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Retail & Consumer

JD Sports sales jump 10 per cent defying high street gloom

Peter Cowgill did have a warning for landlords though, hinting that he would expect rent reviews

(Image: LIVERPOOL ECHO)

JD Sports has defied the high street gloom by posting a searing set of results, as bosses attempted to contrast their success with the tumultuous time faced by arch rivals Sports Direct.

Sales in the º£½ÇÊÓÆµ jumped 10 per cent on a like-for-like basis, with bosses saying customers have been reacting positively to the retailer's push towards more premium products and a strong online business.

Peter Cowgill did have a warning for landlords, hinting that he would expect rent reviews following several high street rivals using the CVA insolvency process which has allowed them to cut rents to avoid going bust.

He said: "We are very aware of the financial benefit that other retailers appear to get when they downsize their estates and, whilst we have no plans to fundamentally alter the size of the JD store network in the º£½ÇÊÓÆµ at this time, we continue to seek fairness and flexibility in the terms of our leases."

The executive chairman's calls follow similar warnings from Next boss Simon Wolfson, who has inserted CVA clauses into some leases - meaning if neighbouring retailers have cut rents due to a CVA, Next should too.

But overall, it was a positive six months for JD Sports, with pretax profits hitting £129.9m on revenues of £2.52bn in the half year to August 3.

Elsewhere in the º£½ÇÊÓÆµ, its gyms business grew to 120,000 members across 25 gyms, and bosses plan to open four new sites this year.

A JD Sports store(Image: LIVERPOOL ECHO)

But there was disappointment at its Go Outdoors business, which bosses admitted had poor availability during May and June due to a change in the way products reached the stores.