Shares of JD Sports Fashion (LON: JD.) opened 9% higher this morning before paring back around half of these gains on a better-than-expected set of financial results.
The sportswear retailer posted revenue of £2.5 billion for the six months ending 1 August. This is 6.5% lower compared to the last year. The lower revenue led to pre-tax profit plunging by £96.7 million to £61.9 million during the same period.
As a result, JD Sports said today it won’t pay a dividend after a big tumble in profit. The retailer joined other major companies in issuing a warning about the uncertainty and low visibility.
Ready to put what you’ve learned into practice?
Try IG’s platform with £10,000 in virtual funds and practise trading
without putting your own money at risk.
Try IG with a demo account →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Learn the markets with IG Academy
Build your knowledge with IG Academy educational content, then use a
demo account to practise what you’ve learned on the IG platform.
Explore IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
See how trading works before risking real money
IG’s demo gives you access to thousands of markets and £10,000 in
virtual funds, so you can explore the platform and test your ideas first.
Open an IG demo →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Turn trading theory into practical experience
Learn with IG Academy, explore charts and market tools, and practise
strategies in a simulated trading environment before going live.
Start practising with IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Ready to take your learning further?
IG combines market education, analysis and an established trading platform,
giving you the tools to keep learning as you develop your trading skills.
Discover IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
JD Sports didn’t pay rent for some of its stores globally.
“We firmly believe that it cannot be equitable to pay full contractual rents when there is no realistic prospect of any income from a store,” JD Sports said.
Still, investors seem to be impressed with results as the company managed to recover over 90% of revenue from the last year, despite the pandemic.
JD Sports share price initially gained nearly 10%, before paring back a portion of gains to trade around 760p, or 5% up on the day.
