The British retail group JD Sports Fashion Plc closed the first half of the 2022/23 financial year with a significant increase in sales. Earnings fell short of the corresponding prior-year level, but were in line with expectations. This is the result of preliminary figures that the company published in an interim report on Thursday.
In the 26 weeks ended July 30, group sales amounted to 4.42 billion British pounds (5.06 billion euros), an increase of 13.7 percent compared to the same period last year. On an organic basis, i.e. based on all businesses consolidated as of January 30, 2021, retail sales increased by five percent.
Earnings fell as expected. The company justified this primarily with the discontinuation of the aid program in the USA, which was launched last year to stimulate domestic consumption during the Covid 19 pandemic. At 383.5 million pounds sterling, profit before tax adjusted for special effects was 12.7 percent below the corresponding level of the previous year, but according to the company it reached the “upper edge” of the forecast range. Net profit attributable to shareholders shrank by 19.3 percent to 184.5 million pounds sterling (211.3 million euros).
In the first weeks of the second half of the year, the group achieved organic sales growth of eight percent in retail. In view of this, management confirmed its profit forecast for the full year: It thus continues to expect pre-tax earnings adjusted for special effects in the range of last year’s record level of 947.2 million British pounds.