JD Sports Fashion reported a sharper decline in second-quarter sales, pressured by weakness in the UK, though its U.S. operations showed signs of stabilization after a difficult start to the year.
The retailer, which generates nearly 40% of its revenue in the United States through its JD Sports, Hibbett, DTLR, and Shoe Palace chains, said like-for-like sales for the quarter ending August 2 dropped 3.0%, compared with a 2.0% decline in the first quarter.
Shares of FTSE 100-listed JD Sports have lost about one-third of their value over the past 12 months, hurt by heavy discounting, weaker demand for Nike products — which account for around 45% of sales — and uncertainty over the impact of President Donald Trump’s tariffs. However, the stock rose 4% in early trading on Wednesday.
Sales in the UK fell 6.1% year-on-year, reflecting tough comparisons against last summer when demand was boosted by the men’s Euro 2024 football tournament. In contrast, North America saw an improved trend with like-for-like sales down 2.3%, compared with a 5.5% drop in the previous quarter, helped by deferred product launches, stronger apparel demand, and better online performance.
Analysts at Peel Hunt described the outcome as stronger than market expectations and supportive of JD’s ongoing strategy.
The company forecast full-year 2025/26 profit before tax and adjusted items at £852 million to £915 million ($1.15–$1.24 billion), compared with £923 million last year. The projection excludes potential indirect impacts from U.S. tariffs.
CEO Regis Schultz said consumer demand remains resilient but selective, and he remains cautious on the trading environment heading into the second half. The company also announced a £100 million share buyback programme, citing confidence in long-term growth and market share gains.
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