Morrisons reports more than £100m of Covid costs as first half profits drop by 37%
A UK supermarket has reported that it saw more than £100m of pandemic-related losses as a result of the pandemic.
Morrisons reported today that its profits before tax and exceptionals decreased by 37.1 per cent across the first half of its 21/22 financial year to £105m, down from the previous year’s £167m.
It said that it had seen £80m of lost profits from its cafes, food-to-go selection and fuel, as well as £41m of direct Covid costs.
However, the chain added that it expects to report “significantly” lower lost profit in the second half of the year, as well as “minimal” further direct Covid costs.
Andrew Higginson, chair of Morrisons, commented: “Across the business the whole Morrisons team has shown commendable resilience facing into a variety of continuing challenges during the first half, including the ongoing pandemic, disruption at some of our partner suppliers, and the impact on our supply chain of HGV driver shortages.
“As we approach our busiest time of year, I’m confident the team will continue to rise to all challenges and keep up all the good work to improve the shopping trip for customers.”
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