JD hails ‘creditable’ trading performance
RETAILER JD Sports Fashion – which this week sealed a rescue deal for ailing peer Blacks Leisure – hailed a “creditable” festive trading performance with a gross like-for-like sales increase of 1.6%.
The Bury-based company said its core JD Sports chain had been the star of the show with sales up 2.3%, while there was a 0.7% decline in the fashion fascias which include the Bank and Size concepts.
Set against the context of challenging trading conditions group said the performance in the five weeks to January 7 was pleasing.
With many other retailers forced to offer heavy discounts to lure in consumers, JD said its gross profit margins were maintained “broadly in line with the prior year”.
Executive chairman Peter Cowgill said: “I would like to thank all our staff who through their efforts and commitment in this busy trading period, have helped deliver this creditable result.”
He told TheBusinessDesk.com that footwear sales had been “extremely strong” over the festive period, adding: “We have clearly established ourselves as the number one destination for sports leisure footwear – we get all the best releases first.”
Outside the UK, France-based Chausport performed well over the Christmas period and whilst the performance of JD’s Republic of Ireland business, Champion, saw sales continue to be hit by the “exceptionally difficult economic environment” there.
On a positive note, JD said it had improved Champion’s margins significantly by improving the company’s operational performance.
In Spain, the group said Sprinter’s sales saw a marginal decline over the period, but the overall direction of the business is encouraging.
The first JD Sports-branded stores will open in Spain in the first half of this year, it added.
The group re-iterated the guidance it gave investors on Monday, stating: “Whilst the very recent acquisition of the trading assets and trade of Blacks Leisure Group will lead to a small reduction in earnings in the current year, the board believe that the final year end out-turn will be in the range of current expectations.”
Full year results for the year to January 28 will be published in April 12.
