UK supermarket group reports £8.04bn in total sales, driven by 3.6% growth in grocery despite declines in clothing and Argos.
Sainsbury’s posted a 3.1% rise in first-quarter sales to £8.04bn, boosted by a 3.6% increase in grocery sales to £7.6bn. The retailer gained market share, outperforming the broader sector amid strong demand for fresh food, including record berry and burger sales during a May heatwave.
Like-for-like sales excluding fuel grew 2.1%, while total retail sales excluding fuel rose 2.7% to £9.15bn. Clothing and general merchandise sales fell 3.7% to £438m, with Tu Clothing down 2.1% and general merchandise declining 6.3% due to space reallocation. Argos sales dipped 0.5% to £1.11bn as volume growth was offset by lower prices.
The company remains on track for £1bn in cost savings by March 2027 and expanded its Supplier Direct Fulfilled range to 26,000 products. Online grocery sales surged 12.5%, reflecting shifting consumer habits.