JD Sports unveils record figures for the year
Bury-based JD Sports scored impressive results for the year to February 3, as sales and profits both increased.
The group posted a record headline profit before tax and exceptional items of £307.4m, compared with £2448m the previous year.
Pre-tax profits, after exceptional charges of £12m, came in 24% ahead at £294.5m, on sales of £3.161bn, which were 33% ahead of 2017.
Like-for-like store sales edged ahead 3% during the 53-week financial perio, while like-for-like website sales were more than 30% better than previously.
JD’s international expansion continued apace with a net increase of 56 stores, compared with 54 the previous year, across Europe.
A further nine JD stores opened in the Asia Pacific region in the year, against two the year before, including the first stores in Australia
The group has also opened its first store in South Korea
Outdoor EBITDA figues, including a full year of Go Outdoors for the first time, were £23m, up from £7m previously.
At the end of the financial year net cash stood at £309.7m, against £213.6m, after funding nearly £100m of additional capital expenditure in the year with increased investment in retail stores and investments in warehouse infrastructure to facilitate further growth.
Terms agreed which, subject to shareholder approval on both sides, will result in the acquisition of The Finish Line Inc business in the United States.
At the time of signing the merger agreement, Finish Line had 931 branded stores (including 375 branded concessions in Macy’s department stores) with a further 188 unbranded concessions in Macy’s department stores.
JD Sports executive chairman, Peter Cowgill, said today: “I am delighted to report that this has been another period of significant progress for the group with headline profit before tax and exceptional items increasing by a further 26% to £307.4m (2017: £244.8m).
“This is an excellent result demonstrating our capacity for continuing growth in both existing and new markets, and the strength of our offer in store and online.
“After delivering a headline profit of £100m for the first time in the year to January 2015, the headline profit has increased by more than £200m over the subsequent three years, a rise in excess of 200%.
“This sustained growth could not have been achieved without a relentless and ongoing focus on a number of key principles which ensure we remain the undisputed consumer destination of choice for sport lifestyle footwear and apparel.”
He added: “The investments we have made over a number of years in developing our multichannel proposition and driving improved buying, merchandising and retail discipline have ultimately led to the creation of a world-class sports fashion business which combines the best of physical and digital retail on an increasingly global scale.
“We are very encouraged by the progress that we are making internationally and we continue to look for further opportunities to bring our dynamic multichannel proposition to new markets around the world with the support of our key brands.”
He said: “The commitment of our employees is crucial to our success and I would like to thank everyone in our businesses for their support in delivering another set of excellent results.
“Their talent and energy is at the heart of our success and we remain committed to giving all our colleagues a quality work experience which is challenging yet rewarding.
“The board remains confident in the robustness and international potential of the JD proposition and is excited by the major developments ahead.”
Shareholders will receive a 5.4% increase in the final dividend of 1.37p per share, compared with 1.30p, bringing the total dividends payable to 1.63p, up from 1.55p – an increase of 5.2%.
