Preliminary results 2021/22
Strong sales and profit performance leading to retail free cash flow ahead of expectations:
Strong sales throughout the year; Retail 1-yr LFL8 sales growth includes UK market outperformance and sharp recovery in Booker; 2-yr LFL reflects strong performance throughout the pandemic across all businesses:
UK ROI Booker UK&ROI C.Europe Retail
1-yr LFL sales 0.4% (2.9)% 15.3% 2.2% 2.9% 2.3%
2-yr LFL sales 8.2% 10.6% 11.9% 8.8% 2.5% 8.3%
Total retail adjusted operating profit5 £2,649m, +35.8% at constant rates
UK & ROI adjusted operating profit £2,481m, +35.4% due to higher sales and lower COVID-19 costs
C. Europe adjusted operating profit £168m, +41.1% due to lower COVID-19 costs & higher YoY mall income
Bank adjusted operating profit £176m, returning to profit following last year’s increase in potential bad debt provision
Statutory revenue £61.3bn, +6.0% and statutory operating profit £2,560m, +65.5%; driven by strong sales, reduced COVID-19 costs and a return to profitability in Tesco Bank
Retail free cashflow6 £2,277m, +69.9% from higher profit, lower pension contribution9 & higher working capital inflow
Net debt2,6 reduced by +£1.4bn since last year driven by strong cash flow; net debt ratio down to 2.5x
Adjusted diluted EPS5,7 21.86p, +88.8%; statutory diluted EPS 19.64p, +252.0%; reflecting higher profits
Proposed final dividend of 7.70pps to take full year dividend to 10.90pps – up +19.1% YoY
The proposed final dividend was approved by the Board of Directors on 12 April 2022 and is subject to the approval of shareholders at the AGM.
The proposed dividend has not been included as a liability as at 26 February 2022, in accordance with IAS 10 ‘Events after the reporting period’. It
will be paid on 24 June 2022 to shareholders who are on the Register of members at close of business on 20 May 2022.
A dividend reinvestment plan (DRIP) is available to shareholders who would prefer to invest their dividends in the shares of the Company. For
those shareholders electing to receive the DRIP, the last date for receipt of a new election is 7 June 2022.
The Group has a share forfeiture programme following the completion of a tracing and notification exercise to any shareholders who have not
had contact with Tesco PLC over the past 12 years, in accordance with the provisions set out in the Company’s Articles of Association. £nil (2021:
£nil) of unclaimed dividends in relation to these shares have been adjusted for in retained earnings. Refer to Note 21 for further details.
https://www.tescoplc.com/news/2022/prel ... ts-202122/Full results announcement here;
https://www.tescoplc.com/media/758523/t ... s-2122.pdfIan.