J Sainsbury (SBRY) revealed big jump in sales, credit to extra hot weather
According to latest reports, UK’s second biggest supermarket J Sainsbury plc (LON:SBRY) sales of attire, summer food and paddling pools helped boost growth in the recent period.
Analysts said June’s warm weather had boosted sales at the firm, which also comprise Argos.
The company said like-for-like sales – which leaves out the impact of new stores – surged by 2.3%, apart from petrol.
Meanwhile J Sainsbury plc (SBRY) Chief executive Mike Coupe revealed his satisfaction with the results, which was its best growth in four years. It was reported that order for deals on British strawberries and its summer eating range contributed to Sainsbury’s grocery sales, which surged 3%.
Food price rise also added to sales improvement at the supermarkets. These results marks the best quarterly performance by Sainsbury’s in years, with sales rising across the board. Like the other major superstores, price rises is driving some of this sales growth.
Mr. Coupe said the company had managed to “keep a control over prices” and that the rise in own label goods had been a major accomplishment.
One of the most remarkable thing was the increase in attire sales, which was up by more than 7%, a very strong performance, in comparison to its rivals on the high street. A sign, perhaps, that customers are bit watchful while buying.
Mr Coupe said “inflation was coming through”, but that Sainsbury’s was working hard to keep prices down by making agreements with suppliers. He highlighted chicken, milk and broccoli, which he said were cheaper than three years ago.
J Sainsbury (SBRY) current sales figures showed an increase of rate from the previous quarter when sales surged by just 0.3%. The surge also topped outlook, with analysts having predicted like-for-like sales to go up 2%.