JD Sports said it now expects full-year profits to be at the lower end of its guidance range after “volatile” trading in October.
In a trading update for the 13 weeks to 2 November 2024, JD Sports posted an organic sales growth of 5.4%, while like-for-like sales fell by 0.3%, reflecting a “more volatile environment” as sales remained soft in October.
Year-to-date organic sales grew by 6.1% while year-to-date like-for-like sales were up by 0.5%.
The sports and fashion giant said it had a “strong back-to-school period but we saw much softer consumer demand and trading towards the end of the period, reflecting elevated promotional activity, unseasonable weather and a cautious consumer, with evidence supporting suppressed demand in the US ahead of the election.”
It added that given the volatile trading environment, and following October trading, it now expects profit before tax and adjusting items to be at the lower end of its original guidance range of £955m to 1035m.
Régis Schultz, chief executive at JD Sports 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% while still delivering 5.4% in organic sales growth. In addition, we made further, strong progress on our long-term growth strategy including opening 79 new JD stores across the world.
“We have performed well in the key trading events this year and we are well-positioned for the upcoming peak season. The trading environment remains volatile though and, following October trading, we now anticipate full-year profit to be at the lower end of our guidance range.”
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