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Higher US spending bolsters JD Sports’ bottom line

Full-year profit guidance is lifted by £200m
Higher US spending bolsters JD Sports’ bottom line

•  Acquisitions help to drive profits well above 2019 levels

• Company still battling for Footasylum approval

JD Sports Fashion (JD) is an unlikely beneficiary from the US government’s stimulus package. The Bury-based retailer’s stateside business generated more than half of pre-tax profit before exceptional items of £439.5m in the first six months - a seven-fold increase on the same (Covid-hit) period last year and 177 per cent higher than the level of earnings generated in 2019.
Acquisitions have helped. The company bought the 167-strong San Jose-based Shoe Palace chain, whose stores are based in the west and south of the US, for $325m (£357m) in December last year. It then added Baltimore-based DTLR Villa, whose 247 stores are largely in the east and north, for $495m in March, .

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