John Lewis Partnership has said it is paying back its government coronavirus (COVID-19) loan as the retailer now expects to make a bigger profit than it previously expected.
The staff-owned group, which cut 1,500 head office jobs in October as part of a restructuring plan under new chair Sharon White, said trading over the festive period “held up better than anticipated”.
Back with its half-year results in September, the partnership predicted it would make a small loss or a small profit for the year.
Now it said it expects full-year profits to be ahead of the profit guidance provided, with full details to be confirmed when it publishes full-year results on March 11, 2021.
The £300mln Covid Corporate Financing Facility from the Bank of England and HM Treasury was due for repayment in mid-March.
“Despite the head winds of the last year when John Lewis stores were closed for several months, and future trading volatility, the Partnership believes it has sufficient liquidity going forward,” it said in the statement.