Sainsbury has recently published its First Quarter Trading Statement of the 16 weeks to 21 June 20 25 and the results are good. Good value, robust fresh food sales and increased customer participation in loyalty schemes has seen the company say it now enjoys its highest market share in the market compared to the year 2016. Non fuel increased the total retail sales by 4.9%. Comparable store sales without U.S fuel items increased by 4.7%. Year on year, all these numbers have increased.
N ascent in sales of grocery increased by 5.0%. Argos saw its increased sales by 4.4 percent despite the silent nature of the general merchandise market. Sainsbury was able to state that it is growing more rapidly than the target market during the third year in a row.
This has also seen sales of the fresh foods sold under the premium Taste the Difference range increase by 20 percent in the sunny spring season. The company has introduced over 450 new products with over 250 under Taste the Difference. Specifically, deli and picnic foods, particularly, the seasonal lines customers share, performed well.
Convenience And Online Sales Drive Growth
The sales increased by 6% in convenience stores, which was facilitated by the high satisfaction of customers and the Aldi Price Match campaign. The online groceries market also increased by 6% with larger baskets and increased total number of orders. Online satisfaction with services became higher as well.
In its More for More plan, Sainsbury completed significant remodeling in 21 stores that gave more space to food in the stores and altered store format. It has already established seven new convenience stores and two new supermarkets; they both perform better than expected.
The sale of clothes rose by 8 percent. Sales of womenswear increased by 13 percent due to purchase of seasonal items. The firm reported that Tu apparel was still performing well when compared to the market.
The Nectar loyalty remained expanding. More than 9,000 products belong to Nectar Prices at the moment. Over a million customers visit Your Nectar Prices every week in order to receive personal offers in shop and online. The brand will later in the year launch all the brands to a new media platform known as Nectar360 Pollen which will provide over 900 brands with their advanced retail media capabilities.
Argos as well expanded. The improved performance of websites and increased use of apps were among the factors contributing to a fulfilment as Argos completes store closure programme due to sluggish movement in stores. Another product innovation under the name Sainsbury was the deployment of the supplier-direct ranges with the brand names Bosch and Decathlon.
Sainsbury reported that it was on a trajectory to achieve a cost saving level of 1billion by March 2027. SmartShop usage has hit an all time high and Pay on Handset experiments are going on. The earlier announced store changes are enhancing quality of products being offered as well as managing the space used in food.
The quarterly non VAT sales came in at 8.9 billion pounds. Taking fuel into account, the total sales amounted to 10 billion pounds. Grocery contributed 7.3billion and Argos contributed 1.1billion.
In future, Sainsbury is projected to record approximately 1 billion pounds in profit on underlying retail business, and over 500 million pounds in free cash flow accounting over the entire 2025/26 year. FilmCraft to announce final results of the 28 weeks ending 13 September 2025 at 6 November 2025.
