4th May 2016 06:22
LONDON (Alliance News) - J Sainsbury PLC on Wednesday said it swung to a pretax profit in its recently-ended financial year, as business picked up from the prior year when it booked a loss, but revenue still slipped in a tough UK market for grocery retailers and Sainsbury's also cut its dividend.
The supermarket chain said it made a pretax profit of GBP548 million in the year ended March 12, having suffered a GBP72 million pretax loss the prior year, when it booked property writedowns and impairments.
Revenue slipped to GBP23.51 billion from GBP23.78 billion, while like-for-like sales fell by 0.9%, which Sainsbury's said was due to ongoing pricing pressures and food price deflation.
Sainsbury's cut its dividend for the year by 8.3% to 12.1 pence from 13.2p the year before.
"The market is competitive, and it will remain so for the foreseeable future. We believe we have the right strategy in place and are taking the right decisions to achieve our vision to be the most trusted retailer where people love to work and shop," Chief Executive Mike Coupe said in a statement.
Sainsbury's added that it expects its acquisition of Home Retail Group PLC to take place in the third quarter of 2016.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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