Summary
John Lewis, a British retail company, reported a significant increase in losses in the first half of the year, mainly due to costs related to waste packaging and higher National Insurance Contributions. The company expects to return to profitability by the end of the year, especially during the Christmas season. John Lewis also highlighted efforts to navigate challenges and attract customers through its retail offerings.
Key Facts
- John Lewis's losses before tax rose to £88 million, up from £30 million last year.
- The increase in losses is partly due to a new waste packaging policy and higher National Insurance Contributions.
- John Lewis spent £29 million on the new policy and employer National Insurance payments in six months.
- The company remains optimistic about returning to profit in the second half of the year, especially during the Christmas season.
- Revenue for John Lewis increased by 4% to £6.2 billion, with Waitrose sales rising by 6%.
- The company brought back its "Never Knowingly Undersold" price promise to attract customers.
- Staff bonuses are still uncertain, as employees haven't received one for three years.
- The Bank of England mentioned that packaging costs could lead to small increases in food prices if passed on to customers.
