Asda has announced like-for-like sales growth of 0.7 per cent for the second quarter of 2013.
The figure marks a decline of 0.6 percentage points from the 1.3 per cent sales growth it posted during the first quarter but Asda CEO Andy Clarke insisted the Walmart-owned retailer is performing well in a 'tough market,' and is still the cheapest UK supermarket.
He said: 'We’re pleased with our results in a tough market. We continued to grow our sales while also investing in holding down the price of essentials, increasing access points to Asda’s value and putting money back in customers’ pockets when they need it the most.'
Moving forward, Clarke says Asda will accelerate its rollout of online grocery shopping collection stores to almost 250 sites by the end of 2013, and will maximise its relationship with parent company Walmart to bring new in-store and technology innovations to UK stores. Asda estimates that over 75 per cent of UK customers will shop through multiple channels this Christmas, with Walmart International CEO Doug McMillon pledging thatAsda will continue to invest in its core lines.
He added:“The UK is an example of where we are leading with a core strength, investing in price on essential food items. In the UK, we continued to grow both sales and operating income in the second quarter of the year, with operating income growing 7.5 per cent.
“However, the British consumer remains under pressure. Our price investment in food essentials and produce continued throughout the quarter, a key traffic driver which meant we grew market share in this category.The result was lower inflation across the overall basket for our UK customers.”
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