J Sainsbury Taking Market Share despite Lower Food Price Inflation, Higher Fuel Prices
J Sainsbury Taking Market Share despite Lower Food Price Inflation, Higher Fuel

The country's No. 3 grocer, J Sainsbury shared that it was taking market share, irrespective of the fact that lower food price inflation in addition to higher fuel prices gave it the weakest climb in the quarterly primary sales for five years.

J Sainsbury revealed that it was benefiting from a better-than-expected performance from the new stores. The firm which follows market leader Tesco and Asda in terms of revenues is also witnessing good development online, as well as, in non-food ranges.

Chief Executive, Justin King revealed that growth may remain at "very low" levels in the next quarter. In recent months, supermarket groups have been hit by a big drop in food price inflation. Shoppers have cut back groceries due to a jump in the petrol prices.

Sales at stores open at least a year mounted 1.1% excluding fuel and including VAT sales tax in the 12 weeks to June 12, which is the first quarter of its fiscal year, revealed Sainsbury, which runs about 525 supermarkets and 300 convenience stores.

Sainsbury's shares were set to open around 6 pence, or 2%, higher, revealed a trader. While total sales were up 7.6%, like-for-like sales including fuel were up 4.6%, shared Sainsbury.

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