Soaring online shopping helps sales at Tesco to reach £13.4bn
TESCO SALES have surged over the past three months, after rapidly expanding its online business amid increased demand for grocery deliveries in the face of coronavirus.
The supermarket group said group sales jumped by 8 per cent to £13.4bn in the three months to May.
It said this was particularly driven by a 48.5 per cent jump in UK online sales for the period, with online sales soaring by more than 90 per cent in May.
Tesco said it doubled its online capacity over a five-week period to help support vulnerable customers unable to go to its stores due to the outbreak.
The figures came during the final update by current chief executive Dave Lewis, who will be replaced by Ken Murphy at the end of September.
Mr Lewis has driven a major turnaround at the grocer following an accounting scandal in 2014.
He sold off numerous international
‘Through a challenging period, Tesco colleagues have gone above and beyond.’
arms of the group and co-ordinated the acquisition of wholesaler Booker during his tenure.
The Booker business reported “strong” retail sales growth of 23.5 per cent over the past quarter, but this was offset by a significant decline in its catering arm.
Dave Lewis said: “Through a very challenging period for everyone, Tesco colleagues have gone above and beyond, and I’m extremely proud of what they’ve achieved.
“Their selfless efforts, combined with our embedded strategic advantages in stores and online, have helped to ensure that everyone can get the food they need in a safe environment.
“The costs of doing this have been significant and only partly offset by business rates relief and increased volume.
“We see the balance as an investment in supporting our customers at a time when they need it most.”
Joe Healey, investment research analyst at The Share Centre, said: ““Despite the obvious difficulties at present, I think Tesco seems relatively well positioned.
“It was inevitable business models were going to be challenged but I feel Tesco’s pricematch and Booker exposure will stand them in good stead as customers start to return to their normal routines while in the search for good value.”