Waitrose’s resurgent sales performance is buoying the fortune of its ailing parent company, John Lewis.
The John Lewis Partnership has reported a 19.6 per cent fall in profits for the six months to August 1 while Waitrose’s profits rose by a similar figure.
The upmarket retailer reported operating profit, excluding property, rose by 18.7 per cent buoyed by the launch of its value range, essentials, and free online delivery offer. Gross sales were up 7.4 per cent to £2.18 billion, while sales on a like-for-like basis were up 1.8 per cent.
John Lewis reported operating profit was down 49 per cent to £20.9 million while like-for-like sales were down 4.7 per cent and gross sales fell by 2.9 per cent to £1.21bn.
Overall, John Lewis Partnership pre-tax profit fell to £86.3m.
John Lewis Partnership chairman, Charlie Mayfield, said: “It is a really strong bounceback from Waitrose. We launched the essentials range which cut prices but kept the same quality and customers have loved it.
“This time last year conditions were horrible. But we prepared well for the recession. We nailed everything down very tightly and things have not turned out as bad as we first feared.”
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