JD Sports Fashion PLC (LON:JD) has announced its Q2 2026/27 TRADING STATEMENT.
Sales performance by region:
| Q2: 13 weeks to 1 August | H1: 26 weeks to 1 August | |||
| Organic(1) | Like-for-like(1) | Organic(1) | Like-for-like(1) | |
| North America* | (4.5)% | (6.8)% | (1.7)% | (4.0)% |
| Europe | (0.4)% | (2.7)% | (0.5)% | (3.3)% |
| UK | (0.2)% | +0.8% | (1.7)% | (1.4)% |
| Asia Pacific | +10.2% | +1.4% | +11.3% | +3.0% |
| Group | (1.3)% | (3.1)% | (0.7)% | (2.8)% |
* North America excluding Finish Line organic sales: Q2: -1.0% and H1: +1.8%. Refer to appendices for sales by segment
Headlines:
· Q2 sales: Group Q2 organic sales -1.3% (Q1: -0.1%). Q2 LFL sales of -3.1% (Q1: -2.5%)
· By category: Footwear remained soft given consumer pressures and ongoing product cycle evolution across key brand partners, amidst a promotional market; good performance in apparel and accessories in all regions
· By channel: Store footfall generally lower YoY outside of key events, with improved conversion; good online sales growth (Q2: +2.6%), supported by strength of apparel proposition and growth in store-based fulfilment
· North America: Sales performance reflects weaker core consumer sentiment, a slower quarter for high-heat footwear product, and deferred ‘back-to-school’ demand from July into the first half of August
· UK and Europe: Improved UK sales performance in Q2, driven by apparel and accessories (including strong football replica kit sales) and improved Outdoor business performance; improved sales trend in Europe against a more subdued consumer backdrop, supported by resilient trading in our Sporting Goods businesses
· Gross margin: Group gross margin % for H1 in line with our expectations. As guided, controlled price investments were made in H1 to stay competitive amidst a promotional market, partially offset by higher marketing contributions
· Costs and inventory: Actively managing costs, with tight control over discretionary spend and store operating costs. Inventory remains well controlled
· FY27 guidance: Noting our underlying H1 sales trends and the promotional market backdrop, which may persist into H2, we now anticipate FY27 profit before tax and adjusting items(2) of £700m to £800m (previously £750m to £850m). We remain on track to deliver FY27 free cash flow of £460m to £520m
· Cash and returns to shareholders: Group in a net cash position as of 1 August 2026 before lease liabilities (vs net debt in the prior year). Commenced the second £100m tranche of the £200m annual share buyback programme on 3 August, reflecting confidence in our medium-term growth and cash generation
Régis Schultz, CEO of JD Sports Fashion plc:
“Trading in the second quarter remained tough. The market stayed highly promotional, reflecting the consumer and footwear product cycle headwinds our industry has faced in recent quarters, whilst our core consumer was impacted by incremental cost-of-living pressures. North America saw the most acute impact, also reflecting a slower quarter for high-heat footwear product and the timing of ‘back-to-school’ demand. The UK delivered a good quarter, with strong football replica kit sales and an improved performance in our Outdoor business. Europe’s trend improved slightly versus Q1 against a still-subdued backdrop, supported by resilient Sporting Goods trading.
“Our focus remains on executing against our strategy, and growing our resilience through our increasingly diverse product and omni-channel offer – with growth in apparel and accessories sales, encouraging momentum in performance-based running and newer footwear styles, and online sales up 2.6%. Our store estate is also becoming more productive, with Group space growth contributing +2.1% to sales in H1 despite a lower store count.
“We continue to exercise strong cost and capital discipline across discretionary spend, store operating costs, inventory and capex, while also driving further supply chain efficiencies, including automation at our distribution centre in Europe.
