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Partnership John Lewis has warned staff that it will probably lose an annual profit objective after an inaccurate period of Christmas.
The retail -owned group owned by employees, which owns John Lewis and Waitrose, told his labor force that he is unlikely to hit an target of the internal profit of £ 131m for the year by January, and blamed the subjugated trust of the consumer for both chains missing sales expectations per month until December 21.
Update excludes Christmas Week, when retailers usually earn significant amounts of money, but it raises the challenges facing the new Jason Tarry chair while he tries to regenerate both brands after a challenging period for the group and losses and losses continuous.
He also anticipates bad news for his 73,000 workers, who wait to find out if they will receive an annual bonus when the group shares its annual results in March. The company previously said it would not pay a bonus if it did not hit £ 150m in profits as it first lifted the benefit since 1953 in 2020.
The group had to fight with Covid-19 pandemia and a period of high inflation while trying to improve trading between rivals’ rivals, as well as criticism that previous Dame Sharon White chair lacked retail skills to turn Business round.
The former chief executive of the Nish Kankiwala group also warned last year that the increases in national insurance contributions announced by the government that enter into force in April meant “tens of millions” pounds at additional costs for retail from 2025.
John Lewis the partnership said in a statement that he remained on the right track to deliver annual prejudiced profits higher than £ 42m that reported last year-an external target he shared in September.
Its pre-Nato loss before the tax narrowed to 49 percent to 30 million in six months to July 27, from £ 59m during the same period a year earlier.
Internal trading update was first reported by the Telegraph.
Nick Bubb, an independent retail analyst, said “if things had been good at John Lewis and Waitrose, we suspect they would not have been silent,” referring to the lack of an updating of Christmas, Although the company usually does not share one more.
Separately, the group has repaid £ 300m debt because of this month, according to two people familiar with the issue, which will further strengthen its balance.
Unusual employee -owned structure means that management has a disability to raise money from outside.
