Tesco has maintained its strong growth into the third quarter, the UK’s number-one retailer announced yesterday (Tuesday).
UK like-for-like growth in the quarter, excluding petrol, was up 5.6 per cent, according to Tesco figures. Total sales growth was 8.5 per cent.
The increase in market prices for produce and meat, as well as higher energy costs, meant that stores saw an inflation of 0.8 per cent.
But the supermarket giant said it expects these inflationary pressures to subside in the months ahead.
The 2006 programme for UK expansion is on track and almost a third of the total footage is set to open in the fourth quarter, according to Tesco.
A total of seven new Tesco stores were opened last week - including a flagship environment store in Wick that is expected to have a 50 per cent smaller carbon footprint than comparable stores.
The launch of Tesco Direct has strengthened the performance of Tesco.com, according to the statement.
The trading figures show that international sales in the third quarter increased by 17.9 per cent at constant exchange rates, a similar rate of growth to the first half, up 17.5 per cent at actual rates.
Plans to open more than 300 stores with a total of more than 4.5 million square feet of sales area overseas will be actioned in the second half this year, according to Tesco.
The next trading update will be on January 16, 2007, and will cover the Christmas and New Year period.
