Sports Direct sceptical of achieving profit target

After witnessing a fall in demand and sales over the key Christmas period, Sports Direct is unsure of achieving a profit target set by the company for the current fiscal year.

While issuing a trading update, Sports Direct said “since our interim results on December 10, 2015, we have seen a deterioration of trading conditions on the high street and a continuation of the unseasonal weather over the key Christmas period. As a result, we are no longer confident of meeting our adjusted underlying EBITDA target (before share scheme costs) of 420 million pounds (610.1 million dollars) for the full year”.

The company further added that keeping the current trading scenario and in anticipation of similar trading conditions between now and the end of April, management's current expectation for the full year is for adjusted underlying EBITDA (before share scheme costs) is of between 380 million pounds (552.1 million dollars) and 420 million pounds (610.3 million dollars).