Sainsbury's announce £72m loss
We talked about Sainsbury's woes yesterday, and today, they heralded an annual loss for the first time in a decade.
The supermarket predicted that the coming year was going to be bleak, and expected like-for-like sales to remain negative in 2015/16, and blamed much of their pre-tax loss of £72m on a £753m charge it booked in during their half-year results in November.
Of course, the big problem for the chain is like-for-like sales falling 1.9% (over the 52 weeks to 14 March) with underlying profits falling by nearly 15%. When it comes to day-to-day trading, Sainsbury's are not looking well.
Chief executive Mike Coupe said: "The UK marketplace is changing faster than at any time in the past 30 years which has impacted our profits, like-for-like sales and market share. We know that our customers still want the best quality food at great prices and our strategy is built on our strong foundations of selling great food with a focus on quality, provenance and sustainability."
"At the same time, we know that our customers want value for money and we have therefore invested in lowering our prices; our prices versus our competitors have never been better."
Sainsbury's will be overseeing hundreds of job losses too. Still, as long as Mike Coupe doesn't go to Egypt and get thrown in prison, they should be fine.