JD Sports knocks out another record first half

Sports, fashion and outdoor brand retailer JD Sports Fashion posted its interim results for the 26 weeks to 30 July on Tuesday, with revenue up 20% to £970.57m compared to the first half of last year.

The FTSE 250 firm reported a gross profit margin of 48.1%, ahead of the 47.4% margin last year, with operating profit before exceptional items improving 63% to £77.65m.

Profit before tax rose 73% to £77.41m, with basic earnings per ordinary share 69% higher than a year ago at 29.83p.

JD’s board declared an interim dividend of 1.25p per share, just ahead of the 1.2p payout announced at the 2015 interim results.

During the period, the firm continued its international expansion with vigour, reporting a net increase of 20 stores in existing fascias across Europe after complementary acquisitions in the Netherlands and Portugal.

“I am delighted to report that this has been another period of excellent progress for the group with a record profit before tax and exceptional items of £77.4m,” said executive chairman Peter Cowgill.

“Given that last year's result was in itself a record for our group then to increase this by a further 66% has exceeded reasonable expectations.”

Cowgill said the favourable trends for athletic-inspired footwear and apparel in Europe have continued into this year.

“We are very much at the centre of this market with our success being a positive consequence of the investments we have made over a number of years to develop the JD retail concept.

“Notwithstanding the demanding comparatives going forward following the strong revenue growth in the previous three years, the positive nature of trading in the second half to date is encouraging,” he added.