Britain's fourth-largest supermarket-chain, Morrisons, is expected to report its lowest annual profit in five years this coming Thursday and media reports are also suggesting that they could announce plans to sell about 5% of its property portfolio.
It is expected that Morrisons chief executive Dalton Phillips will use the SUpermarket's full-year results announcement this week to reveal a series of price-cuts aimed at arming the group against heavy discounters like Lidl and Aldi.
According to data from research company Nielsen, sales at Morrisons decreased 3.6% year-on-year in the 12 weeks to 1 February, and a second straight drop in annual profit looks certain to shed an unflattering light on the retailer's delayed entry into the online market.
Morrisons is forecast to report profit of between £734 million and £805 million, of which a consensus profit would represent a 13% decline on last year's figure of £901 million.
The supermarket will reportedly unveil ambitious plans for a tactical sale and leaseback of property worth up to £1 billion in order to return cash to shareholders.
A media report last month claimed that Morrisons' founding family, which owns about 9.5% of the group, had contacted buyout firms to gauge their interest in taking the business private.
© 2014 - European Supermarket Magazine by Enda Dowling
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