JJB Sports has unveiled a 12% fall in profits and said it will continue to face fierce competition this year. The sports retailer said pre-tax profits for the year to 25 January fell to �67.8m from �77.3m last year.
Turnover this year has been hit by slow sales of replica football kits while sales of T-shirts and shorts were hit by poor weather, the firm said.
Like-for-like sales - which strip out the effect of new stores - were down 5.7% in the 10 weeks to 4 April.
Pre-tax profits before exceptional items were �87.9m, down from last year's figure of �90.3m.
News of JJB's poor sales sent its share price down 28.5p, or 9.1%, to 283.5p by the close of trade on Wednesday.
Price pressures
JJB is facing tough competition in the clothing sector from discount retailers and supermarkets.
"I believe that the retail clothing market will continue to be very competitive during the current year as deflationary pressures impact upon prices," Chairman David Whelan said.
But the firm was more upbeat about prospects for other parts of its business.
JJB said its leisure division, which operates combined health clubs and retail outlets, was doing well, and it planned to open seven more such sites over the coming year to add to its existing 16.