UK-based supermarket chain Tesco has recorded a 7.6 per cent increase in group sales for the six-week period ended January 8, 2011.
Total international sales over the period grew at 14.2 per cent, with strong performances in all three regions: Asia, Europe and the US. In Asia, total sales grew by 24.2 per cent, with good like-for-like sales growth driven by particularly encouraging performances from Thailand and China. In Europe, total sales grew by 5.6 per cent (9.1 per cent at constant exchange rates). In the US, Fresh & Easy continues to perform well, helped by another successful Christmas and New Year period. Total sales grew by 36.9 per cent and like-for-like sales growth remained strong, continuing the good progress made in the third quarter.
Commenting on the company’s performance, Terry Leahy, chief executive, Tesco, said, “The group has continued to make good progress, helped by strong growth across our international businesses, which delivered over half of the group’s growth. Our performance remains solid, but was hindered in the run up to the important Christmas trading period in the UK by the disruptive effects of the severe winter weather conditions. Our staff and suppliers did a fantastic job in delivering a great shopping trip for customers in difficult circumstances.”
In the UK, the company witnessed a 4.2 per cent increase in total sales. Like-for-like sales increased by 0.6 per cent and sales from new space grew by 3.6 per cent, reflecting a strong contribution from some excellent recent new store openings.
Online sales of the company were strong in both food and non-food segments with double-digit total online sales growth. Tesco Direct had sales growth of 18 per cent, with a strong performance in toys, gaming and small domestic appliances, building on growth of more than 50 per cent last Christmas.
– IndiaRetailing Bureau