Sainsbury reduces its 2014 final dividend by a third.

DividendMax Ltd.

Sainsbury reduces its 2014 final dividend by a third.

Financial summary

Underlying Group sales (inc VAT) down 0.9 per cent to £26,122 million (2013/14: £26,353 million)

Retail sales (inc VAT, ex fuel) down 0.2 per cent

Like-for-like sales (inc VAT, ex fuel) down 1.9 per cent

Underlying profit before tax down 14.7 per cent to £681 million (2013/14: £798 million)

Underlying basic earnings per share down 19.5 per cent to 26.4 pence (2013/14: 32.8 pence)

Return on capital employed of 9.7 per cent (2013/14: 11.3 per cent)

Return on capital employed excluding pension fund deficit of 9.0 per cent (2013/14: 10.4 per cent)

Statutory

Group sales (ex VAT, inc fuel) down 0.7 per cent to £23,775 million (2013/14: £23,949 million)

Items excluded from underlying results total a charge of £753 million (2013/14: £100 million credit), including an impairment and onerous contract charge of £628 million (2013/14: £92 million charge)

Loss before tax of £72 million (2013/14: £898 million profit)

Basic loss per share 8.7 pence (2013/14: 37.7 pence earnings per share)

Proposed full-year dividend 13.2 pence per share, down 23.7 per cent, cover 2.0 times (2013/14: 17.3 pence per share, cover 1.9 times)

Companies mentioned