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London, August 21, 2026 – JD Sports has cut its annual profit outlook to between £700 million and £800 million after reporting a sharp drop in U.S. sales, sending its shares tumbling 12% in early London trading.
The revised guidance falls short of the earlier forecast of £750 million to £850 million and marks a decline from last year’s £852 million profit, underscoring the mounting challenges in the global sportswear market.
The company revealed that group like-for-like sales fell 3.1% in the 13 weeks to August 1, 2026.
North America was the hardest hit, with sales down 6.8%, while Europe slipped 2.7%.
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The UK managed a modest 0.8% gain, driven by strong demand for football replica kits, and Asia Pacific rose 1.4% thanks to growth in apparel and accessories.
Chief executive Regis Schultz described the revised guidance as a “pragmatic view of external market conditions,” acknowledging that consumer sentiment remains fragile.
JD’s core customer base young, less affluent shoppers has been squeezed by cost of living pressures, dampening demand for discretionary purchases such as sneakers.
Footwear sales, traditionally JD’s strongest category, have slowed significantly.
The company cited weaker demand for “high heat” sneaker launches and a delay in back to school spending, with many purchases pushed into August.
Compounding the challenge is a promotional environment marked by heavy discounting, which JD expects to persist into the second half of the year.
Nike, JD’s largest supplier, accounts for about 40% of sales.
But Nike’s ongoing business reset has limited product innovation, leaving JD exposed to slower momentum in its most critical brand partnership.
Analysts warn that JD’s reliance on Nike could weigh on recovery prospects unless diversification accelerates.
The market reaction was swift. JD shares fell 12% in London trading, extending a two-year slide that has erased nearly a third of the company’s market value.
Investors remain wary of repeated downgrades and the lack of clear catalysts for a turnaround.
Kate Calvert, analyst at Investec, said JD’s shares are unlikely to recover until three conditions are met downgrades stop, excess stock is cleared, and Nike regains momentum.
She cautioned that such improvements may not materialize until 2027, leaving JD in a prolonged period of uncertainty.
For now, JD faces a difficult balancing act. The company must navigate weak consumer sentiment, persistent discounting, and supplier challenges while protecting margins and investor confidence.
Its modest gains in the UK and Asia Pacific offer some relief, but the scale of the North American decline underscores the fragility of its global footprint.
The outlook remains clouded. With shares down nearly a third in two years and profit forecasts slipping, JD’s ability to stabilize depends on both external market recovery and internal strategic execution.
Until then, the sportswear giant finds itself on the defensive, bracing for a tougher retail climate ahead.
