Pension charges hit figures
John Lewis cuts staff bonus amid tight trading
The department store and supermarket chain was hit by higher pension charges, lower property profit and a tough trading environment.
The employee-owned group, which owns Waitrose, will reduce the bonus to its 91,500 staff from 11% to 10% of salary, the third consecutive annual fall.
Pre-tax profits before exceptional items fell from £343m to £305.5m for the year to 30 January, while operating profit at the department store division fell 0.1% and at Waitrose by 2%. Group revenue was flat at £9.7 billion.
It 2015-16 profit was forced to take an extra £48.2 million pension charge.
Sir Charlie Mayfield, chairman of John Lewis Partnership, said: “The partnership has delivered a healthy trading performance and increased market shares in challenging conditions.”