Sainsbury's Reports Like-For-Like Decline in Q1

Sainsbury's has reported on first-quarter trading, covering the 16 weeks to 29 June 2019, advising it is improving market share performance in a tough market.

• Total retail sales down (1.2) per cent (excl. fuel) with like-for-like sales down (1.6) per cent (excl. fuel)
  
  
• Grocery sales declined (0.5) per cent

• General Merchandise sales declined by (3.1) per cent and Clothing sales declined by (4.5) per cent 

Mike Coupe, Chief Executive, said: "We continue to adapt our business to changing shopping habits and made good progress in a challenging market. We reduced prices on over 1,000 every day food and grocery products and improved our relative performance¹. Our premium Taste the Difference ranges are growing market share² and we continue to improve customer service and availability. In a tough trading environment, we gained market share in key General Merchandise categories³ and in Clothing, where we are now the UK's fifth largest retailer by volume⁴. 

"We will invest in 400 supermarkets this year, including adding an enhanced beauty offer in 100 stores. We are accelerating investment in technology: 148 supermarkets now have SmartShop self-scan, 206 Argos stores offer Pay@Browse and we upgraded 29 more Argos stores to digital formats, all helping to make shopping with us quicker and easier.

"In May, we celebrated Sainsbury's 150th birthday. Our focus on giving customers high quality products at good value remains as true today as it was 150 years ago." 

Outlook

Retail markets remain highly competitive and promotional and the consumer outlook continues to be uncertain.

Source : Insight DIY Team and Sainsbury's

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