“Our guidance reflects a pragmatic view of external market conditions, whilst our cost and capital discipline, coupled with the highly cash-generative nature of our model, keep us on track to deliver unchanged free cash flow of £460m to £520m. We remain confident in our long-term strategy and my thanks go to our colleagues worldwide for their continued hard work and focus.”
Q2 Performance highlights:
North America (35% of Q2 sales): organic sales growth -4.5% and LFL -6.8%
· Excluding standalone Finish Line stores, North America organic sales -1.0%, reflecting weaker core consumer sentiment amidst the broader cost-of-living backdrop, and deferred July ‘back-to-school’ demand into the first half of August. Within this, the JD fascia delivered a resilient performance, with softer trends across our other regional fascias
· Footwear performance reflected a slower quarter for high-heat product, alongside tougher comparatives (due to the shift in the product launch schedule from Q1 into Q2 in the prior year) and ongoing softness in end-of-cycle footwear product lines. This was partially offset by continued momentum in the performance-based running category and newer footwear styles
· Good performance in apparel and accessories, particularly in women’s ranges, and across our own brands (albeit apparel is a smaller proportion of our category mix in North America relative to other regions)
· Resilient online performance supported by better online ranges, focused marketing and controlled price investments
· Conversion to JD of the Finish Line fascia (145 standalone stores remaining) is on track, where market-driven promotional intensity remains higher than normal in the short term
Europe (34% of Q2 sales): organic sales growth -0.4% and LFL -2.7%
· Sales trends continued to be impacted by a subdued consumer environment, amidst a promotional market. Continued resilient trading in our Sporting Goods businesses (in Iberia, Greece and Cyprus) provided support to the regional trend
· Footwear performance reflected ongoing softness in end-of-cycle product lines, partially offset by event-driven demand, and sales of performance-based running and seasonal fashion lines
· Good performance in apparel and accessories, supported by a strong product offer and growth in own brands
· Resilient online performance supported by ongoing momentum in ‘ship-from-store’ sales
United Kingdom (26% of Q2 sales): organic sales growth -0.2% and LFL +0.8%
· Improved sales trend driven by apparel and accessories. Underlying performance remained challenged, particularly in footwear, amidst a promotional market. Our Outdoor business also delivered an improved performance, contributing to the positive UK trend
· Softness in footwear driven by end-of-cycle footwear product lines, partially offset by sales of performance-based running and seasonal fashion lines
· Apparel sales supported by strong sales of football replica kit, with continued momentum in own brands and women’s product ranges
· Online business (higher proportion of sales mix versus other regions) remained impacted by market-driven promotions due to short-term footwear cycle dynamics; positive store LFL supported by good conversion despite lower footfall
Asia Pacific (5% of Q2 sales): organic sales growth +10.2% and LFL +1.4%
· Continued LFL growth despite tougher prior year comparatives, driven by a good performance across footwear and apparel, and strong online sales growth
OUTLOOK AND FY27 GUIDANCE:
At our FY26 results in May, we set out our expectation for a period of muted market growth in FY27, shaped by a weaker spending outlook for our core customer demographic and ongoing product cycle evolution at some of our major brand partners, particularly in footwear.
Against this backdrop, H1 trading also reflected incremental cost-of-living pressures on our core consumer from continued inflation (including higher fuel prices), as well as ongoing product cycle evolution in footwear at some of our major brand partners – including a slower cycle for high-heat product in the second quarter – both of which proved more acute than expected in North America.
Noting our underlying H1 sales trends and the promotional market backdrop, which may persist into H2, we now anticipate profit before tax and adjusting items(2) of £700m to £800m in FY27 (previously £750m to £850m). Free cash flow guidance is unchanged; we continue to expect free cash flow of £460m to £520m, reflecting our ongoing cost and capital discipline.
Consistent with the approach outlined in our FY27 framework, we remain focused on ‘controlling the controllables’ and advancing our key strategic priorities at pace. This includes our accelerated initiatives around ranging, store footprint optimisation, digital, AI, data and loyalty to strengthen our customer proposition, alongside sustained cost, capital and working capital discipline – underpinning the strength of our free cash flow and our commitment of cash returns to shareholders. Further details will be provided at our H127 results on 23 September 2026.
