By Michael SusinTesco upgraded its fiscal 2024 guidance on retail earnings after significant cost reductions resulted in a strong performance in the first half. The U.K. grocer on Wednesday said it expects retail adjusted operating profit--the company's preferred metric, which strips out exceptional and other one-off items--for fiscal 2024 of between 2.6 billion pounds and 2.7 billion pounds ($3.14 billion and $3.26 billion). This compares with previous guidance of around the same level as the GBP2.49 billion reported for the year ended Feb. 25. Free cash flow target has been also upgraded to between GBP1.8 billion and GBP2.0 billion for this year, compared with previous range of GBP1.4 billion to GBP1.8 billion. The upgrade is ahead of Tesco's medium-term guidance range of GBP1.4 billion to GBP1.8 billion, it said.

Source: Wall Street Journal October 04, 2023 06:47 UTC