JD Sports, the British sports retail giant, has closed 13 shops across the UK.
The retailer experienced a 2.5 per cent decrease in comparable sales, which fell to £5.94billion for the twenty-six weeks ending August 2.
The thirteen closures form part of a broader restructuring strategy announced earlier this year, when JD Sports revealed plans to close fifty stores globally.
However, the company simultaneously outlined ambitious expansion plans, including 150 new openings and 100 relocations and conversions worldwide.
In June, the retailer demonstrated its commitment to growth by launching its largest global store at Manchester's Trafford Centre.
JD Sports currently operates 412 branches across Britain and recently closed its Dagenham location in the Heathway Shopping Centre on September 6.
Britain's domestic market proved particularly challenging, with sales declining by 3.3 per cent.
The company attributed part of the downturn to unfavourable comparisons with last year's Euro 2024 football championship, which had significantly boosted merchandise sales.
Chief executive Regis Schultz expressed caution regarding the trading environment for the remainder of the financial year, citing "strained consumer finances" as a key factor affecting performance.
CEO Regis Schultz warned of a challenging trading outlook due to strained consumer finances
|GETTY/PA
JD Sports' adjusted pre-tax profits fell by 13.5 per cent to £351million during the half-year period.
Despite these declines, the company maintained that results aligned with market guidance and confirmed it remains on course to achieve annual targets.
The retailer's North American operations, a crucial market for the group, saw comparable sales decrease by 3.8 per cent.
The company noted that last year's European football tournament led to unusually high replica kit sales, creating a tough comparison period
| PAThe UK division's operating profits before adjusting items and lease interest dropped 6.2 per cent, impacted by rising labour expenses, increased property costs, and strategic investments in technological infrastructure and cybersecurity measures.
Total sales increased by 18 per cent, bolstered by the acquisitions of Hibbert and Courir brands.
Organic sales growth reached 2.7 per cent, providing some positive momentum amidst the broader challenges.
The company specifically highlighted how last year's European football tournament created an exceptionally strong comparison period, particularly affecting replica kit sales.
Mr Schultz acknowledged the ongoing difficulties, stating: "We delivered organic sales growth of 2.7 per cent in H1, in what remains a tough trading environment."
He emphasised the company's strategic approach, adding: "This demonstrates the resilience of our business, underpinned by our agile multi-brand model, broad geographic reach and unmatched connection with customers."
Aarin Chiekrie, equity analyst at Hargreaves Lansdown, commented: "Overall, sales don’t tell the true story here, with total revenue rising by a seemingly impressive 20 per cent in the period. But this growth was fuelled entirely by the acquisitions of Hibbett in the US and Courir in France last year, which are helping to flatter current performance."
Looking ahead, the chief executive maintained a cautious stance whilst offering reassurance about potential trade disruptions.
"Whilst we remain cautious on the trading environment for the second half, we expect limited impact from US tariffs this financial year, and our full-year profit before tax and adjusting items to be in line with current market expectations," he said.
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Asda's chairman has previously criticised the government's approach to enterprise | ASDAMr Schultz stressed that "operating and financial discipline remains a core focus for JD" as the company navigates "an environment of strained consumer finances and evolving brand product cycles."
The retailer maintains it is "controlling our costs and cash well" despite the challenging conditions.
This news comes as GB News previously reported that as many as 400 big stores including supermarkets are at risk of closure.
Industry leaders have warned that a proposed business rates hike could push already-struggling retailers over the edge.