Sainsbury(J) PLC (SBRY) - Trading Statement
RNS Number : 7697N
03 October 2012
Second Quarter Trading Statement for the 16 weeks to 29 September 2012
Good sales delivering continued outperformance
· Total sales for second quarter up 4.3 per cent (4.4 per cent excluding
· Like-for-like sales for second quarter up 1.9 per cent (1.9 per cent
· Total sales for the first half up 4.0 per cent (4.1 per cent excluding
fuel) and like-for-like sales up 1.7 per cent (1.7 per cent excluding fuel)
Justin King, Chief Executive, said, "This has been a unique and special
summer, during which we have delivered another quarter of good sales,
outperforming the market in what remains a challenging retail environment. Our
total sales are up 4.3 per cent, and like-for-like sales up 1.9 per cent.
The quarter began with the period immediately following the Jubilee
celebrations, and was characterised by unseasonal weather. The quarter ended
with the Olympic and Paralympic Games, which united and inspired the nation.
We were delighted to play our part in helping customers celebrate this summer
like no other, and are particularly proud of Sainsbury's association with the
We are seeing the benefit of our ongoing investment in our own-label ranges,
particularly by Sainsbury's, which is growing at its strongest rate in recent
years, and our Taste The Difference range, which is seeing near double-digit
growth. Our own label penetration is increasing at a faster rate than any of
the major supermarkets; a testament to the investment we have made in the
quality of our products.
As we approach Brand Match's first anniversary, it continues to reinforce the
competitiveness of our price position. Our customers tell us that they believe
it to be the simplest price guarantee in the market. We have also celebrated
the tenth anniversary of our partnership with Nectar which, when uniquely
combined with our coupon-at-till technology, helps to ensure that we reward
customers with great offers on relevant products.
Non-food has increased its pace of growth to around three times that of food.
Following the successful launch of our Denim Shop format, sales of jeans have
almost doubled year-on-year, and the quarter also saw our biggest ever
Schoolwear season, consolidating our number four market position.
Convenience stores continue their strong growth. We have opened 49 convenience
stores in the half, and are delivering our target of one to two per week. Our
online business continues to perform strongly, with growth of over 20 per cent
Over the quarter we grew space in line with our plans, opening 5 supermarkets,
28 convenience stores and 2 extensions, adding 267,000 square feet to our
estate. This brings the year-to-date total to 330,000 square feet.
At the recent Retail Industry Awards we won Supermarket of the Year for the
fifth time in seven years, Convenience Store of the Year for the third year in
a row, and a further three awards. We are proud that the hard work invested by
our colleagues across the country has been so consistently recognised by our
We expect the challenging economic backdrop to persist, but by helping our
customers to Live Well For Less through competitive pricing, targeted
promotions, quality own label products, and outstanding customer service, we
are positioned to perform well coming into the important Christmas period."
Investor Relations Media
Adam Wilson Katsibas Alex Cole / Tara Hicks
+44 (0) 20 7695 7991 +44 (0) 20 7695 7295
1. All sales figures contained in this trading statement are stated
including VAT and in accordance with IFRIC 13.
2. Like-for-like sales include the impact of changes in underlying VAT rate
and extensions as follows:
Q1 Q2 H1
Sales growth including fuel (%)
Total 3.6% 4.3% 4.0%
Like-for-like 1.4% 1.9% 1.7%
Sales growth excluding fuel (%)
Total 3.8% 4.4% 4.1%
Like-for-like 1.4% 1.9% 1.7%
Included in like-for-like sales (%)
Net contribution from extensions 0.7% 1.0% 0.8%
Impact from change in VAT rate 0% 0% 0%
3. Store investment programme 2012/13:
2012/13 Q1 Q2 H1
New 0 5 5
Replacements 0 (1) (1)
Extensions 1 2 3
Refurbishments 8 7 15
New 21 28 49
Closures 0 0 0
4.Certain statements made in this announcement are forward-looking
statements. Such statements are based on current expectations and are
subject to a number of risks and uncertainties that could cause actual results
to differ materially from any expected future events or results referred to in
these forward-looking statements. Unless otherwise required by applicable law,
regulation or accounting standard, we do not undertake any obligation to
update or revise any forward-looking statements, whether as a result of new
information, future developments or otherwise.
5.Sainsbury's also released today its Second Quarter Corporate Responsibility
update. This is available at
6. A conference call will take place at 8:30am. To listen to the audio
webcast we recommend that you register in advance. To do so please visit
www.j-sainsbury.co.uk prior to the event and follow the on-screen
instructions. To view the transcript of the conference call go to
www.j-sainsbury.co.ukand follow the on-screen instructions in the first
quarter trading statement section.
7. Sainsbury's will announce its 2012/13 Interim Results on 14 November
This information is provided by RNS
The company news service from the London Stock Exchange
TSTFSIFAEFESEFS -0- Oct/03/2012 06:00 GMT
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