JD Sports Fashion shares have soared almost eight per cent after it upped profit forecasts for the year.

The company, which also owns Tiso, Blacks, Size and Millets, said like-for-like sales continued to run ahead of management forecasts.

While it has seen a narrowing of margins in its European arm, mainly as a result of the weakness of the euro, it said profits are now forecast to be 10 per cent higher than current market expectations of £110 million.

Kate Calvert from Investec, who has a buy rating on the stock and a target price of 900p, predicted much of the uplift is likely to have come from its sports fashion stores.

She said: “The ongoing strength of JD’s brand relationships, continued momentum in footwear and range development should help support future growth in the UK.”

JD shares closed up 58.5p at 805p.