JD Sports share price soars with retailer predicting big profits

 
Joe Hall
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JD Sports' share price is soaring. (Source: Getty)
The Christmas season may already feel like a distant memory for most, but at JD Sports the festivities are still in full swing.
The UK sports retailer’s share price soared seven per cent in early morning trading after the company increased its profit guidance for the year.
JD Sports told investors to expect profit before tax for the current financial year to exceed market expectations, which currently ranges up to £90m.
The company is celebrating a strong Christmas period in which it recorded like-for-like store sales growth of 12 per cent in the five week period to 3 January 2015.
Executive chairman Peter Cowgill commented:
I am delighted to be able to report that the great momentum I reported in the Sports Fascias all our territories earlier in the financial year has been maintained during the key Christmas period, particularly when measured against strong comparatives in prior years.
This result is testimony to the strength of the JD brand and its commitment to providing its customers with unrivalled choice, quality and excitement as the leading retailer of Sports Fashion.
JD Sports, which has around 800 stores nationwide, offloaded the loss-making Bank Fashion in November.
However, the chain fell into administration at the beginning of this month, despite being offloaded to turnaround specialists Hilco Capital.
The company reported impressive half-year results with pre-tax profits up 170 per cent to £16.4m. The 2014 World Cup helped deliver a financial boost to the retailer, with replica kits flying off the shelves.

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