John Lewis Partnership swung to a loss before exceptional items and tax in delayed full-year results with the retailer forced to cancel its bonus.
The group reported a loss of £78mln at the year ended 28 January 2023 compared to a profit of £128mln the year earlier, according to a statement.
As a result, the company said it would not be able to share a bonus this year with its staff, although the financial assistance fund of £800,000, as well as support for childcare, travel and living costs, will remain in place to support staff.
The pre-tax loss also deepened to £234mln from £27mln a year earlier, with the company attributing this to property write-downs.
Total partnership sales were down 2% to £12.25bn, with Waitrose sales down 3% to £7.3bn, although John Lewis sales inched slightly higher by 0.2% to £4.94bn.
Inflation was “also felt across the business,” adding £179mln to its costs, although the Partnership said it delivered £300mln in cost savings over the last two years.
John Lewis Partnership said its balance sheet remained “strong”, with £1bn of cash and total liquidity of £1.bn, although total net debt stood at £1.7bn.
Market and consumer conditions are expected to remain uncertain, it said.