John Lewis’ profit declines, but report ‘healthy trading’

Endaba Group

Despite John Lewis’ profit decline, the brand still reported ‘healthy trading’. The British high street department store retailer reported that profit fell from £341.6m to £304.1m in the financial year ended January 30, 2016. This decline has been reported to have been due to higher pension charges arising and lower property profits. Excluding this, profit was up 9%; fashion was up 6.2%, menswear up 8.8% and womenswear up 6.5%.

John Lewis has seen the shift in consumer shopping habits affect their sales, as online sales increased 17%, whilst sales in shops fell 1%. The combination of Waitrose with John Lewis has also had a positive effect on the company’s sales. Click & collect accounted for over half of all deliveries, with 70% of them collected in Waitrose.