16th May 2019 13:34
LONDON (Alliance News) - Asda on Thursday reported marginal growth in adjusted like-for-like sales for three months to March-end, the first set of sales figures since the grocer's failed merger with rival J Sainsbury PLC.
The UK supermarket chain - owned by US retail giant Walmart Inc - reported a 0.5% increase in like-for-like sales, when adjusting for the later Easter timing.
Without the Easter adjustment, Asda like-for-like sales declined 1.1%. In 2018, Easter fell on April 1 much closer to the company's first quarter than this year's April 21.
Walmart Chief Executive & President Doug McMillon said: "In the UK, we are disappointed that the proposed merger of Asda with Sainsbury's isn't happening because it would've been good for customers and the businesses. Asda continues to focus on delivering against our strategy and has built momentum in the business, which is impressive."
Looking at the future of its UK arm following the failed merger, Walmart said it is considering the best strategy to ensure long-term success, including a potential initial public offering.
The merger between the two competing UK grocers was blocked by the UK Competition & Markets Authority in April, with the regulator citing concerns that the GBP12 billion tie-up would have resulted in higher prices for consumers and damage to competition.
Walmart Chief Financial Officer Brett Biggs said: "We're focused on continuing to execute the strategy to strengthen Asda's long-term success, including the potential of an IPO at some point in the future."
"We'll be thoughtful and measured in our approach. We remain focused and confident in our International strategy of building strong local businesses powered by Walmart."
Online operations at Asda.com and George.com, the supermarket's clothing unit, achieved double-digit growth, Asda added.
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