Morrisons hails healthy sales growth
● Supermarket’s tenth quarter in a row of rising group like-for-like takings
although first-half phasing will be impacted by the timing of payroll payments due to last year’s 53rd week.
“Our expectations remain unchanged and we are confident of another strong year ahead.”
Analysts have praised the turnaround plan being led by Potts, including his recent launch of the cut-price Wonky vegetable range and wholesale push through deals such as that with Mccoll’s.
Morrisons held onto its market share at 10.5 per cent in the most recent industry data from Kantar Worldpanel, while Tesco remained at 27.6 per cent, and Sainsbury’s and Asda both lost ground at 15.9 per cent and 15.5 per cent respectively.
Clive Black, director, head of research, at Shore Capital, said: “Morrisons’ Q1 trading statement represents a beat to expectations and is the tenth consecutive quarter of positive like-for-like sales growth, maintaining the ongoing self-improvement of the group. Total lifefor-like sales (ex-fuel) rose by 3.6 per cent (Shore Capital estimate 2.5 per cent).”
He added: “Morrisons is a group that is increasingly in control of its own destiny, robustly positioned for any Asda-sainsbury’s combination (should it happen).”