Positive growth for Tesco
Tesco UK and Republic of Ireland sales are up 3.5% as growth plans are on track, plus UK like-for-like sales are up 2.1% as performance has improved through the last quarter.
Group like-for-like sales grew by 1.8% for the 13 weeks to 26th May 2018, representing a tenth consecutive quarter of positive growth.
The report shows continued improvements for customer offer, and a continued re-launch of over 10,000 own brand products.
Tesco has extended the two-store trial of the top 30 selling Booker lines, rolling out a similar range to over 50 more stores.
In May, it introduced 3,000 Booker lines into its Tesco Magor distribution centre.
Dave Lewis, Tesco chief executive, commented: “Our growth plans are on track and we are pleased with the momentum in the business. We remain well-placed to serve our customers better and deliver on our medium-term financial ambitions.
“We are delighted with initial progress on Booker, and are focused on delivering the synergy benefits that our merger brings.”
Despite a strong performance in Central Europe, with growth in fresh food and improving performance in Hungary, overall like-for-like sales were down 1.0% in the quarter, due to the impact of regulatory changes.
In Poland, changes to Sunday trading regulations resulted in six fewer trading days and in Slovakia, changes to public holiday opening times resulted in four fewer days.
Combined, this impacted sales for the region by 1.0% to 1.5%.
During the quarter, the store also took a decision to close Tesco Direct, which will cease trading on 9th July 2018.
To read the full First Quarter Trading Statement, click here.