JD Sports Faces Profit Hurdles Amid Market Challenges

British sportswear retailer JD Sports Fashion downgraded its profit forecast due to weaker trading in Britain and the U.S., alongside increased promotional activities affecting sales. The group reported a 1.5% fall in underlying revenue during November and December, leading to a cautious outlook for the coming year.

British sportswear retailer JD Sports Fashion has revised its profit outlook downward following a challenging trading period in both the UK and US markets. Increased promotional activities further impacted sales, prompting the company to adopt a cautious stance regarding future financial performance.

The company reported a 1.5% decline in group underlying revenue for November and December, attributing the drop to a "challenging and volatile market." This downturn affected JD Sports' profit forecasts, with the UK market particularly hard hit, according to British Retail Consortium data.

Despite improved trading conditions in December, November's performance weighed heavily on the company's financial results. For the 12 months leading up to early February, JD Sports anticipates a pretax profit before adjustments of between 915 million and 935 million pounds, falling short of its previous lower-end guidance of 955 million pounds.

(With inputs from agencies.)