Tesco shares plunge 15% after profit warning

100 days of horror: It's hard to imagine Dave Lewis is enjoying himself after notching up his century at Tesco.

by Jack Torrance

It’s probably not the announcement embattled Tesco boss Dave Lewis was hoping to make after 100 days as chief executive. Tesco warned today that it doesn’t expect this year's profits to exceed £1.4bn - way below the £2bn expected by analysts and the £2.4bn to £2.5bn guidance Tesco issued in August.

Locked in a price war with discount supermarkets and its other competitors, Tesco has been in the doldrums for a while but was left reeling by the news in September that its profits had been overstated by around £250m. Today Lewis said he was running the business with a focus on creating ‘sustainable value.’

‘Whilst the steps we are taking to achieve this are impacting short-term profitability, they are essential to restoring the health of our business,’ he said. ‘We will not engage in short term actions that compromise in any way our offer for customers.’

Sign in to continue

Sign in

Trouble signing in?

Reset password: Click here

Email: mtsupport@haymarket.com

Call: 020 8267 8121



  • Up to 3 free articles every 90 days
  • Free email bulletins

Register Now

Take a free trial

Get 30 days unrestricted access to:

  • All the latest news, trends, and developments.
  • Exclusive interviews with CEOs and thought-leaders
  • MT Classroom - giving you an academic grounding without expensive courses
  • Management Matters and other in-depth content.
  • Daily bulletins straight to your inbox

Take a free trial today