REG - JD Sports Fashion - Q3 2025/26 TRADING STATEMENT

JD Sports FashionAnnouncement

Today 07:00

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RNS Number : 2610I  JD Sports Fashion PLC  20 November 2025

 

Q3 2025/26 TRADING STATEMENT

Solid Q3 with continued focus on operating & financial discipline;

mindful of weaker near-term consumer indicators

 

Sales performance by region:

 

                 Q3: 13 weeks to 1 November          9M YTD: 39 weeks to 1 November
                 Like-for-like((1))  Organic((1))    Like-for-like((1))  Organic((1))
 North America*  (1.7)%              +3.0%           (2.9)%              +3.0%
 Europe          (1.1)%              +4.0%           (0.6)%              +5.2%
 UK              (3.3)%              (2.0)%          (3.3)%              (1.8)%
 Asia Pacific    +3.9%               +13.3%          (0.3)%              +8.4%
 Group           (1.7)%              +2.4%           (2.2)%              +2.5%

* North America excluding Finish Line like-for-like sales: Q3: (0.2)% and 9M
YTD: +0.3%. Refer to appendix 1 for sales by segment

Headlines:

·      Total Q3 sales including acquisitions +8.1% at constant FX rates
(9M YTD: +15.7%)

·      Improved LFL sales trend for Q3 in North America (vs Q2: -2.1%);
resilient LFL sales in Europe (vs Q2: -1.1%), and improved UK organic sales(2)
trend (vs Q2: -4.5%)

·      Solid performance in apparel reflecting strength of the product
range; continued softness in footwear with positive momentum within 'running'
offset by end-of-cycle for key product lines

·      Maintaining trading disciplines with controlled price
investments, particularly in online. Q3 gross margin 30bps lower YoY excluding
acquisitions (40bps lower YoY overall)

·      Continuing to deliver against strategic objectives; successfully
launched automation at Heerlen distribution centre for JD Europe store
replenishment, and initiated roll-out of new e-commerce platform in Europe
(now live in Italy) following successful roll-outs in North America and APAC
earlier this year

·      Costs and cash being well controlled, with US integration
synergies starting to flow through as guided

·      Mindful of incrementally weaker macro and consumer indicators in
recent weeks, we are taking a pragmatic approach to the FY26 outlook ahead of
our peak trading period in Q4. Anticipate FY26 profit before tax and adjusting
items (PBTAI) to be within the lower end of current market expectations(3,4)

·      On track to generate strong free cash flow and complete £200m of
share buybacks in FY26

 

Régis Schultz, CEO of JD Sports Fashion plc:

"We continued to make good progress with our strategic objectives in the
quarter, against what remains a tough market backdrop. Our multi-brand and
cross-category approach, and agility in responding to changing customer
trends, are helping us to offset known consumer and industry headwinds. We are
also controlling our costs and cash well through our focus on operating and
financial discipline.

"North America delivered an improved like-for-like sales trend in Q3,
alongside resilient trends in Europe. The UK had a better organic sales
performance, supported by the continued success of our new flagship store at
the Trafford Centre in Manchester. By category, our apparel range is
resonating well with customers, providing us with opportunity for growth in
underserved key markets. In footwear, notwithstanding known end-of-cycle
product headwinds, 'running' remains a key trend for our customers and we have
a strong product line-up in this area going into our busiest trading period.

"We are leveraging the significant investments we've made in technology to
upgrade our e-commerce platforms across the Group, which are starting to
deliver measurable benefits and will serve as a key foundation for the next
phase of our digital and omnichannel growth. We also continue to make strides
in optimising the Group's global supply chain. Leveraging state-of-the-art
technologies, during the period we launched automation at our distribution
centre in Heerlen, the Netherlands - a key milestone in our growth and
profitability plans for Europe.

"We are navigating a year of volatility in external factors with disciplined
execution, reflected in a solid Q3. In the near term, as we enter an important
trading period, we are mindful of recent weak macro and consumer indicators in
our key markets. These lead us to take a pragmatic approach for our FY26
profit outturn. We remain confident in the overall positive trajectory for our
industry and JD Group over the medium term, and this is well reflected in our
commitment to enhanced shareholder returns."

