Tesco outlook shows grocer emerging from years of scandal

Right moves: Lewis says some of the decisions taken to strengthen the business have been difficult but they’ve been the right ones. — Reuters

LONDON: Tesco Plc, the UK’s largest retailer, maintained its profitability target for the current financial year as it uses its buying power to hold down prices.

Profit for the latest 12 months was ahead of expectations and the company said it’s on track to reach its goal of an operating margin of 3.5% to 4% in the current year. The results offer another sign that Tesco is emerging from years under the shadow of a massive accounting scandal. The shares were up as much as 1.3% early yesterday in London.