Tesco’s UK sales growth slows in latest quarter By Reuters

© Reuters. FILE PHOTO: A man looks at products on a shelf inside a Tesco Extra superstore near Manchester, Britain, January 8, 2020. REUTERS/Phil Noble/File Photo

LONDON (Reuters) – Tesco (OTC:), Britain’s biggest retailer, reported a sharp slowdown in underlying UK sales growth in its first quarter, reflecting a tough comparison with the same quarter last year when the country was in the grip of its first COVID-19 lockdown.

The group said UK like-for-like sales, excluding fuel and VAT sales tax, rose 0.5% in the 13 weeks to May 29 – ahead of analysts’ average forecast of a fall of 1.0% but down from growth of 8.8% in the previous quarter.

Comparing the quarter with the same quarter in 2019, before the pandemic impacted trading, UK like-for-like sales were up 9.3%.

Tesco, which has a 27% share of Britain’s grocery market, maintained its profit guidance for the full 2021-22 year.

“While the market outlook remains uncertain, I’m pleased with the strong start we’ve made to the year and continue to be excited about the many opportunities we have to create value over the longer term,” said Chief Executive Ken Murphy.

Tesco has guided to full year retail operating profit on a continuing operations basis in 2021-22 to be at a similar level to 2019-20’s outcome.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.