In the first half of the year, John Lewis Partnership reported sales of £ 5.9 billion, a 2 per cent increase from the previous year. Revenue also increased by 2 per cent to £ 5.2 billion. According to the corporation, the Partnership is expected to generate a full year profit that is substantially more than the £ 42 million recorded in 2023–2024.
Commenting on the first half trading, Nish Kankiwala, chief executive officer of the John Lewis Partnership, said in a statement, “These results confirm that our transformation plan is working and we expect profits to grow significantly for the full year, a marked improvement from where we were two years ago.”
Sales at John Lewis, which totalled £ 2 billion, decreased by 3 per cent in a difficult market. The first half saw a 0.5 percentage point increase in gross margins; but, decreased sales and an investment in partners and technology to improve customer service resulted in a £ 24 million decline in adjusted operating profit.
The number of customers increased by 2 per cent to £ 13.6 million in the first half. Sales of beauty products increased, while sales of fashion were negatively impacted by unseasonal weather and clients’ reduced disposable cash.
John Lewis has outlined a plan to spur additional growth and productivity, which includes: redefining “Never Knowingly Undersold” for modern consumers’ shopping experiences; price matching 25 major UK retailers both in-person and online with the aid of AI technology; investing in its flagship Oxford Street location by building one of the nation’s largest Beauty Halls; and forming new alliances, such as Waterstones, which will make its Oxford Street debut in John Lewis in October 2024.
The business also intends to invest in its own and other brands. Examples of these include exclusive partnerships with Collagerie for homeware and A.W.A.K.E. Mode for fashion, as well as the introduction of Trinny London and the Oura Ring’s UK retail exclusive.
