John Lewis Partnership losses more than double in tougher trading
The retailer reported underlying first half losses of £89 million, up from £34 million a year earlier.
The John Lewis Partnership has seen half-year losses more than double amid tougher trading and said it remained cautious over the final six months.
The employee-owned group, which owns the department store chain and Waitrose supermarkets, reported losses before tax and exceptional items of £89 million for the six months to August 1, up from £34 million a year earlier.
On a bottom line basis, pre-tax losses widened to £124 million from £88 million a year ago as it said costs also weighed on results, including moves to restructure its head office.
The John Lewis Partnership (JLP) said the head office reorganisation was focused on its central teams and had led to some job losses.
While it did not disclose numbers, it said the impact on jobs was less than 1% of its total workforce.
Sales in its department store chain fell 2% as it said consumers were holding back on discretionary spending, while sales across the Waitrose supermarket arm rose 4%.
Overall half-year sales rose 2% to £6.3 billion.
Jason Tarry, chairman of the JLP, said: “Our first-half results reflect our continued investment in our transformation, a more challenging trading environment and the increased costs of doing business.”
Mr Tarry told the Press Association consumers were cutting back on big purchases.
He said: “Consumers are holding back on spending on bigger ticket items.
“They’re cautious at the moment given what’s going on in the world.”