Authorization

Tesco set to defy retail gloom with surging profits  

Britain’s biggest retailer, Tesco, is expected to defy the gloom afflicting the high street on Wednesday to post a surge in profits and lay out more detail about its plans for recently acquired wholesale giant Booker. 
Analysts estimate the supermarket chain will deliver a pre-tax profit, excluding one-off costs, of around ?1.2bn, a 60pc increase on last year and its first 10-figure profit on that basis since the accounting scandal four years ago. 
The increase is likely to be hailed as a success for Tesco’s chief executive  Dave Lewis, who has led a massive overhaul of the business, selling off overseas divisions, cutting thousands of management jobs and slashing prices in a bid to improve its fortunes. But the figures are still expected to be significantly lower than Tesco’s 2013-2014 peak, when it drummed up ?3bn in underlying pre-tax profits. 
Tesco set to defy retail gloom with surging profits  

Tesco has bounced back under chief executive Dave Lewis

Credit:
Chris J. Ratcliffe/Bloomberg
Tesco’s controversial ?3.7bn swoop on Booker completed last month and the retailer is expected to give investors a first glimpse of how its efforts to combine the two businesses is going. 
Analysts at Credit Suisse said in a note that the takeover could become a “defining moment” for Tesco, which will give it more flexibility over how it uses its giant estate of stores. But they warned the merger would be “challenging, with different customers, buyers, and assets to manage”.
Tesco share price
Shore Capital’s Darren Shirley said Tesco, along with Sainsbury’s, Asda and Morrisons, had been “asleep at the wheel” in the run-up to 2014, allowing discounters Aldi and Lidl to quickly seize a big chunk of the market.
 
 
See also:
Leave a comment
News
  • Latest
  • Read
  • Commented
Calendar Content
«    Декабрь 2018    »
ПнВтСрЧтПтСбВс
 12
3456789
10111213141516
17181920212223
24252627282930
31