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Higher investment and challenging trading conditions have been blamed by John Lewis Partnership for deeper half year losses.<\/p>\n
The department stores and Waitrose supermarket business posted a loss before tax and exceptionals of \u00a389 million for the 26 weeks to 1 August, up from \u00a334m at the same stage last year<\/p>\n
Exceptional costs in the half were \u00a335m (2025\/26: \u00a354m), primarily restructuring costs relating to head office, as well as costs associated with cloud technology modernisation.<\/p>\n
Partnership sales increased by 2% to \u00a36.3 billion after investments in brands rose by 29% to \u00a3246m, supporting store modernisations. <\/p>\n
This year\u2019s \u00a350m store investment programme includes Glasgow, Cambridge, Leicester, Reading and Liverpool.<\/p>\n
There was good sales momentum in Waitrose, but weaker customer demand for larger discretionary purchases impacted John Lewis sales. To help mitigate this, the partnership continued to focus on driving productivity across the business, through both margins and operating costs.<\/p>\n
Jason Tarry, chairman, said: \u201cOur first-half results reflect our continued investment in our transformation, a more challenging trading environment and the increased costs of doing business.<\/p>\n
\u201cPartnership sales grew, customer satisfaction remains strong and the stores we\u2019ve transformed are outperforming the rest of our estate. That gives us confidence in the commercial headroom for both Waitrose and John Lewis.<\/p>\n
\u201cWe are managing the business with discipline and have chosen to keep investing in our customers, Partners and the long-term strength of our brands. <\/p>\n
\u201cWhile losses grew in the half, our employee-owned model allows us to take that longer-term view, supported by our financial strength. <\/p>\n
\u201cAs in every year, our profit is earned in the second half so our focus now is on serving customers brilliantly through our peak trading period. I\u2019m grateful to all our partners for everything they continue to deliver.\u201d<\/p>\n
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