8th Jun 2016 06:07
LONDON (Alliance News) - J Sainsbury PLC on Wednesday said it made a solid start to the year with transaction growth across channels in the first quarter, though like-for-like sales declined.
The FTSE 100-listed grocer said like-for-like retail sales in the 12 weeks to June 4 fell 0.8% excluding fuel and were down 1.0% including fuel. Total retail sales were up 0.3% excluding fuel and down 0.1% including fuel in the quarter.
But the group said it saw like-for-like transaction growth across its sales channels in the quarter, which Chief Executive Mike Coupe said marked a "solid start" for the group.
"Sainsbury's is well-positioned. Our core food business offers customers choice, quality and a clear value proposition. General merchandise and clothing continue to perform well with good sales growth across both businesses, and we continue to see encouraging results from Sainsbury's Bank, a significant opportunity for long-term growth," Coupe said.
The chief executive said market conditions remain challenging in the UK grocery sector, with food price deflation hitting sales and pricing pressures meaning the market will remain competitive "for the foreseeable future".
"However, we are confident that our strategy to be a trusted multi-channel, multi-product and services retailer is delivering and will enable us to continue to outperform our major peers," Coupe added.
By Sam Unsted; [email protected]; @SamUAtAlliance
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