Morrisons reports sales growth for second straight quarter

Morrisons, the UK’s four largest supermarket chain, has once again reported a slight rise in quarterly underlying sales for the second consecutive period.

In the 13 weeks ending 1st May, like-for-like sales excluding fuel were up 0.7%, which beat the the 0.1% growth seen in the previous quarter.

Total sales excluding fuel were down 1.8%, but Morrisons said this was impacted by the supermarket closures and exit of the M local chain.

Online contributed 1% to like-for-like during the period, whereas fuel like-for-like was positive despite deflation of almost 11%.

Like-for-like transactions were also up 3.1% in the quarter as the supermarket chain claimed the volume growth was “strong”.

There was a 17% year-on-year increase in sales of ‘Food to Go’ following thel launch of many new products.

The Bradford-based supermarket chain claimed it is still committed to a net debt target of £1.4bn to £1.5bn by year end.

David Potts, chief executive, said: “We are encouraged by progress across our six priorities. There is still much to do and our colleagues are working very hard to improve the shopping trip and save customers every penny we can.

“Customers are responding and satisfaction levels remain ahead of last year. We are of course pleased with a second consecutive quarter of positive LFL sales, which demonstrates our aim to stabilise trade is taking effect.”

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