Morrisons warns of Covid-19 costs despite Christmas sales increase

Morrisons Christmas covid-19 pandemic
Morrisons has stuck to previous expectations of full-year profits before tax in 2021 reaching £420 million to £440 million
// Morrisons sales rise during the Christmas and New Year period
// Like-for-like sales, excluding fuel, rose 8% in the 22 weeks ending January 3
// Morrisons did not issue new guidance due to “extremely unpredictable current circumstances”

Morrisons sales have risen by over nine per cent during the Christmas and New Year period, as Brits shopped early for festive treats.

The Big 4 grocer said champagne sales were up 64 per cent compared to last year, while whole salmon sales rose 40 per cent.

Like-for-like sales, excluding fuel, rose by eight per cent in the 22 weeks ending January 3, thanks to strong demand over the holidays.


READ MORE: Morrisons extends discount scheme for key workers


The supermarket chain did not issue new guidance due to the “extremely unpredictable current circumstances and the consequences for both consumer behaviour and our Covid-19 costs”.

However, Morrisons has stuck to previous expectations of full-year profits before tax in 2021 reaching £420 million to £440 million, prior to an expected business rates payment of £230 million.

The retailer also said that the new tier restrictions would cost it roughly £10 million, in addition to £40 million in Covid-19 costs already announced in early December.

Separately, Morrisons extended its discount scheme for NHS staff, teachers and Blue Light Card holders in December in an effort to thank them during the Covid-19 pandemic.

The 10 per cent discount meant key workers could use it throughout the festive season and into the new year.

Morrisons said it has made it easier and quicker for NHS staff and teachers to redeem the discount following feedback from key workers.

Click here to sign up to Retail Gazette’s free daily email newsletter

LEAVE A REPLY

Please enter your comment!
Please enter your name here