John Lewis and Waitrose half-year losses reach £124m as sales rise 2%
The John Lewis Partnership reported a pre-tax loss of £124 million for the first half of the year, driven by rising costs and reduced consumer confidence despite overall sales growth.
Losses at the owner of John Lewis and Waitrose widened to £124 million as reported for the six months ending 1 August. The group recorded a pre-tax loss of £124 million compared with £88 million in the same period last year. This represents an increase of more than 40%. Sales across the combined arms rose 2 percent to £6.3 billion. Department store sales fell 2 percent while supermarket sales climbed 4 percent. Higher costs included increased national insurance contributions and operating expenses during heatwaves. Jason Tarry, the chair, attributed the decline to continued transformation investment, a challenging trading environment, and rising business costs. The company continues a turnaround plan that involved closing 16 department stores and at least 20 Waitrose outlets. Thousands of partner jobs were cut during this restructuring. Peter Ruis stepped down from his role as head of the department store arm earlier in the year. Will Kernan now serves as the new head of the department store operation. The partners received a 2 percent salary bonus in March, the first time they have paid such an award in four years.
