JD Sports 18 weeks sales up 7 percent

REPORT_ JD Sports Fashion, the leading retailer and distributor of

branded sportswear, fashionwear and outdoor clothing and equipment has released the following Interim Management Statement for the 18 weeks to 8 June 2013 stating its overall group performance is in line with market expectations at this stage of the year. Trading in its main business, the core UK and Ireland Sports Fascias, has remained robust, with like for like sales for the 18 weeks ended 8 June 2013 being over 7 percent.

The UK and Ireland figures include Champion which is now largely serviced from the UK. The main Fashion Fascias (Bank and Scotts) have seen like for like sales decline by 5 percent in the same period. This fall is concentrated in Bank where the benefit of the new Head of ladies wear is not expected to be seen until later in the year. Accordingly, the performance recorded in the year to date will lead to an increased loss being reported for these Fascias in the first half.

Whilst the outdoor fascias have recorded positive like for like sales, this has been achieved at a significant margin sacrifice. The development of profitability in these fascias remains a work in progress. Company expects them to benefit from the imminent final rationalization and relocation of their head office functions at Bury and the increasing influence of new management on the propositions. Lee Bagnall has commenced work this month as Managing Director of Millets. Company expects the outdoor fascias to make a substantial but significantly reduced loss in the current year with the biggest improvement coming in the second half.

The results for the distribution division in the first half will be impacted by the disposal of Canterbury and the knock on impacts of JJB’s disappearance from the market.