- Sainsbury’s sales up 5.2% in Q3.
- Sales growth in the Christmas period gained 7.1%.
- Profits now expected to be towards the upper end of its £630m and £690m range.
Sainsbury’s reported its Q3 trading statement on Thursday, announcing record Christmas sales as consumers managed their budget and treated themselves during the cost-of-living crisis.
People were still keen to take advantage of the deals, with sales also boosted by the World Cup as more people stayed home, according to the grocer.
The supermarket reported total retail sales were up 5.2% in Q3, driven by a 5.6% gain in grocery sales year-on-year and a better than expected growth in its general merchandise, which was up 4.6% in the third quarter. Argos also reported growth in sales YoY, ensuring its less essential items remained popular despite the cost-of-living crisis weighing heavily on consumer spending.
Elsewhere, the Christmas period saw total retail sales growth of 7.1% for Sainsbury’s. The group saw excellent demand in its grocery sales, up 7.1% and in Sainsbury’s general merchandise, which gained 9.1% during the festive period.
“We delivered the best possible Christmas for customers as millions of households managed their budgets differently, hosting larger gatherings again and treating themselves at home,” said Chief Executive Simon Roberts.
The company’s lower prices and value for goods resonated well with consumers, with Roberts adding that the “determined focus on delivering the best value alongside new and exciting festive food plus outstanding customer service and availability meant we delivered record sales.”
As a result, profits are now expected to be towards the upper end of the guidance range of £630m to £690m.