**Summary of Tesco PLCs Interim Results 2025/26:**
Tesco PLCs interim results for the first half of 2025/26 (H1 25/26) highlight strong performance driven by continued investment in value, quality, and service, leading to significant market share gains. Key financial highlights include
**Group Sales (excl. VAT, excl. fuel)** Increased by 5.1% to ยฃ33,051 million, with growth across all segments: UK (+4.9%), ROI (+4.8%), Booker (+1.7%), and Central Europe (+3.4%).
**Adjusted Operating Profit** Rose by 1.6% to ยฃ1,674 million, with UK & ROI up 2.1%, Booker up 0.6%, and Central Europe down 11.2% due to competitive pressures.
**Free Cash Flow** Increased by 2.9% to ยฃ1,298 million, supported by strong sales and capital discipline.
**Adjusted Diluted EPS** Grew by 6.8% to 15.43p, driven by higher operating profit and share buybacks.
**Dividend per Share** Increased by 12.9% to 4.80p.
OperationallyTesco achieved
**UK Market Share** Gained 77 basis points to 28.4%, with 28 consecutive periods of share gains.
**Customer Satisfaction** Improved across all metrics, outperforming competitors.
**Online Sales** UK online sales grew by 11.4%, with Tesco Whoosh rapid delivery service sales up 59%.
**Range Innovation** Launched over 470 new products and improved 560 existing ones, with Finest range sales up 16%.
**Distribution Expansion** Opened a new semi-automated distribution center in Aylesford and planned another in DP World London Gateway.
StrategicallyTesco focused on
1. **Magnetic Value for Customers** Enhanced value through price matches, Clubcard deals, and product innovations.
2. **Clubcard Engagement** Increased personalized offers and digital engagement, with over 13 million customers receiving tailored recommendations.
3. **Convenience Expansion** Opened 38 new stores and expanded online capacity, including Tesco Whoosh.
4. **Cost Efficiency** On track to deliver ยฃ500 million in savings through the "Save to Invest" program.
Looking ahead, Tesco expects FY 25/26 adjusted operating profit between ยฃ2.9 billion and ยฃ3.1 billion, up from previous guidance, and maintains its free cash flow guidance of ยฃ1.4 billion to ยฃ1.8 billion. The company remains committed to sustainable growth, customer-centric strategies, and stakeholder value creation.
**Key Takeaways**
Strong financial and operational performance despite competitive intensity.
Continued focus on value, quality, and innovation to drive customer loyalty.
Strategic investments in technology, distribution, and digital capabilities to support long-term growth.
Positive outlook with upgraded profit guidance and sustained cash flow discipline.
Here is the comparison of financials and debt year on year presented as an HTML table:
This table compares key financial metrics for the first half of the 2025/26 fiscal year with the same period in the previous year, showing both actual and constant rate changes. The observations highlight the main trends and drivers of the year-on-year changes.