John Lewis faces stock delays due to Red Sea crisis

John Lewis stock delays: The John Lewis Partnership, a British retailer, has encountered challenges with stock arrivals and increased freight charges due to disruptions in the Red Sea, according to the company's finance chief.

Incidents involving ships attacked by Iran-aligned Houthi militia in and around the Red Sea have disrupted trade routes between Asia and Europe, affecting various industries including retail.

Bérangère Michel, speaking to reporters, acknowledged the global nature of the issue and mentioned delays in stock arrivals and rising freight costs as a consequence. However, she underlined the partnership's close collaboration with suppliers to address these challenges.

Despite the disruptions, Michel clarified that the partnership's long-standing relationships with suppliers have been beneficial in mitigating the impact on customers.

The remarks came as the John Lewis Partnership, operating John Lewis department stores and Waitrose supermarkets, announced a return to annual profit driven by improved trading in its food business and cost-saving measures.

While the Red Sea disruption posed challenges, Michel noted that it did not significantly affect the partnership's financial results for the year ending Jan. 27.

Similar concerns regarding the potential impact of Red Sea disruptions have been voiced by other major UK clothing retailers, including Next, Pepco Group, Primark, and Matalan.

Adidas also recently highlighted shipment delays of two to three weeks attributable to the crisis.

(With Reuters inputs)