Boots has suffered a slump in profit during the first half of its financial year, following a fall in sales and increased technology investments.
The health and beauty retailer’s adjusted operating income tumbled 29.1% to $276m. Sales dropped 2.2% to $5.8bn, while margins slipped 180bps to 4.8%.
Parent company Walgreens Boots Alliance attributed the erosion of its bottom line to lower sales, the impact of bonus payments and its investments in technology.
Walgreens said that, amid the ongoing coronavirus crisis, it was “proactively deferring certain activities”, including the rollout of new beauty halls in Boots’ UK stores.
Please sign in now if you have a subscription or are already registered with us.
Retail-Week.com provides premium, in-depth intelligence that helps retailers judge risks, spot opportunities and identify what they need to do to win in the digital economy.
Register today for a taste of our high-quality intelligence and enjoy:
Discover Retail Week register now
Please note, if you have recently purchased a subscription, it may take a few minutes before your account is updated.