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Sainsbury’s has revealed that its retail sales jumped 6.5% for the 16 weeks ended 6 January 2024.
As a result of this the company has reiterated its expectations of an underlying full-year profit of between £670m and £700m.
Alongside this, the company’s grocery sales were up 9.3% while its Christmas grocery sales were up 8.6%, with stronger volume growth offsetting lower inflation.
The company’s general merchandise sales dropped 0.6% but they were up 1.5% when excluding the impact of Argos’ closure in the Republic of Ireland.
Furthermore, Sainsbury’s Christmas general merchandise sales were down 3.7% and 1.3% when excluding the impact of Argos closure in the Republic of Ireland.
It said these numbers reflect the “significant” benefit to sales last year from the postal strike and strong demand for energy saving products.
Simon Roberts, chief executive of J Sainsbury, said: “We’ve worked hard to really deliver for our customers this quarter and have grown grocery volumes ahead of the market for the fourth Christmas in a row. More customers are choosing to shop at Sainsbury’s, recognising our determined focus on value, product innovation and service.
“This was our first Christmas powered by Nectar Prices, helping customers save an average of £16 on an £80 Christmas shop. We delivered our best ever value Christmas roast and customers bought record numbers of pigs in blankets, mince pies and sparkling wine. Taste the Difference sales grew ahead of the market as families treated themselves.”
He added: “Across the quarter, Argos performed ahead of competitors in a highly promotional market. Argos delivered a strong Black Friday performance but a weaker Christmas against an exceptional performance last year.
“We enter 2024 with strong momentum and next month we will share our updated strategy, building on all we’ve done to put food back at the heart of Sainsbury’s over the last three years. There is a lot to be excited about and we remain absolutely committed to delivering for our customers, colleagues and shareholders.”
