Asda’s LFL sales, excluding fuel, fell by 9.2% in Q1 2022. Credit: © ASDA.

British supermarket chain Asda has reported revenue of £4.641bn ($5.86bn), excluding fuel, for the first quarter (Q1) of the fiscal year 2022 (FY22), down by 9.2% from a year earlier.

For the three months to 31 March, the retailer’s like-for-like (LFL) food sales declined by 7% against the prior year, as the relaxation of lockdown measures saw more people eating out than a year earlier.

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Its sales of clothing and general merchandise fell by 19.3% and 23.7% respectively compared with Q1 2021.

Asda co-owner Mohsin Issa said: “The latest Asda Income Tracker highlights the stark reality facing millions of families in the UK right now, with household incomes more squeezed than ever.

“Asda has a strong heritage of investing in price and customers can trust us to be on their side when they need it the most.

“We are investing in helping our shoppers manage the challenges of the here and now, as well as progressing critical strategic initiatives including loyalty, convenience and enhancing our in-store offering, which will all deliver long-term value.”

During the quarter, Asda announced that it will increase the hourly pay of its shop floor colleagues from £9.60 to £10.10 as of July.

The retailer also appointed Ken Towle as Retail Director, who will be managing 640 stores.

Asda will welcome Kris Comerford as chief commercial officer for Food in the coming weeks and Michael Gleeson as chief financial officer next year.

Issa added: “They are great additions to our strong team and will bring a combination of experience and new thinking into the business at a time when we are focussed on doing all we can to help customers during these exceptionally tough times.”

In March this year, Asda partnered with same-day grocery delivery provider buymie to launch a one-hour personal grocery shopper service in the UK.