Supermarket also notes highly competitive market and impact of international events
Morrisons has credited a good performance over Christmas and online for increased first-quarter sales.
The supermarket reported that group like-for-like sales for the 13 weeks ended 25 January were up 2.8 per cent, with total sales rising 2.6 per cent to £4.1 billion
Morrisons said a much-improved Christmas had been a strong contributor to the results, and noted that investment in lower pricing had driven immediate volume increases on key lines.
It also said personalised loyalty offers had helped deliver record redemption rates. Online sales performed well with good growth in the period, with improved market share year on year in the first quarter.
A further £49mn of cost savings were delivered in the quarter, taking the total to £894mn since the start of the programme.
Rami Baitiéh, Morrisons’ chief executive, said: “Against a highly competitive backdrop, with grocery market growth lagging previous expectations, we achieved our targets in Q1, delivering our 13th quarter of like-for-like sales growth.
”We know it’s tough for customers right now and we’re doing everything we can to offer them better value and give them more reasons to shop at Morrisons. That means continuing to invest in price, promotions and loyalty, concentrating on driving value where it matters most for our customers.
“The trading conditions we saw in Q1 have carried over into Q2 and the market remains highly competitive. Our success in key seasonal events has created some momentum and having delivered pleasing performances at Valentine’s Day and Mothers Day, we are now looking forward to Easter.
“We are watching current international events closely, alert to the impacts on consumer confidence and supply chains, and we will continue to do what we can to mitigate effects on our customers.”
