Sainsbury’s: Another Strong Quarter With Positive Volume Growth

J Sainsbury reported a fiscal third-quarter trading update with like-for-like sales growth of 7.4%, excluding fuel sales. Grocery sales growth was robust at 9.3% year over year—Christmas grocery sales rose 8.6%, with stronger volume growth offsetting lower inflation. Clothing sales growth continued to decline, albeit at an improved rate, being negative 1.7% in the quarter and negative 6% during the Christmas period. As a comparison, clothing sales growth was negative 8.4% in the first half and down 14.6% in the second quarter. Meanwhile, Argos sales declined 0.9%, from being down 2.6% in the second quarter.