Sainsbury’s profit climbs in tough UK market

Supermarket giant J Sainsbury posted annual profit towards the top end of expectations as it lured cash-strapped shoppers to its cheaper own-brand ranges and tapped into growth areas like convenience stores and internet shopping.

The group said profit before tax and one-off items rose 7 per cent to 712 million pounds in the year to March 17.

“Whilst the wider economic situation remains uncertain, we remain confident that our clear strategy, market insight and strong values will enable us to make further progress both in our core food and non-food businesses, as well as new channels and services in the year ahead,” chief executive Justin King said this morning.

Sainsbury’s has said it is well placed to benefit from the roster of summer events – Euro 2012 soccer, the Queen’s diamond jubilee, the Olympics and the Paralympics.