JD Sports “Encouraged” By U.S. Progress

JD Sports “Encouraged” By U.S. Progress

JD Sports, in an update on first-half results, said it opened it sixth JD Sports store in the U.S. with the conversion of the former Finish Line location at the Mall of America and also launched e-commerce in the region. Overall on the U.S., JD Sports said, “We remain encouraged by the developments in this market to date.”

Companywide, the company said it was seeing “encouraging” same-store sales in its core sports fashion business, both in the U.K. and other global markets, in the first half and predicted it would meet full-year profit expectations.

In June 2018, JD Sports, based in the U.K., acquired The Finish Line for $558 million to mark its entry into the U.S. At the close of its year ended February 2, the U.S. business included 556 Finish Line doors, 375 Finish Line shops inside Macy’s and five JD stores. The six JD Sports locations are located in Schaumburg, IL;  Houston, TX; Greenwood, IN; Arlington, VA; Columbus, OH; and Bloomington, MN.

In the update, Peter Cowgill, the executive chairman of JD Sports Fashion Plc, said, “On 16 April 2019, the Group announced results for the year ended 2 February 2019 which represented a further record performance for the Group. We are now pleased to report that in the year to date we have continued to achieve encouraging like for like sales growth in our core Sports Fashion fascias both in the UK and internationally.

“There has been further expansion in the global JD store estate with a net increase of 29 new stores (109,000 sqft) in the period to 29 June 2019. As expected, the emphasis has been on international development with a net 18 new stores to date across Europe (including the conversion of six former Chausport stores in France) and a net five new stores in the Asia Pacific region with additional stores in both Malaysia and Australia.

“We have now opened our sixth JD store in the United States after the conversion of the former Finish Line store at the Mall of America in Bloomington, Minnesota. These JD stores are also now complemented by a trading website which was launched in May. We remain encouraged by the developments in this market to date.

“The Board remains confident that the Group continues to be on track to deliver headline profit before tax for the full year at least equal to current consensus market expectations.”

The Group will announce Interim Results for the period to 3 August 2019 on 10 September 2019.