John Lewis cautious after Xmas surge

L Profits under pressure at the owner of Waitrose and John Lewis

Citrus Sherbert Lazy Gin, which sold a month’s worth of stock in one day.

Gross sales at the partnership were up 2.5 per cent on last year to £1.96 billion. Waitrose booked a 1.4 per cent increase in gross sales (excluding fuel) to £928 million, while John Lewis recorded a 3.6 per cent rise to just over £1bn.

Mayfield said: “Looking ahead to 2018/19, we expect trading to be volatile due to the economic environment and anticipate that competitive intensity will continue, driven by the structural changes taking place in the retail industry.

“We are well placed to continue building the strength of our two leading brands through these changes and will maintain our current investment plans. Our focus continues to be offering our customers the best range of products and the best value, supported by a market leading service.

“As usual, bonus will be decided in March. The board expect to continue their policy of strengthening the balance sheet and maintaining investment for the future. As indicated at the half year, we expect our debt ratio at January 2018 to be higher than last year’s four times. Over the long-term, we continue to target a debt ratio of around three times.”