and new brand initiatives against ongoing retail headwinds and competitive pressures. The success of Sports Direct's rollout and the integration of franchise stores into corporate ownership will be particularly telling indicators of the strategy's traction in the coming years.
Bottom Line?
Accent's Vision 2030 is a bold bet on operational efficiency and brand-led expansion, but execution risks and market volatility will test its path to a 9%+ EBIT margin.
Questions in the middle?
- Can Accent sustain cost efficiencies while scaling Sports Direct aggressively?
- How will franchise buybacks impact TAF’s profitability and customer experience long term?
- Will shifting consumer trends and digital growth offset margin pressures in lifestyle footwear?