Q3 Performance highlights:

North America (37% of Q3 sales): LFL -1.7% and organic sales growth +3.0%

·      Excluding Finish Line, North America LFL -0.2%; back-to-school
trading in line with our expectations

·      Continued softness in footwear, driven by key product lines being
at the end-of-cycle. 'Running' category seeing good momentum. Solid
performance in apparel, albeit a smaller proportion of our category mix in
North America

·      Strong online performance, supported by new e-commerce platforms,
better online ranges, focused marketing, and controlled price investments
particularly on finishline.com

·      Continuing to manage the conversion to JD of the Finish Line
fascia, where market-driven promotional intensity remains higher than normal
in the short term

Europe (35% of Q3 sales): LFL -1.1% and organic sales growth +4.0%

·      Continued good performance in our sporting goods businesses, with
resilient performance in JD

·      Good performance in apparel, supported by stronger product offer.
Softer footwear performance against tough comparatives, especially in
end-of-cycle product lines and athletic footwear for women and juniors.
Resilient customer demand in the 'running' category

·      Strong online performance, supported by ongoing momentum in
'ship-from-store' sales and the controlled price investments made in the
online offer earlier this year. Promising early results from JD Italy's new
e-commerce platform

United Kingdom((2)) (24% of Q3 sales): LFL -3.3% and organic sales growth
-2.0%

·      Improved sales trends vs Q2, against a tough consumer backdrop
and unseasonably warmer weather in September (impacting apparel sales in the
month and our Outdoors businesses)

·      Continued softness in footwear, driven by end-of-cycle product
lines and tough comparatives in athletic footwear for women. Despite the
weather impact, solid performance in apparel, especially for women

·      Online business (higher proportion of sales mix versus other
regions) impacted by market-driven promotions due to short-term footwear cycle
dynamics; resilient store LFL supported by good conversion despite lower
footfall

Group gross margin % MOVEMENT:

·      Excluding acquisitions (Courir, acquired on 27 November 2024),
gross margin % for the Group in Q3 was 30bps lower YoY (9M YTD: 40bps lower).
As with the first half of the year, this was largely driven by controlled
price investments in the online offer

·      For the overall Group, gross margin % in Q3 was 40bps lower YoY
(9M YTD: 60bps lower)

·      Inventory levels continue to be managed effectively, and we are
well set up for our peak trading period

 

OUTLOOK AND GUIDANCE:

Throughout this year, we have operated in our global markets amid
macroeconomic volatility, strained consumer finances, and evolving brand
product cycles. Against this backdrop, we have maintained our focus on
delivering against our medium-term strategic priorities (as set out in our
Strategy Update on 9 April 2025) and maintaining strict operating and
financial disciplines to optimise our profit and cash. We believe we are
controlling what we can well, as evidenced in our Q3 headlines today.

Turning to the near-term outlook, recent indicators have shown incrementally
weaker macroeconomic and consumer external data points in our key markets. We
are particularly mindful of the pressures on our core customer demographic,
including rising unemployment levels, as well as near-term volatility around
consumer sentiment. Accordingly, and noting the importance of our peak trading
period in Q4, we anticipate FY26 profit before tax and adjusting items (PBTAI)
to be within the lower end of current market expectations((3,4)).

APPENDIX 1: SALES BY REGION AND SEGMENT

Total sales below (in £m) include the results of Hibbett and Courier. JD
Group completed the acquisition of Hibbett on 25 July 2024, and Courir on 27
November 2024. Organic sales growth excludes acquisitions and disposals, and
is calculated at constant FX rates.

 

Sales by region

                Q3: 13 weeks to 1 November
                Total sales (£m)   Like-for-like  Organic
 North America  1,079              (1.7)%         +3.0%
 Europe         1,032              (1.1)%         +4.0%
 UK             718                (3.3)%         (2.0)%
 Asia Pacific   124                +3.9%          +13.3%
 Group          2,953              (1.7)%         +2.4%

Memorandum: North America Q3 like-for-like excluding Finish Line: (0.2)%

 

                9M YTD: 39 weeks to 1 November
                Total sales (£m)   Like-for-like  Organic
 North America  3,397              (2.9)%         +3.0%
 Europe         2,954              (0.6)%         +5.2%
 UK             2,181              (3.3)%         (1.8)%
 Asia Pacific   361                (0.3)%         +8.4%
 Group          8,893              (2.2)%         +2.5%

Memorandum: North America 9M YTD like-for-like excluding Finish Line: +0.3%

 

