Executive Summary

• Morrisons reported 1H20 revenues of £8.83 billion, slightly above the consensus estimate of £8.8 billion.
• 1H20 comparable sales were up 0.2% year over year: Retail contributed (1.1)% to group comps while wholesale contributed 1.3%.
• The retail segment saw a sharp downturn in the second quarter: Its contribution to group comps fell from 0.2% in 1Q20 to (2.4)% in 2Q20. Management cited demanding comparatives from 2018 as the reason.