APPENDIX 1: H127 SALES BY SEGMENT AND BY REGION
| H1: 26 weeks to 1 August | |||
| Total sales (£m) | Organic(1) | Like-for-like(1) | |
| JD* | 3,688 | (0.1)% | (3.2)% |
| Complementary Athleisure | 1,468 | (5.2)% | (5.2)% |
| Sporting Goods & Outdoor | 744 | +5.5% | +4.2% |
| Group | 5,899 | (0.7)% | (2.8)% |
* JD excluding Finish Line organic sales: H1: +2.1%
| H1: 26 weeks to 1 August | |||
| Total sales (£m) | Organic(1) | Like-for-like(1) | |
| North America* | 2,233 | (1.7)% | (4.0)% |
| Europe | 1,951 | (0.5)% | (3.3)% |
| UK | 1,435 | (1.7)% | (1.4)% |
| Asia Pacific | 280 | +11.3% | +3.0% |
| Group | 5,899 | (0.7)% | (2.8)% |
* North America excluding Finish Line organic sales: H1: +1.8%
APPENDIX 2: Q227 SALES BY SEGMENT AND BY REGION
| Q2: 13 weeks to 1 August | |||
| Total sales (£m) | Organic(1) | Like-for-like(1) | |
| JD* | 1,980 | (0.3)% | (2.8)% |
| Complementary Athleisure | 699 | (8.0)% | (7.9)% |
| Sporting Goods & Outdoor | 409 | +6.4% | +5.0% |
| Group | 3,088 | (1.3)% | (3.1)% |
* JD excluding Finish Line organic sales: Q2: +1.9%
| Q2: 13 weeks to 1 August | |||
| Total sales (£m) | Organic(1) | Like-for-like(1) | |
| North America* | 1,070 | (4.5)% | (6.8)% |
| Europe | 1,062 | (0.4)% | (2.7)% |
| UK | 804 | (0.2)% | +0.8% |
| Asia Pacific | 152 | +10.2% | +1.4% |
| Group | 3,088 | (1.3)% | (3.1)% |
* North America excluding Finish Line organic sales: Q2: -1.0%
APPENDIX 3: Q127 SALES BY SEGMENT AND BY REGION
| Q1: 13 weeks to 2 May | |||
| Total sales (£m) | Organic(1) | Like-for-like(1) | |
| JD* | 1,707 | +0.2% | (3.5)% |
| Complementary Athleisure | 769 | (2.6)% | (2.7)% |
| Sporting Goods & Outdoor | 335 | +4.5% | +3.2% |
| Group | 2,811 | (0.1)% | (2.5)% |
* JD excluding Finish Line organic sales: Q1: +2.3%
| Q1: 13 weeks to 2 May | |||
| Total sales (£m) | Organic(1) | Like-for-like(1) | |
| North America* | 1,163 | +1.1% | (1.2)% |
| Europe | 888 | (0.6)% | (4.0)% |
| UK | 631 | (3.6)% | (4.1)% |
| Asia Pacific | 129 | +12.7% | +5.0% |
| Group | 2,811 | (0.1)% | (2.5)% |
* North America excluding Finish Line organic sales: Q1: +4.5%
Footnotes
(1) Like-for-like (LFL) and organic sales growth numbers stated at constant FX rates. Please refer to page 228 (within ‘Alternative Performance Measures’) of JD’s Annual Report & Accounts 2026 for the full definitions of LFL and organic sales growth
(2) Assuming exchange rates of GBP-USD of 1.34 and GBP-EUR of 1.15. Average exchange rates in H127 were GBP-USD of 1.34 and GBP-EUR of 1.16 (H126: GBP-USD of 1.31 and GBP-EUR of 1.16)