Sales by segment

                               Q3: 13 weeks to 1 November
                               Total sales (£m)   Like-for-like  Organic
 JD                            1,838              (2.0)%         +3.6%
 Complementary Concepts        742                (1.9)%         (0.4)%
 Sporting Goods & Outdoor      373                (0.3)%         +0.5%
 Group                         2,953              (1.7)%         +2.4%

Memorandum: JD Q3 like-for-like excluding Finish Line: (1.2)%

 

                               9M YTD: 39 weeks to 1 November
                               Total sales (£m)   Like-for-like  Organic
 JD                            5,511              (2.7)%         +3.6%
 Complementary Concepts        2,310              (2.0)%         +0.1%
 Sporting Goods & Outdoor      1,072              (0.1)%         (0.4)%
 Group                         8,893              (2.2)%         +2.5%

Memorandum: JD 9M YTD like-for-like excluding Finish Line: (1.2)%

Footnotes

((1)) Like-for-like (LFL) and organic sales growth numbers stated at constant
FX rates. Please refer to page 252 (within 'Alternative Performance Measures')
of JD's Annual Report & Accounts 2025 for the full definitions of LFL and
organic sales growth

((2)) We see organic sales growth as a better sales KPI than like-for-like in
the UK. JD's store strategy in the UK is to optimise its footprint and sales
densities, the benefit of which is not yet captured in like-for-like. For
example, our new flagship store at the Trafford Centre in Manchester is
performing strongly, but is resulting in - as planned for and as per our
experience - an impact on other JD stores in the vicinity

((3)) Assuming FX rates of GBP-USD of 1.32 and GBP-EUR of 1.16. Average
exchange rates for the 9M YTD26 were GBP-USD of 1.31 and GBP-EUR of 1.16

((4)) According to Company-compiled data as of 14 November 2025, the current
consensus of 16 sell-side analyst expectations for FY26 PBTAI is £871m, with
a range of £853m to £888m

 

Embargoed until 7am GMT, 20 November 2025

 

 JD Sports Fashion plc                      Tel: 0161 767 1000
 Régis Schultz, Chief Executive Officer
 Dominic Platt, Chief Financial Officer
 Maj Nazir, Director of Investor Relations

 Advisors
 Bank of America - Antonia Rowan            Tel: 0207 628 1000
 Peel Hunt LLP - Dan Webster                Tel: 0207 418 8869
 FGS Global - Rollo Head, James Thompson    Tel: 0207 251 3801

 

Forward-looking statements

This announcement contains certain forward-looking statements relating to
expected or anticipated results, performance or events. Such statements are
subject to normal risks associated with the uncertainties in our business,
supply chain and consumer demand along with risks associated with
macro-economic, political and social factors in the markets in which we
operate. Whilst we believe that the expectations reflected herein are
reasonable based on the information we have as at the date of this
announcement, actual outcomes may vary significantly owing to factors outside
the control of the Group, such as cost of materials or demand for our
products, or within our control such as our investment decisions, allocation
of resources or changes to our plans or strategy. Except as required by
applicable law or regulation, the Group disclaims any obligation or
undertaking to revise forward-looking statements made in this or other
announcements to reflect changes in our expectations or circumstances. As
such, undue reliance should not be placed on the forward-looking statements
contained within this announcement.

 

Financial calendar

There is no management call today. Provisionally, the next scheduled events
are:

 

21 January 2026: Q4 2025/26 trading update (stub period)

7 May 2026: FY 2025/26 results (including a Q1 2026/27 trading update for a
stub period)

21 July 2026: Annual General Meeting 2026

20 August 2026: Q2 2026/27 trading statement

23 September 2026: H1 2026/27 results

19 November 2026: Q3 2026/27 trading statement

 

About JD Sports Fashion plc

Founded in 1981, the JD Group ('JD') is a leading global omnichannel retailer
of Sports Fashion brands. JD provides customers with the latest sports fashion
through working with established and new brands to deliver products that our
customers most want, across both footwear and apparel. The vision of JD is to
inspire the emerging generation of consumers through a connection to the
universal culture of sport, music and fashion. JD focuses on four strategic
pillars: JD Brand First, first priority, first in the world; leveraging
Complementary Concepts to support JD Group global expansion; moving Beyond
Physical Retail by building the right infrastructure and creating a lifestyle
ecosystem of relevant products and services; and doing the best for its
People, Partners and Communities. JD is a constituent of the FTSE 100 index,
with 4,851 stores across 36 countries as of 1 November 2025.

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