Tesco reports 15 per cent rise in profits

Supermarket giant Tesco today reported a 15 per cent rise in underlying pre-tax profits thanks to strong growth in international sales and like-for-like sales in the UK.

Total international sales rose 31.2 per cent to £5.2 billion in the year to February 22, the company said in a statement.

Britain's biggest grocer now has 45 per cent of group selling space and 75,000 of its staff working overseas in countries including South Korea, Thailand, Ireland and Poland.

In the UK, sales grew by 7.9 per cent to £23.4 billion with like-for-like sales of 4.1 per cent in the period.

The Tesco Personal Finance operation, a link-up with the Royal Bank of Scotland, achieved £96 million of profit with £48 million going to Tesco, up from £20 million last year.

Online shopping venture Tesco.com showed strong development with £12.2 million profit in the year compared with £0.4 million last time, and sales up 26 per cent at £447 million.

Tesco also said it would create 20,000 jobs in 2003 as it pursues further expansion.