British supermarket chain Sainsbury’s has reported total retail sales of £16.29bn ($21.08bn) in the first half (H1) of fiscal 2024/25, marking a growth of 3.1% compared to £15.8bn during the same period in 2023/24.
Sales in Sainsbury’s excluding fuel, increased by 4.6%, with grocery sales experiencing a growth of 5.0%, while general merchandise and clothing sales saw a decline of 1.5%.
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Additionally, Argos sales decreased by 5.0%, and fuel sales fell by 4.4%.
The retailer’s underlying operating profit for the 28 weeks ending 14 September 2024 stood at £503m, reflecting an increase of 3.7%.
This growth was supported by strong performance from Sainsbury’s and Nectar, although it was partially offset by a lower contribution from Argos.
Total underlying profit before tax for Sainsbury’s reached £356m, up 4.7% from £340m in H1 2023/24.
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By GlobalDataIts total underlying basic earnings per share (EPS) rose by 1.9% to 10.7p in H1 2024/25, compared to 10.5p in the previous year.
The retailer’s statutory profit after tax was reported at £76m, down by 51% from £155m in the same period last year.
Sainsbury’s total statutory basic EPS were 3.2p, down by 52% from 6.6p in H1 2023/24.
Sainsbury’s chief executive Simon Roberts said: “Our food business is going from strength to strength and we’re making the biggest market share gains in the industry, with continued strong volume growth. More and more customers are coming to us for their big food shop, recognising our winning combination of value, quality and service.
“Our brilliant colleagues and suppliers are at the heart of everything we do and I want to thank them for all their hard work as we set ourselves up to deliver a fantastic Christmas for our customers. As we head into the festive season, there is real energy and excitement at Sainsbury’s and Argos and we’re expecting another strong performance.”
For the full year, Sainsbury’s continues to anticipate delivering retail underlying operating profit between £1.01bn and £1.06bn, representing growth between 5% to 10%.
The retailer also expects to generate retail free cash flow of at least £500m.
Recently, Sainsbury’s revealed plans to introduce the Aldi Price Match offer in its Local convenience stores – a first in the UK grocery sector.
