Sales Growth Slows At Sainsbury’s; CEO Focused On Strategy Amid Takeover Activity

Including both the Sainsbury’s and Argos chains, the group’s like-for-like sales (excl. fuel) rose only 1.6% in the 16 weeks to 26 June compared to a rise of 11.3% in the previous quarter. However, the figure was better than analyst’s forecast of a 1.7% fall. This prompted Sainsbury’s to raise its annual underlying profit guidance from £620m to “at least £660m”, up from £356m last year when the business faced significant costs related to operating during the pandemic.

NamNews Implications:

• Sales growth slowing, yet up on 2019.
• But is it fast enough to remain independent?
• Bound to be a distraction for management…
• Especially with Asda under new ownership, Morrisons under takeover-scrutiny.
• Best for suppliers to anticipate takeover, by harmonising any major Prices & Terms at disparities, at least…More: https://lnkd.in/ePK6gGN

#PricesTermsDifferences #Takeover