JD Sports Fashion reported modest sales increases on a same-store basis for the 19 weeks ended on June 9. They were up by 1.2 percent in its sports stores and by 3.0 percent in its fashion stores, but gross margins continued to be under pressure as anticipated. The British retailer adds that additional overheads will impact its core retail results in the first half to support international retail operations, brands and the development of its multi-channel strategy. Furthermore, JD is now budgeting an operating loss of £10 million (€12.4m-$15.5m) for Blacks in the current financial year – the bulk of it during the first half - plus an additional restructuring charge of up to £5 million (€6.2m-$7.7m). The emphasis for the moment is on improving the offer, says JD, repeating its belief that Blacks can become profitable in the medium term.

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