Share Prices & Company Research

Market News

18 Mar 2020 | 07:47

Morrisons to expand online capacity, guarantee staff pay

(Sharecast News) - Morrisons said on Wednesday that it was expanding its online delivery service and guaranteeing staff pay as it reported a rise in full-year pre-tax profit. In light of the coronavirus pandemic, the supermarket chain said it was expanding its online store-pick capacity to more than 100 stores in the coming weeks, guaranteeing pay for sick and affected staff and introducing more flexibility around shifts and annual leave. In addition, it will make immediate payments to its small suppliers.

"We are liaising and co-operating with all the relevant authorities to plan for different scenarios," it said. "Our colleagues in stores, offices, manufacturing and distribution are working to ensure the supply chain operates as smoothly as possible and we keep stock on the shelves."

The measures were announced alongside the company's results for the year to 2 February, which showed a 3% rise in profit before tax and exceptionals to ?408m and a 43.6% jump in statutory pre-tax profit to ?435m. However, total revenue fell 1.1% to ?17.5bn, while total revenue excluding fuel was down 0.8%.

Morrisons said that in the first six weeks of 20/21, like-for-like retail sales rose 5% after "considerable stocking up", no doubt on the back of concerns about the coronavirus.

The retailer said it had been planning to announce another special dividend. However, it has decided to defer the decision "given current unprecedented events around Covid-19".

"This gives us maximum future flexibility around how we prioritise uses of our strong cash flow, and we will keep our capital allocation options under review," it said.



Get in touch today
Join Redmayne Bentley
Talk to us now about opening a new account or transferring your account from another provider
0113 243 6941
Get in touch today
Contact your local office
Contact your local office to find out more
The value of your investments and the income from them may go down as well as up, and you could get back less than you invested.
Continuing our Personal Service: View our Latest COVID-19 Update: 22nd May 2020
We use cookies on this site to improve your experience and help us provide you with a better website. An explanation of the cookies we use and their purpose can be found within our Cookie Policy. Your continued use of this site means you consent to the use of cookies.