Asda Q1 trading update – Steady improvement in performance

Asda today announced its Q1 results for the period ending 31st March 2026, highlighting continued progress against its Formula for Growth turnaround plan.

Performance highlights:

• Total revenues excluding fuel £5.0bn, 1.5% down year-on-year.

• Like-for-like sales improved from (4.2%) in Q4 to (0.8%) in Q1, and (1.3%) on an Easter-adjusted basis.

• Performance driven by strong operational inputs, with availability maintained at an eight-year high of over 95% throughout the quarter.

Continued investment in key categories widened Asda’s price advantage versus full-range supermarket peers, as reflected in independent comparisons by Which? and The Grocer.

Asda Express continues to outperform the wider convenience market delivering seven consecutive quarters of growth. New partnerships with third-party food brands will drive further momentum in small stores.

Allan Leighton, Asda’s Executive Chairman, said: “In our previous trading update, I described performance as edging forwards and this continued through Q1, finishing the quarter broadly where we expected to be.

“This progress is due to the stabilisation of our core systems, which has enabled us to deliver ongoing improvements in availability, price and customer satisfaction. It has also given us the confidence to launch ‘Take a Fresh Look’ – an open invitation for shoppers to come back and give Asda another go. We’re confident they’ll see the difference straight away when they do.

“Today, we also announced a partnership with Ocado Group that will significantly improve our online business. It will bring the best-in-class technology and, importantly, enable us to compete more strongly in this fast-growing channel. This is a clear statement of intent and will put us in a much stronger position for the future.”

Michael Gleeson, Asda’s Chief Financial Officer, said: “We traded the first quarter in line with expectations and significantly improved vs Q4, supported by continued operational stability across our core systems, giving us the platform to operate more consistently and effectively. This was underpinned by continued disciplined cash management and a strong capital structure, with all debt maturities addressed through to 2028. Looking ahead, we expect to run the business with greater consistency and build on the progress made in Q1 as we deliver our Formula for Growth.”