Sports Direct insists it will meet profit forecasts despite 'increasingly difficult' trading conditions.

The retailer, whose brands include Sports World and Lillywhites, is determined that it will beat £137.7 million full-year earnings expected by the City.

In a Christmas trading statement, SDI said sales during the 11 weeks to January 13 were £280 million, with group gross profit of £126 million.

Last month SDI estimated it would suffer an underlying earnings hit of up to £70 million over the next 12 months because of the England football team's absence from next summer's flagship tournament.

Chief executive Dave Forsey said: "We expect the retail trading environment to become increasingly difficult over the next six months. However the resilience of our business gives us the confidence to repeat guidance on full year performance that we gave on December 19.'