Chief executive Carlos Criado-Perez has hailed a stable second-quarter performance

Chief executive Carlos Criado-Perez has hailed a stable second-quarter performance

Safeway has revealed a modest rise in second-quarter underlying sales, but has warned that its half-year earnings are set to slip.

The rise has been attributed to a cut back on costly price reductions. Like-for-like sales were up 0.7 per cent in the 16 weeks ending October 11. That compares with a 0.6 per cent decline in like-for-like sales in the first-quarter.

The takeover target has revealed that profits would be around £173 million for the first half, down from £187m last year. Chief executive Carlos Criado-Perez hailed a stable performance in the face of uncertainty over its future. He said: "Our people have risen to the challenge of serving our customers in very testing circumstances. Safeway has delivered stable trading, solid results and strong cash generation."

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