Tesco said its profit guidance for the coming year remained “unchanged” despite experiencing a 1.5 per cent fall in underlying sales in the first quarter of 2022.
Britain’s biggest grocery store recorded its sales for the first 13 weeks up until the end of May, and said its profit and cash outlook will stay the same despite the ongoing cost of living crisis impacting upon its growth. The group’s overall retail sales, including in Ireland and with catering, were up 2 per cent compared to last year during lockdown.
The retail giant also said its bank sales were up nearly 40 per cent, owing to a recovery in card sales and travel money.
“Whilst the market environment remains incredibly challenging, our laser focus on value, as well as the daily dedication and hard work of our colleagues, has helped us to outperform the market”, said Ken Murphy, Chief Executive.
“Although difficult to separate from the significant impact of lapping last year’s lockdowns, we are seeing some early indications of changing customer behaviour as a result of the inflationary environment.”
“Customers are facing unprecedented increases in the cost of living and it is therefore even more important that we work with our supplier partners to mitigate as much inflation as possible.”