Image source: © 2025 Krish Capital Pty. Ltd.

Highlights

  • JD's Q2 performance showed improved like-for-like sales trends in North America, while Europe and the UK faced tough prior year comparatives linked to Euro 2024.

  • JD announced a new £100 million share buyback programme, following the completion of a similar programme earlier in 2025.

  • The Group expects FY26 profit before tax and adjusting items (PBTAI) to be in line with market expectations, while continuing to monitor potential impacts from US tariffs.

JD Sports Fashion plc (LSE:JD) has published its Q2 trading statement for the financial year 2025/26, outlining performance across key regions, progress on strategic initiatives, and an update on shareholder returns. The Group confirmed expectations to remain in line with current market forecasts for the full year while announcing a further £100 million share buyback programme.

Regional Trading Performance

In North America, which contributed 36% of Q2 sales, the Group reported resilient trading. Performance was led by JD and DTLR fascias, supported by newer footwear launches and apparel sales. Online sales also improved, benefiting from an expanded product range and targeted marketing campaigns. The integration of Finish Line stores into the JD fascia continues, with promotional intensity remaining elevated in the short term.

In Europe (34% of Q2 sales) and the UK (26% of Q2 sales), trading was impacted by comparatives from last year, which had benefited from Euro 2024 and elevated demand for athletic footwear. Apparel sales delivered a more resilient performance, while footwear demand was supported by performance-based and value-oriented lines. The Group maintained pricing discipline in-store and invested selectively in online pricing, which helped to boost online traffic and conversion rates, particularly in Europe.

Strategic Developments

The Group reported progress across strategic initiatives. In North America, Shoe Palace’s Morgan Hill distribution centre went live in May, with JD/Finish Line expected to follow by year-end. This facility will be the first multi-fascia distribution centre in the Group, designed to accelerate replenishment and fulfilment. In Europe, the Heerlen distribution centre in the Netherlands is continuing its ramp-up, with automation due to go live this year for stores and next year for online.

JD also expanded its global footprint, opening flagship JD fascia stores in Manchester (Trafford Centre), Las Vegas, Vancouver, and Melbourne. The Group converted 22 Finish Line stores into JD fascia stores during the first half and achieved a global like-for-like sales movement of –3.0%, with organic growth of +3.7%. Net store additions totalled 42, largely in North America and Europe.

Outlook and Financial Position

JD reiterated its guidance for FY26, expecting PBTAI in line with market forecasts. The Group remains cautious on the consumer environment and footwear product cycle but anticipates that the second half will contribute around 60% of annual PBTAI, consistent with historical seasonality.

In July 2025, JD completed a refinancing of its debt facilities, securing a new 5-year £1 billion multi-bank revolving credit facility and a 3-year USD 700 million term loan. Following strong free cash flow generation, JD will commence a new £100 million share buyback programme after its H1 results announcement on 24 September.