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The Markets
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The Markets
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Retail

JD Sports launches new share buyback

JD Sports Fashion PLC has launched a new £200 million share buyback for its new financial year, beginning immediately.

The first swathe worth up to £100 million is expected to be completed no later than its 31 July half-year stage, followed by the second tranche in the second half.

In January, the sportswear retailer held its full-year profit guidance steady despite a volatile Christmas and said it was targeting around £400 million in free cash flow for the year.

Festive sales on an organic basis were up 1.4% over a nine-week period but like-for-like sales fell 1.8%, as price cuts weighed on margins, with stronger North America growth offset by weaker UK and Europe trading.

BofA Merrill Lynch has been engaged to run the buyback, with the acquired shares either sold either cancelled or held in treasury.

JD reports its full-year results on 7 May, which will include a first-quarter trading update.

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