Supermarket Morrisons has said that profits have been hit in a competitive environment, with like-for-like sales for the year to January 31st down 2.0%. Meanwhile, underlying profit before tax and restructuring costs was at £302 million, at the mid-point of the £295 million - £310 million range previously predicted. Morrisons said that in the year, it had achieved its initial aims to begin stabilising its like-for-like figures, lower costs and recruit new talent. However, it admitted that its turnaround would “take time.

Andrew Higginson, chairman, said: "I am delighted that the reshaping of the Board and Executive Committee is now complete. The Morrisons team now comprises a wealth of internal and external talent with the experience to deliver the turnaround.

"The board is pleased to be announcing that future dividends will be covered around two times by earnings per share, which is a policy that aligns shareholder returns with the long-term performance of the company. "The team made good progress during the year, with lower debt once again a highlight. We are on track to deliver improved future profits and returns for shareholders."

David Potts, chief executive, said: "By improving the shopping trip for customers, we have started the journey to turnaround the business and make our supermarkets strong. Our listening programme is informing and shaping the six priorities that are now driving the improvements that customers are noticing.

"Our strong balance sheet and cash flow provide the platform for turnaround and growth, but what makes us truly unique as food maker and shopkeeper is the personality and dedication of our thousands of colleagues. I am confident these strengths will help us fix, rebuild and grow Morrisons."