Trading Statement

John David Group (The) PLC 11 January 2007 11 January 2007 THE JOHN DAVID GROUP PLC CHRISTMAS TRADING STATEMENT Since The John David Group Plc (the 'Group') reported its interim results for the 26 weeks ended 29 July 2006 on 28 September 2006, the Group has continued to enjoy strong trading driven by the performance of the core Sports Division. The Sports Division, (excluding those stores acquired from Allsports and converted during the current year and the 14 airport stores acquired from Hargreaves in July 2006) has seen a like for like sales increase of 5.7% for the 23 weeks to 6 January 2007 and of 5.0% for the 8 weeks to 6 January 2007 in which the prior year period comparatives were relatively strong (+6.0%). Cumulatively, for the 49 weeks to 6 January 2007, on this basis the Sports Division like for like sales have improved by 4.5%. The Allsports stores have benefited from the JD product offer and distribution service over Christmas to produce results in line with management expectations. The Fashion Division like for like sales increase for the 23 week period to 6 January 2007 was 5.9% but like for like sales declined 0.5% in the 8 week Christmas period. Cumulatively for the 49 week period, like for like sales have improved by 4.2% but, in our view, the branded fashion retail sector is increasingly competitive and consequently the results of this division remain depressed although property disposals in the current period will help future performance. The Group like for like sales increase for the 23 week period to 6 January 2007 was 5.7%, for the 8 week Christmas period was 4.5%, and cumulatively for the 49 week period stands at 4.5%. The Group's gross margin improved in the first half against the equivalent period last year and a year on year gross margin improvement has also been achieved in the second half aided by progress on own brand sales in the Sports Division. Although we have continued to experience cost pressures with regard to rents, rates, utility costs and minimum wage rates, we nevertheless expect the combination of continuing progress on margin and like for like sales to result in final headline earnings for the year ended 27 January 2007 being ahead of current market expectations. For the full year to 27 January 2007, there will be a further charge for one off net costs and write offs connected with the store disposal programme. This programme remains ongoing but these costs have not been a significant drain on cash resources. Peter Cowgill, Executive Chairman, commented: 'We are pleased with our performance over the Christmas period and the year to date and believe it demonstrates that our retail proposition and operational strategy are continuing the improvement in performance of the Group.' The Group will make its Preliminary Results Announcement for the year ended 27 January 2007 on 26 April 2007. Enquiries: The John David Group Plc Tel: 0161 767 1608 Peter Cowgill, Executive Chairman Barry Bown, Chief Executive Brian Small, Finance Director Hogarth Partnership Limited Tel: 020 7357 9477 Andrew Jaques Barnaby Fry Charlie Field This information is provided by RNS The company news service from the London Stock Exchange
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