JD Sports warns of volatile year amid tariff uncertainty

JD Sports has met full-year profit expectations but cautioned that the year ahead will be challenging due to market volatility and tariff uncertainty.

For the 52 weeks to 1 February 2025, the sportswear giant reported a 5.8% organic sales growth, slightly ahead of guidance, with profit before tax and adjusting items falling within the range of £915m to £935m.

Group like-for-like (LFL) sales rose by just 0.3% for the year, but fell 2.5% in the UK. Europe and Asia Pacific delivered strong performances, with Q4 LFLs up 11.4% and 7.5% in North America.

As a result, JD Sports said it expects FY26 pre-tax profit to be in line with current consensus estimates of £920m, although this excludes any impact from proposed changes to tariffs, which the retailer said were still too uncertain to quantify.

Chairman Andrew Higginson warned that if US President Donald Trump’s tariffs remain at their current levels, prices are likely to increase.

Speaking on the Today programme, Higginson commented that it’s “unlikely” shoe production will shift to the US, but noted the outcome “depends on how high the tariffs are and for how long.”

JD Sports, which sources much of its goods from Asia, has been affected by concerns over the impact of U.S. tariffs on imported products, especially those made in countries like China and Vietnam.

Investors have been spooked by the uncertainty, with JD Sports’ stock price slumping nearly 11% since early April as fears over the tariff effects mounted.

JD Sports CEO Régis Schultz said: “We have delivered a solid performance in a challenging market, with organic revenue growth of 5.8% for the year. This reflects the continued strength of our multi-channel consumer proposition and our growing international footprint.

“We remain focused on profitable growth and maintaining trading discipline, despite an environment that remains promotional and unpredictable in key markets.

“As we enter FY26, we do so with momentum in our core regions and a clear plan to unlock further scale and efficiency across the business.”

By segment, the retailer’s core JD fascia recorded FY25 organic revenue growth of 7.1%, with sporting goods and outdoor categories also delivering solid gains.

It said recent acquisitions Hibbett and Courir traded in line with expectations, contributing to the 1,533-store increase over the year and supporting total store count growth to 4,850.s.

Looking ahead, JD Sports said its sales are expected to grow in by around 14% in its current financial year as a result of acquisitions and new space, though like-for-likes are expected to dip below FY25 levels.

The company plans to open around 150 new stores in FY26, alongside 100 conversions or relocations and 50 closures, largely in Eastern Europe.

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