JD Sports is delaying its vacation pay repayment decision despite its profit forecast raised following the boom in sales
- The retailer expects to see pre-tax profits of no less than £ 550 million this year
- The delay in the decision is due to rising Covid rates and uncertainty about restrictions
- On Monday, JD Sports announced that it had spent £ 120 million on a stake in retailer Deporvillage
JD Sports has announced that it will decide later on whether to repay the government’s Covid support, although its annual profit outlook has been raised after a period of high sales.
The sporting goods retailer expects to post a pre-tax profit of “no less than” £ 550million this fiscal year, compared to its previous forecast of between £ 475million and £ 500million and the £ 324million it made last year.
However, due to the recent surge in coronavirus infection rates and the possibility of further temporary store closures, it is set to postpone its decision on repaying the vacation pay requested by the UK government.
Upgrade: JD Sports expects pre-tax profit for this fiscal