JD Sports Annual Earnings Rises On Double-Digit Store Sales Growth

LONDON (Alliance News) - JD Sports Fashion PLC on Tuesday reported higher profit in 2018 ...

Alliance News 17 April, 2018 | 9:41AM
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LONDON (Alliance News) - JD Sports Fashion PLC on Tuesday reported higher profit in 2018 financial year as a result of good growth in Sports Fashion and Go Outdoors's first ever annual contribution.

The sports clothing retailer said pretax profit in the year ended February 3 grew 26% to GBP307.4 million from GBP244.8 million the prior year, as revenue rose 33% to GBP3.2 billion from GBP2.4 billion.

JD Sports said it achieved a record result in the year, boosted by its third consecutive year of double-digit store like-for-like growth across all group divisions. The overall like-for-like growth including online was 7.0%, the company said.

The Sports Fashion segment demonstrated "very strong" performance as operating profit before exceptional items increased 22% to GBP300.0 million from GBP245.0 million the year earlier.

The company also saw an "encouraging" growth in its Outdoor segment, driven by a first full-year contribution from Go Outdoors Topco Ltd, acquired in November 2016 for GBP112.3 million.

In the overall Outdoor segment, which comprises outdoor clothing and equipment retailers Blacks and Millets, as well as Go Outdoors, operating profit before exceptional items was GBP8.8 million, up from GBP1.2 million the prior year.

Selling and distribution expenses rose year-on-year to GBP1.1 billion from GBP813.0 million, while administrative costs grew to GBP114.7 million from GBP106.2 million.

JD Sports declared a final dividend of 1.37 pence per share, up from 1.30p a year before. That brought the total annual dividend to 1.63p, up 5.2% from 1.53p the year before.

"This is an excellent result demonstrating our capacity for continuing growth in both existing and new markets, and the strength of our offer in store and online," said Executive Chairman Peter Cowgill. "The board remains confident in the robustness and international potential of the JD proposition and is excited by the major developments ahead."

Shares in JD Sports were trading 4.3% higher at 368.20p per share early on Tuesday.

By Evelina Grecenko; evelinagrecenko@alliancenews.com

Copyright 2018 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar
JD Sports Fashion PLC 483.80 GBX 0.39 -
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