U.K. supermarket chain Tesco warned on Tuesday that its full-year profit will not exceed £1.4 billion ($2.19 billion), further highlighting the struggles faced by the retailer after allegations of accounting irregularities emerged earlier this year.
Analysts had expected group trading profit to come in at £1.94 billion for the year to February 2015, according to forecasts on Tesco's own website.
Shares in the company fell over 15 percent when they opened on Tuesday, but pared losses to trade 9 percent lower by 2 p.m. GMT.
More details about how Tesco plans to boost competitiveness and strengthen its balance sheet are set to be released in early January, according to a company trading statement. Shares in the embattled supermarket group have fallen 43 percent so far this year.
"On the basis of the changes and investments made to date we now anticipate group trading profit for the financial year ending February 2015 will not exceed £1.4 billion." the trading statement said.
"In our interim results on 23 October we highlighted that full year profitability would be impacted by actions we may choose to take and that the commercial income overstatement would affect second half results as we revisited our plans with the new management team."