JD Sports cuts profit forecast as CEO Régis Shultz's turnaround loses momentum

Published Aug 20, 06:17 AM UTC

JD Sports has slashed its profit target for the current fiscal year, lowering its pre-tax profit forecast to between £700 million and £800 million, down from the previous range of £750 million to £850 million. The downgrade comes as the turnaround strategy led by chief executive Régis Shultz loses momentum. While the sports and fashion retailer reported improved sales performance in the UK, a significant slowdown in the US market and aggressive discounting by competitors are dragging on profits. The profit warning adds to investor concerns as Shultz struggles to restore confidence following a period of sluggish share price performance and a lack of tangible results from his turnaround plan. The company announced the revised outlook on Thursday.