JD Sports expects £940m profit despite supply woes

Shares of Bury-based FTSE 100 retailer JD Sports Fashion plc rose about 7% on Thursday after it published a positive trading update and said it expects its full-year headline profit before tax will be about £940 million.

In an update on its performance for the first 14 weeks of its new financial year covering the period to May 7, 2022, JD Sports said: “The group is reassured with the trading to date with total sales in the group’s like for like businesses more than 5% higher than the same period in the prior year.

“This performance is a positive reflection of both the strength and breadth of the group’s brand relationships and category offer.

“It has also been achieved against a backdrop of a global shortfall in the supply of certain key footwear styles which we expect to improve progressively through the year.

“Whilst we are pleased with the trading to date, which is at least in line with the group’s expectations, we remain conscious of the headwinds that prevail at this time including the general global macro-economic and geopolitical situation.

“Notwithstanding these challenges, the board still believe that the headline profit before tax and exceptional items for the year end 28 January 2023 will at least be equal to that for the year ended 29 January 2022 which, after finalising certain year end accounting positions including the calculation of leases under IFRS16, is now expected to be approximately £940 million.

“The group anticipates being in a position to announce its full year results for the year ended 29 January 2022 in early to mid-June and will confirm the final date in due course.”

About the Author

Mark McSherry
Dalriada Media LLC sites are edited by veteran news journalist Mark McSherry, a former staff editor and reporter with Reuters, Bloomberg and major newspapers including the South China Morning Post, London's Sunday Times and The Scotsman. McSherry's journalism has also appeared in The Washington Post, The Guardian, The Independent, The New York Times, London's Evening Standard and Forbes. McSherry is also a professor of journalism and communication arts in universities and colleges in New York City. Scottish-born McSherry has an MBA from the University of Edinburgh and a Certificate in Global Affairs from New York University.