JD Sports Fashion reported weaker sales and profits for the six months to August 1, blaming cost-of-living pressures for weighing on demand among its younger customers. Sales came in at £5.9 billion, about 0.7% less than the same period a year ago, driven by a 1.7% decline in North America, its biggest market, and a 1.6% fall in the UK, partly offset by sales jumping by more than a 10th in the Asia Pacific region. Adjusted pre-tax profit tumbled by a fifth to £282 million. Chief executive Regis Schultz described a resilient performance against a challenging backdrop of consumer cost-of-living pressures, footwear product cycle headwinds and a highly promotional market, and the retailer cut its full-year profit outlook last month to between £700 million and £800 million, down from a previously guided range of £750 million to £850 million. JD Sports had 4,766 stores worldwide in August, more than 100 fewer than a year earlier, and analysts said its trading is being hurt by weaker sales trends at Nike, one of its most significant brand partners.
JD Sports Fashion PLCThe retailer cut its full-year profit outlook to £700-800 million from a previously guided £750-850 million.
Nike IncAnalysts say JD Sports' trading is being hurt by weaker sales trends at Nike, one of its most significant brand partners.
