Tesco outperforms expectations

Tesco outperforms expectations

British group Tesco has outperformed expectations in the first half of its fiscal year. Lower prices for more than 500 products meant its volumes sold were higher than a year ago.

Turnover still on the slide in home territory

The group's total turnover reached 23.94 billion pounds (32.5 billion euro), down 1.9 % compared to last year, but at level exchange rates, it would have been pretty much level. The group's like-for-like turnover dropped 0.8 %, but grew 1 % outside of the United Kingdom. Like-for-like turnover did drop 1.3 % in its home territory.

 

Its operational profit dropped 54.6 % to 354 million pounds (480 million euro), mainly because its British profit got hammered 69.4 % (from 543 million pounds last year to 166 million pounds - 225 million euro - now). Analysts had predicted a 130.5 million pounds (180 million euro) profit, which meant it has beaten those expectations.

 

Only last month, Tesco agreed to sell Homeplus' Korean division for 4.2 billion pounds (5.8 billion euro), all part of the company's strategy to lower its debt a lot.

Questions or comments? Please feel free to contact the editors


Hudson’s Bay CEO will step down next month

23/10/2017

Canadian department store group Hudson’s Bay’s CEO, Jerry Storch, will step down on 1 November and the group has already been looking for his successor. In the meantime, executive chairman Richard Baker will become the temporary CEO.

More than half of American families subscribed at Amazon

21/10/2017

An astonishing ninety million Americans have joined Amazon’s subscription program, Amazon Prime. Considering there are 126 million families in the United States, it is clear that Amazon has a tight grip on its home territory. What can Europe learn from this?

Zooplus grows 20 % in third quarter

20/10/2017

German animal web shop Zooplus saw its third quarter turnover grow by 22 % to 277 million euro, continuing the solid growth from its first quarters.

Action opens 1,000th store

20/10/2017

Tomorrow is a special day for Dutch discounter Action, as it will open its 1,000th store in Gorinchem (in the Netherlands). The number of Action stores has almost doubled in the last two years.

Richemont forecast huge profit increase for first six months

17/10/2017

Luxury firm Richemont, which owns watch brand Cartier for instance, has forecast an 80 % profit increase for the first half of its fiscal year. Turnover will also grow more than 10 %.

Safe.Shop is new global eCommerce trust mark

16/10/2017

Safe.Shop is the world’s first global eCommerce trust mark. Currently, only twelve countries signed up, but that number should increase in the future.

Back to top