Overview
- Tesco, which reported results on Thursday, posted adjusted operating profit of about £3.15bn for the year to February 28 and revenue growth of 5.4%.
- The retailer set 2026/27 operating profit guidance at £3.0bn to £3.3bn, widening the range because the war in Iran has increased cost uncertainty.
- Chief executive Ken Murphy said Tesco has seen no supply problems or broad price rises so far, apart from higher fuel, and pledged to keep the weekly shop affordable.
- Tesco announced a £65m performance award for frontline staff and targeted a further £500m in savings next year to help hold down shelf prices.
- Government planning and industry warnings flagged risks from a prolonged Strait of Hormuz disruption, including possible CO2 shortages that affect meat processing, while Tesco said it does not recognise double‑digit inflation forecasts.