Asda reports fifth consecutive quarter of LfL growth
Today (16th Aug 2018), Walmart has reported its Earnings Results for the second quarter including results for Asda for the period (1st April 2018 – 30th June 2018)
The supermarket has seen a fifth quarter of positive growth as it posts a 0.4% increase in like-for-like sales. Removing the impact of Easter, like-for-like sales in the quarter grew by 2.6%.
“The supermarket improved versus the market in 2018 with a 12.5%* market share of total grocery sales according to the latest Kantar Worldpanel release.”
Commenting on Asda’s performance, Walmart President and CEO, Doug McMillon said: “In the U.K., comp sales were positive for the fifth consecutive quarter. We’re focused on improving the experience in our stores and providing great value for customers through lower prices, especially within our private label offerings.”
Walmart Chief Financial Officer, Brett Biggs said: “In the U.K., net sales increased 2.4 percent and comp sales grew 0.4 percent, which is the fifth consecutive quarter of positive comps. The Easter timing shift resulted in an approximate 220 basis point incremental comp headwind in the quarter. Asda is improving its relative position within the U.K. grocery market, and we saw improvement sequentially in market share trends.”
Asda President and CEO, Roger Burnley, said: “Our Q2 performance shows continued momentum for 2018 and this is the first quarter we have outperformed the market since 2014.
“We remain focussed on delivering our strategic priorities and investing in the areas that matter most to our customers - innovation in our own brand, lowering prices and in continuously improving our shopping experience both in store and online. “We welcomed an additional 285,000* customers to our stores over the quarter and grew online sales by 13.2% - and I am grateful to our colleagues for all their hard work.
“Whilst we’ll never be complacent I am pleased that we continue to work hard to do the right things for our customers, and are focused on providing the best possible shopping experience as we head into the second half of the year.”
Key highlights from the quarter include;* Asda achieved 13.2% growth in online grocery sales and 24.9% growth in George.com sales
During Q2, Asda extended its new own brand vegan range, with new products such as falafel burgers and sweet potato sausages
The supermarket also launched an own brand Extra Special Gin selection, including flavours such as rhubarb and ginger along with pink grapefruit and elderflower
Online, Asda improved its Free From offering, with a new filter option so customers can input their dietary requirements and shop for food suitable for their needs
Asda and FareShare celebrated a five year partnership which has seen almost eight million meals donated to charity
Asda now operates scan and go in over 133 stores
*Total Grocery Market Share, Kantar Worldpanel data for the 12 weeks ending 15th July 2018