JD Sports has maintained its full-year profit guidance as it made “good strategic progress” despite the market “remaining challenging”.
Total sales for the sports giant edged up 3.6% to £10.5bn in the 53 weeks to 3 February, with like-for-likes up 4.2% and organic sales jumping 8.4%.
The retailer, which is dubbed the ‘King of Trainers’, reaffirmed the £915m to £935m adjusted pre-tax profit range that it guided at the start of the year, after lowering from its initial £1.04bn target.
JD Sports warned in January it would fall short of its £1bn profit guidance, citing a “softer” golden quarter. Fourth quarter group like-for-likes fell flat at 0.1%.
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In the UK and Ireland, final quarter sales dipped 3.2% which it attributed to a “weaker” apparel performance against footwear and a decision “not to participate fully in the significant, mainly online, promotional activity within the UK”.
On a full-year basis, like-for-likes edged up 0.8%.
JD Sports chief executive Régis Schultz said: “In our FY24 financial year, we outperformed the sportswear market, reflecting the strength of our business.”
JD Sports said trading at the start of the new financial year has so far been “in line with expectations” despite the market “remaining challenging”.
The retailer said it expects pre-tax profit for the current year to fall between £900m and £980m, with like-for-like and organic sales growth expected to rise between 1% and 4% and 6% and 9% respectively.
Schultz added: “Looking ahead, the current trading environment remains challenging due to less product innovation and elevated promotional activity, especially online.
“We anticipate trading conditions will improve as we move through the year, helped by a busy sporting summer and softer comparatives with last year.”
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