Sports Direct sees UK sales fall, profits plunge 68 per cent

Shares drop 10 per cent this morning

Sports Direct has reported a fall in sales in its UK retail business along with a fall in first-half pre-tax profits. However, its founder Mike Ashley stated that the retailer’s strategy was on track with “spectacular trading”.

The sportswear retailer said that its statutory pre-tax profits had fallen nearly 68 per cent to £45.8m in the six months to October 29, largely due to one-off costs including weak pound and adjustments to its balance sheet, and profits from disposals in the previous year.

Sports Direct’s founder and chief executive Mike Ashley said today: “Our underlying profit before tax remains healthy.”

He added: “Our high street elevation strategy is currently delivering spectacular trading performance within our flagship stores.We intend to open between 10 and 20 new flagship stores next year.”