JD Sports full-year profit jumps 24% as international expansion pays off

In the 53 weeks to 3 February 2018, pre-tax profit rose to £294.5m from £238.4m the year before, on revenue of £3.2bn, up 33%. Excluding exceptional items, pre-tax profit was up 26% to a record £307.4m and the company lifted its dividend to 1.63p a share from 1.55p.

The group saw like-for-like stores sales growth of 3%, while LFL website sales growth was in excess of 30%.

JD Sports benefited from its international expansion, as it added 56 stores across Europe. Meanwhile, a further nine JD stores opened in the Asia Pacific region, including the first stores in Australia. The group also launched its first store in Korea.

Executive chairman Peter Cowgill said: "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.

"The investments we have made over a number of years in developing our multichannel proposition and driving improved buying, merchandising and retail discipline have ultimately led to the creation of a world class sports fashion business which combines the best of physical and digital retail on an increasingly global scale.

"We are very encouraged by the progress that we are making internationally and we continue to look for further opportunities to bring our dynamic multichannel proposition to new markets around the world with the support of our key brands."

Shore Capital analyst Clive Black said: "JD remains a tightly managed company with good cost and stock control and strong cash generation. The business continues to benefit from the online push and strength of its core proposition together with international expansion. This is a confident management team with strong momentum across the business who are starting to harness the potential international opportunity."

He reiterated his 'buy' rating on the stock.

At 0805 BST, the shares were up 5% to 370.70p.