JD Sports Announces Store Closures in the U.S.
JD Sports, the parent company of Hibbett Sports, is set to undergo a restructuring, which involves closing 175 stores across the United States over the next three years.
In an acquisition deal valued at around $1.1 billion, JD Sports plans to acquire Hibbett in 2024. This move is expected to bolster JD’s position in the North American footwear market. As of May 2024, Hibbett operates 1,169 stores in 36 states.
The decision to reduce the store count is aligned with JD’s cost-cutting strategy.
Regis Schultz, CEO of JD Sports, mentioned during a recent earnings call that a primary initiative is to enhance store productivity by optimizing their footprint. He pointed out that last year saw a reduction of 39 stores in the online domain, which reflects a trend towards larger and better store formats.
Schultz added that in North America, the company will be applying best practices to improve the profitability of its EBIT stores. Part of this strategy includes shutting down approximately 170 stores that are not generating profit over the next three years.
Interestingly, JD’s financial report indicated that Hibbett started with 999 stores in February 2025, but that number dropped to 982 stores by January 2026 as the company integrated its brands post-acquisition.
JD’s CFO, Dominic Platt, noted that the firm intends to open about 20 new JD stores, along with converting 70 to 80 Finish Line stores into JD formats in North America.
When considering plans in Europe, Platt stated that the overall count of stores would remain fairly stable for the year.
In terms of market performance, JD Sports shares have decreased about 1.7% since the start of the year, but they’re still up roughly 1.8% from the previous year.
This announcement follows Foot Locker’s plans to close stores after its $2.4 billion acquisition by Dick’s Sporting Goods last September. While the exact number of Foot Locker closures hasn’t been disclosed, it’s confirmed that nine Dick’s stores will close in 2025, alongside around 11 Foot Locker-owned stores and four licensed outlets.
