LONDON (AFP) – Britain’s biggest retailer, supermarket group Tesco, reported yesterday a halving of annual net profit as soaring inflation hiked costs and reduced the amount it sold.
Profit after tax dropped to GBP745 million in the 12 months to the end of February, Tesco said in a statement.
Chief executive Ken Murphy said the group experienced “unprecedented levels of inflation in the prices” it paid suppliers.
The supermarket added that sales volumes dropped year-on-year.
This was offset by Tesco hiking prices of products, helping revenue jump seven per cent to GBP65.8 billion.
Inflation soared worlwide last year, pulled higher especially by surging food and energy prices as the situation in Ukraine hit supplies.
Prices reached the highest levels in decades also as economies re-opened from pandemic lockdowns.
