JD Sports is on track to increase its profits to more than £1bn after demand for its branded footwear and apparel bolstered its sales.
The sportswear giant posted profit before tax of £375.2m for the 26 weeks to July 29, 2023, up 25.8% year on year from £298.3m in the same period last year.
Yet, its profit before tax and adjusted items narrowed to £373.5m from £383.5m a year before.
Sales increased 8.3% to £4.78bn for the period, up from £4.4bn during the same period in 2022 as growth for the retailer’s premium sports fashion brands continued.
The retailer added that it is on track to open over 200 new stores across the world by January 2024.
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On its outlook, JD Sports said that in the last seven weeks, trading across the group has continued in line with its expectations.
“At constant exchange rates, organic sales growth was 10%. In addition, we have continued to open new JD stores worldwide and are on track to meet our full-year store targets,” the retailer said.
Chief executive Régis Schultz said: “We have delivered a strong first half to our financial period with organic sales growth of 12% and profit on track for the full year.
“In line with our strategic plan, growth is being driven by our premium sports fashion business with an impressive performance in Europe (+27%) and North America (+15%), supported by a strong performance in our more mature UK market (+8%). This performance continued in the important back to school period.”
Schultz added that JD Sports has made good progress on delivering on its strategic pillars, focusing on accelerating JD brand growth in Europe through “purchasing the non-controlling interest in both ISRG and MIG, and the acquisition of GAP stores in France”.
Looking ahead, he said the retailer’s core consumers remain resilient in the face of the ongoing global macro-economic challenges.
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