Tesco sales ‘continue momentum’ fueled by fresh food growth


Tesco has strengthened its market share and volume growth as it “continued to build momentum” in the first quarter of the 2024/25 year.

In the 13 weeks leading to May 25, the UK’s largest retailer‘s like-for-like sales rose 4.6% in the UK to £11.36bn, while its market share was up 52bps to 27.6%.

The supermarket’s performance was primarily driven by an increase in food sales of 5%, which was coupled with consumer trends towards its premium range, Tesco Finest, where sales were up 12.5%.

All channels experienced growth, with online sales +8.9%, driven by volume growth and “strong” contribution from speedy delivery service Whoosh.

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Tesco added that its strong performance means it will maintain its forecast for retail adjusted operating profit of at least £2.8bn for the upcoming full year – up from £2.76bn in 2023/24.

Chief executive Ken Murphy said: “We’ve continued to build momentum in the business, with strong volume growth across the UK, Republic of Ireland and Central Europe supported by easing inflation.

“We continue to be the cheapest full-line grocer and are the most competitive we’ve ever been, with our value, product quality and service driving better brand perception and customer satisfaction. Tesco Finest growth was particularly strong in the quarter as customer perception of the quality of our products continues to improve.”

“We are looking forward to helping our customers celebrate a great summer of sport. We recently launched more than 100 new and exciting own brand products, including our Finest Dine In summer menu, based on classic pub dishes, and improved our Picnic & Deli, BBQ and Sweet Treat ranges.

“Following another strong quarter, we’re pleased to reiterate our guidance for the full year, with sales trends in line with our expectations and the business well-positioned for the months ahead.”



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