Morrisons: shares fall despite rise in half-year earnings.
(CercleFinance.com) - On Thursday the UK grocer Morrisons posted positive like-for-like sales growth for the seventh consecutive quarter, with the group also generating growth in operating profit.
The retailer said that sales at stores that had been open for over a year rose by 2.6%, excluding fuel and VAT in its second fiscal quarter to 30 July.
First-half like-for-like sales ex-fuel/ex-VAT were even up 3%.
Reported pre-tax profit rose 39.9% to 200 million pounds in the first half of the fiscal year, with net debt reduced by a further 262 million pounds to 932 million pounds.
Chief executive David Potts said "a new Morrisons is beginning to take shape," with chairman Andrew Higginson seeing a "good trading momentum."
As a result, the group raised its interim dividend by 5.1% to 1.66 pence.
In London, Morrisons shares, which have risen slightly (+0.5%) year-to-date, were nevertheless down 5.3% at 232 pence, underperforming a FTSE 100 index that was down just 0.5%.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The retailer said that sales at stores that had been open for over a year rose by 2.6%, excluding fuel and VAT in its second fiscal quarter to 30 July.
First-half like-for-like sales ex-fuel/ex-VAT were even up 3%.
Reported pre-tax profit rose 39.9% to 200 million pounds in the first half of the fiscal year, with net debt reduced by a further 262 million pounds to 932 million pounds.
Chief executive David Potts said "a new Morrisons is beginning to take shape," with chairman Andrew Higginson seeing a "good trading momentum."
As a result, the group raised its interim dividend by 5.1% to 1.66 pence.
In London, Morrisons shares, which have risen slightly (+0.5%) year-to-date, were nevertheless down 5.3% at 232 pence, underperforming a FTSE 100 index that was down just 0.5%.
Copyright (c) 2017 CercleFinance.com. All rights reserved.