Tesco LFL sales grow as market share increases

(Sharecast News) - Supermarket chain Tesco said on Thursday that like-for-like sales had grown across the group as it continued to deliver market share gains. Group LFL sales were up 4.6% at £16.38bn, with LFL sales in the UK growing 5.1% to £12.3bn, while Ireland LFL sales were up 5.5% at £772.0m and Central Europe LFL sales improved 4.1% to £997.0m.

UK market share grew by 44 basis points year-on-year to 28.0%, with 24 consecutive four-week periods of share gains, while overall UK brand perception improved by 65 basis points year-on-year.

Food sales were up 5.9%, with a strong contribution from fresh food, while non-food sales grew 6.2% thanks to solid growth in home and clothing.

Tesco also reported growth across all channels, led by its online segment, where sales were up 11.5% and market share improved 163 basis points as the FTSE 100-listed group increased capacity and saw improving customer satisfaction.

Chief executive Ken Murphy said: "We are pleased with our performance across the first quarter. Our continued commitment to delivering great value, quality and service for our customers has contributed to like-for-like sales growth across all parts of the group.

"The market remains intensely competitive, and we are committed to ensuring customers get the best value in the market by shopping at Tesco."

As of 0745 BST, Tesco shares were untraded at 386.50p.

Reporting by Iain Gilbert at Sharecast.com