Tesco, Britain’s biggest retailer and currently celebrating its 100th year, is expected to report a 27 percent jump in full-year profit, putting it firmly on track to meet the medium-term targets Chief Executive Dave Lewis set out in 2016, despite the cloud of Brexit.
Analysts on average expect Tesco to report operating profit before exceptional items of 2.08 billion pounds for its financial year ended Feb. 23, up from 1.64 billion pounds in 2017-18.
Former Unilever executive Lewis has steered a steady recovery after the accounting scandal capped a dramatic downturn in Tesco’s trading.
The 2018-19 results reflect transformed relationships with suppliers, lower prices versus major competitors, simplified and better quality product ranges and improved store standards.
Lewis has also been active in pursuing growth avenues. He has bought wholesaler Booker for nearly 4 billion pounds, formed a global purchasing alliance with France’s Carrefour and launched a new discount format called Jack’s.
Shares in Tesco have risen by nearly a quarter this year.
However, January also saw Tesco announce that up to 9,000 jobs are at risk across its head office and stores as part of a major cost-cutting drive.
Sweeping changes across the business will include a reduction in deli counters, with 90 stores set to lose the service altogether.
Via Independent ie.
