JD Sports Fashion reported a deeper decline in underlying sales for its second quarter, reflecting weakness in the UK, though there were signs of stabilisation in its key US market after a sharp decline in the previous quarter.
The sportswear retailer, which makes nearly 40% of its revenue in the US through its JD Sports, Hibbett, DTLR and Shoe Palace stores, said like-for-like sales for its second quarter to August 2 fell 3%, having been down 2% in the first quarter.
Shares in FTSE 100-listed JD have lost 37% of their value over the last 12 months, reflecting a volatile and promotional market, a drop-off in demand for Nike products, which account for about 45% of its sales, and uncertainty over the impact of President Donald Trump's tariffs on costs and consumer demand.
The group said a 6.1% fall in like-for-like sales in the UK reflected a tough prior year comparison when trade was boosted by the men's Euro 2024 soccer tournament.
But it saw an improving trend in North America where like-for-like sales fell 2.3%, having been down 5.5% in the previous quarter, reflecting the deferral of several product launches from the first quarter, along with stronger sales trends in apparel and online.
JD forecast full year 2025/26 profit before tax and adjusting items in line with current market expectations of £852-915m, down from the £923m made in 2024/25.
"Across our regions and fascias, in general we see a resilient consumer, albeit very selective on their purchases. We therefore remain cautious on the trading environment going into H2," CEO Regis Schultz said.
Reporting by Reuters
