Sainsbury’s (LON: SBRY) FY16 RESULTS: MISSES EXPECTATIONS AS GROCERY PRICE WAR HITS PROFITS

Executive Summary

• The UK’s second-biggest grocery retailer, J Sainsbury, reported that revenues were down by 1.1% and that comps were down by 0.9% for the year ended March 2016.
• FY16 revenues came in at £23.51 billion versus the consensus estimate of £23.54 billion.
• Stripping out the impact of write-downs in FY15, underlying basic EPS fell by 8.3%. On a reported basis, diluted EPS climbed from (8.7) pence in FY15 to 22.5 pence in FY16, missing the consensus of 24.6 pence.