Sainsbury’s today revealed that its recovery plan was on track in its second quarter trading statement for the 16 weeks to October 7.
Total sales for the second quarter were up 7.6 per cent, and like-for-like sales for the period rose 6.5 per cent, according to the supermarket’s latest figures. The total sales for the first half were up 7.8 per cent, and like-for-like sales for increased by 6.8 per cent.
The retailer has now reported like-for-like sales growth for seven consecutive quarters.
Justin King, Sainsbury’s chief executive, said the popularity of the ‘Try Something New Today’ branding, which passed its first anniversary in September, and the relaunch of the premium ‘Taste the Difference’ range, which introduced 250 new products this quarter, has contributed to the growth.
The first half has also seen the supermarket opening seven new stores, refurbishing 32 outlets, extending five, downsizing one. A total of five additional supermarkets acquired from Somerfield will open for trading before Christmas.
King said: “We have continued our good sales performance during the second quarter of the year and have benefited from spells of good weather, and the focus this places on fresh and healthy food.
“This quarter has seen some significant pressure in the market by increases in the cost of energy, commodities and fresh produce.
“Our grocery inflation for the quarter was significantly lower than the overall market at 1.0 per cent, and therefore our relative price position continued to improve during the period. For the first half, prices were, in total, at the same level as the first half last year. Our good sales performance continues to enable us to invest in our offer as we are committed to improving our competitive position.”
King added that Sainsbury’s strong performance has given the supermarket a good momentum in the run up to the highly competitive Christmas season.
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