UK retailer Tesco posted a sharp rise in annual profits on Wednesday, but warned that current-year earnings could fall as inflationary pressures start to hit consumers.
The company said adjusted operating profit rose 35.8% to £2.65bn in the year to February 26. On a pre-tax basis they were up 219% to £2bn.
Tesco forecast 2022-23 adjusted operating profit of £2.4bn – £2.6bn, which it said would be affected by the extent of further normalisation in customer behaviour as the economy emerged from the Covid pandemic, cost inflation and investment needs to stay competitive on price.
