LONDON, Nov 12 (Reuters) – Sainsbury’s threw down
the gauntlet to larger rival Tesco on Wednesday, taking
a hit on profits and the dividend to fund lower prices for
customers in the latest escalation of the British supermarket
Sainsbury’s, which had outperformed the sector for years
until a recent slowdown, plans to cut spending hard, rein in its
property expansion and find more efficiencies in the business to
pay for lower prices.
LONDON (Reuters) – Vodafone (VOD.L: Quote, Profile, Research, Stock Buzz), the world’s second-biggest mobile operator, nudged its full-year earnings forecast higher on Tuesday as improving demand in its big European markets and an investment push into new products helped reduce a drop in revenues.
Faced with increased competition from entertainment groups and fixed-line providers, Vodafone also said it plans to launch a broadband and TV service in its home market to compete with rivals who offer a wider range of products.
LONDON, Nov 10 (Reuters) – Serco turned to its
investors for emergency cash on Monday after writing off 1.5
billion pounds ($2.5 billion) and slashing profit forecasts,
sending shares plummeting by a third.
The announcement deepened the sense of turmoil at the
British outsourcer which has reported a string of profit
downgrades, contract problems and scandals since 2013.
LONDON, Nov 10 (Reuters) – Britain’s Serco announced
a rights issue of up to 550 million pounds ($874.5 million)
after cutting its profit forecast and taking a 1.5-billion-pound
impairment charge, wiping a third off its share price.
The unscheduled announcement, which also included a plan to
cancel the dividend, sent the shares down as much as 35 percent.
LONDON (Reuters) – British engineer Rolls-Royce (RR.L: Quote, Profile, Research, Stock Buzz) plans to cut 2,600 jobs to save money and has replaced its finance director, aiming to restore confidence following two profit warnings in eight months.
The world’s second-largest maker of aircraft engines said the job cuts, which will mostly come in the Aerospace division and will take 18 months to complete, were designed to save around 80 million pounds ($128 million) a year once the redundancy program was complete.
LONDON (Reuters) – Tesco (TSCO.L: Quote, Profile, Research, Stock Buzz) could see its debt downgraded to “junk” status unless it outlines plans to cut borrowing and improve trading, rating agency Moody’s said, raising the prospect of higher financing costs for Britain’s biggest grocer.
Tesco, already facing a severe slowdown in sales in its stores, said last month it had uncovered what has become a 263 million pound ($420 million) accounting hole, resulting in the suspension of eight senior members of staff and a Serious Fraud Office investigation.
LONDON (Reuters) – WPP Plc, the advertising group run by high-profile executive Martin Sorrell, posted a slightly lower-than-expected 3 percent quarterly sales rise, reflecting growing concerns over geopolitical tensions and a slowdown in the global economy.
The British group, owner of the JWT and Ogilvy & Mather agencies, reiterated its full-year sales target however and outperformed its major rivals due to its broad geographical reach and strong presence in digital advertising.
LONDON, Oct 30 (Reuters) – Britain’s BT said it would
not be drawn into a price war with rivals such as BSkyB,
as it offset slower broadband growth in its second quarter with
customers paying more for superfast internet connections and
The 168-year-old former telecoms monopoly has transformed
its business in recent years by investing in a new fibre network
and offering a sports television service for broadband
subscribers to increase customer loyalty.
LONDON (Reuters) – Serious Fraud Office (SFO) has opened a formal criminal investigation into accounting errors at Tesco, raising the stakes in a scandal that has hammered the reputation of the country’s biggest grocer.
Already battling challenges on multiple fronts, Tesco said on Wednesday it had been notified of the SFO’s new investigation into the 263 million-pound ($424 million) overstatement of its first-half profits that has led to the suspension of eight senior members of staff.
LONDON, Oct 29 (Reuters) – Britain’s Serious Fraud Office
(SFO) has opened a formal criminal investigation into accounting
errors at Tesco, raising the stakes in a scandal that
has hammered the reputation of the country’s biggest grocer.
Already battling challenges on multiple fronts, Tesco said
on Wednesday it had been notified of the SFO’s new investigation
into the 263 million-pound ($424 million) overstatement of its
first-half profits that has led to the suspension of eight
senior members of staff.