Bottom Line: Focus on staying number one at home April 16, 2014 BELEAGUERED Tesco boss Philip Clarke has declared he isn’t going anywhere. Unfortunately, on his watch, neither is the nation’s favourite supermarket. After twenty years of rising profits for the group, this is the second year in a row where they have fallen. Pre-tax profits were down 6.9 per cent: 7.7 per cent in constant exchange [...]
More price cuts in store as profit slides at Tesco April 16, 2014 TESCO boss Philip Clarke said yesterday he had no intention of leaving as the supermarket giant posted a second year of falling profits and revealed large writedowns across its international businesses. Dismissing reports that he was under pressure from investors to step down, Clarke said: “I have got no intention of going anywhere. All my [...]
Eagle Eye jumps on float and closes its £4.5m 2ergo takeover April 16, 2014 RETAIL and hospitality voucher firm Eagle Eye Solutions, where former Tesco boss Sir Terry Leahy is an investor and director, saw its shares jump almost 10 per cent to 180p during its first day of trading yesterday. Eagle Eye raised £6m from its oversubscribed placing on London’s Alternative Investment Market, hitting a £36m valuation. “Today’s [...]
London Report: China data and bullish retailers drive FTSE rally April 16, 2014 THE UK’S benchmark stock index rose yesterday after Chinese economic data came in a touch above forecasts, with Tesco rising on aggressive strategy plans and Sports Direct surging on a bullish note about the company. The sportswear retailer surged 5.6 per cent to the lead FTSE 100 gainers. Traders cited a note from Bank of [...]
The real casualties of the supermarket price wars April 16, 2014 The threat posed by the hard discounters on Britain’s big four retailers has been well documented. Tesco’s chief executive Philip Clarke today described his discount rivals as “formidable” as he announced further plans to slash prices beyond the £200m already set aside in February. But new research shows that the biggest unrecognised casualties of the [...]
What you need to know before the open April 16, 2014 European bourses are expected to open higher today. After a very choppy day yesterday, US markets closed up, despite Russian claims that Ukraine’s “close to civil war”. Weak GDP data from China – growth slowed to 7.4 per cent in the first quarter – could add jitters to markets, though, but there's also UK unemployment [...]
Tesco’s 2013 pre-tax profit drops to £3.05bn April 16, 2014 Tesco, the world's third-largest supermarket, has announced a 6.9 per cent drop in full-year underlying profit before tax, to £3.05bn. Over the next three years, it's hoping to stake a claim as the multichannel, middle-market store. But the question is how easy that'll be in a climate of booming discounters and high-end stores, where consumers [...]
Tesco in shock return to the US as it rolls out fashion stores April 14, 2014 TESCO is having a second stab at the US market, announcing plans yesterday to open the first franchise stores of its clothing business F&F across the pond. The move comes just seven months after Tesco backed out of its Fresh & Easy venture in the US, booking a £1bn writedown on the move after attempts [...]
London Report: Ukraine fears prompt return to defensives April 14, 2014 A RISE in food and retail stocks, seen as “defensive” plays with investors worried by tensions in Ukraine, enabled Britain’s top equity index to inch higher yesterday. The blue-chip FTSE 100 index closed up by 0.3 per cent, or 22.06 points, at 6,583.76 points. Trading volumes came in at around 1.1 times above the index’s 3-month [...]
Tesco makes US comeback with F&F stores April 14, 2014 Tesco’s having a second stab in the US, announcing this afternoon the first franchise stores of its clothing business F&F across the pond. Last year, Tesco backed out of its Fresh & Easy venture in the US. The store was meant to take on Walmart, but it didn’t work out. Offering just a self-service option [...]