Foot Locker rival Hibbett closing nearly 200 stores

08 May 2026, 16:08 · The Fresno Bee

Back in the 1980s and 1990s, every community had a local sneaker shop that sold all the major brands. These stores provided a necessary service because while you could buy sneakers at mall-based stores and department stores, those retailers lacked the one-on-one service offered at the local level.

Before sneakers were collectible or fashion statements, they were either everyday shoes or for athletic performance.

When I went into Athlete's Corner, the local shop in my hometown of Swampscott, Mass, I not only knew the person who waited on me, but he also knew my shoe size and what sports I played.

That level of service still exists, but it's harder to find as the internet has made local shoe stores less relevant. I now order my sneakers from Amazon or buy them at the outlet mall if the right size and style go on sale.

Now, roughly two years after it was purchased by JD Sports Fashion, Hibbett, which operates the Hibbett, City Gear, and Sports Additions retail store brands, has already closed a handful of stores and plans to close about 175 more by the end of 2027.

JD Sports bets big on retail

JD Sports bought Hibbett in April 2024 in a deal that valued the company at $1.08 billion, according to a press release.

At the time, JD Sports CEO Régis Schultz saw the move as a way to increase his company's retail presence in areas where it was limited.

"Strategically, it enhances our presence within North America and achieves our objective of strengthening our Complementary Concepts division. Hibbett's footprint is highly complementary, adding a stronger presence in communities across the southeastern U.S., where we currently have a limited presence. It will also provide a stronger platform for the rollout of the JD fascia in the U.S., he said in the press release.

That was part of a bigger plan by JD Sports to grow its global business.

"It has been a fantastic story for us. In 2018, we bought Finish Line, and we turned around this business. We bought Shoe Palace, DTLR, and Hibbett and now have a business of $6 billion annually," Schultz told Forbes in 2025. "We built a business that came from nothing to be bigger than the market leader."

At the time, the CEO made it clear that he thought many of the company's rivals were too focused on the internet and neglected their physical stores.

His company, as "the new kids on the block, is bringing modernity and something fresh, with a different proposition, with a bigger apparel section," he added.

Now, with the U.S. having become the British company's largest market, Hibbett has decided to slash its retail portfolio.

JD Sports closing over 175 Hibbett locations

About a third of shoe sales now take place online, according to RunRepeat.

The research firm also projects the online footwear market will reach about 35% by 2027, driven by continued gains in digital sales at the expense of physical retail.

At the time of the deal announcement, Hibbett operated 1,169 stores across 36 states under the Hibbett, City Gear, and Sports Additions banners, according to the company.

Now, the company has begun efforts to downsize its retail portfolio, which Schultz spoke about during the company's fourth-quarter earnings call.

"[Our] second key strategic initiative is driving store productivity and optimization of our store estate. Our net store movement last year was a reduction of 39 stores, demonstrating our fewer, bigger, and better store strategy," he said.

That includes a large number of closures in North America.

"In North America, we will leverage group best practice to optimize EBIT store footprint and profitability. As part of this, we will close around 170 underperforming EBIT stores over the next three years," he added.

More Retail:

The CEO also made it clear that stores would be closing in Europe as well, but did not name a set number.

JD Sports closed 24 stores in the United Kingdom in 2025 and saw a 4% overall increase in sales, according to numbers shared during the Q4 earnings call.

As of Feb. 1, 2025, at the start of fiscal 2026, there were 999 Hibbett locations. By Jan. 31, 2026, at the end of the fiscal year, JD noted it had 982 Hibbett stores in its portfolio with 61 closures and 44 new locations, WWD.com reported.

The 170 store closures have already begun, but will take the company three years to complete.

The sneaker industry looks for the right model

The Hibbett closures come at a time when the sneaker industry remains in flux.

In fact, GlobalData Managing Director Neil Saunders wonders if there's a place in the market for sneaker stores.

"Whereas Foot Locker looks vulnerable because it just doesn't have all these other strings to its bows," Saunders told CNBC. "The truth is that although they're getting better, there is still this question: Do we need this specialist sneaker retailer?"

Nike, the market leader, has struggled to find the right balance of retail, wholesale, and direct-to-consumer (DTC) sales.

Nike CEO John Donahoe admitted that his company had moved too far away from some of its partners, including Macy's and DSW.

"We recognize that in our movement toward digital, we had over-rotated away from wholesale a little more than we intended," Donahoe told CNBC's Sara Eisen. "We've corrected that. We're investing heavily with our retail partners. They were all here over the last couple of days; they're very excited about the innovation pipeline."

In addition, Hibbett's rival Foot Locker has been purchased by Dick's Sporting Goods, which has begun testing new concepts across the 3,200-store retail chain.

"We've moved quickly to test and learn in North America through what we call our Fast Break initiative. This is the evolution of the 11-store pilot we discussed last quarter. While it's still early, we're very encouraged by what we're seeing," Executive Chairman Ed Stack said during Dick's fourth quarter earnings call.

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This story was originally published May 8, 2026 at 9:08 AM.