JD Sports saw sales drop in its third quarter results, as the brand faced “increased trading volatility” in October as it said full-year profit will now come in at the lower end of its £955m to £1.035bn guidance.
Group revenues dipped 0.3% for the 13 weeks to 2 November, while UK sales were down 2.4%.
JD said while it experienced a “strong back-to-school period,” it saw softer consumer demand and trading toward the end of the period, reflecting “elevated promotional activity, unseasonable weather and a cautious consumer”.
The sportswear giant opened 79 new stores across the world over the period, taking the number of new stores launched this financial year to more than 180.
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JD Sports Fashion Plc CEO Régis Schultz said: “After a good start to the period, helped by strong back-to-school sales, we saw increased trading volatility in October, particularly in North America and the UK, reflecting elevated promotional activity and mild weather.
“Against this backdrop, we maintained our commercial discipline, improving gross margin by 0.3%pts while still delivering 5.4% organic sales growth.
He added: “In addition, we made further, strong progress on our long-term growth strategy including opening 79 new JD stores across the world.”
The results come after JD Sports saw record sales and profit growth in its first half, as it outperformed a “challenging and volatile market”.
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