- Asda third-quarter like-for-likes slide 5.8% in three months to September 30
- Ninth consecutive quarter of falling like-for-likes
- Net sales slip 3.8%
Asda has posted a ninth consecutive quarter of falling like-for-likes as the Walmart-owned retailer reported a 5.8% slide in comparable sales.
The drop comes off the back of a 7.5% fall in like-for-likes in the grocer’s second quarter – which was Asda’s worst quarterly sales performance.
Asda said today net sales in the three months to September 30 fell 3.8%. Operating profits also declined in the quarter, but a figure was not disclosed.
Kantar data released this week revealed Asda’s UK market share has dropped to 15.5%, compared to 16.4% in November last year as it faces intense competition from grocery rivals.
Walmart chief financial officer Brett Biggs said today: “The key priority remains driving an improved customer experience and building sales momentum by simplifying the offer, improving product availability and making strategic investments in service and price.”
New Asda boss Sean Clarke, who was parachuted in from Walmart’s Chinese business in July to replace Andy Clarke, continues to face an uphill battle to revive the retailer’s sales in the face of intense competition.
In September Asda launched two successive rounds of price cuts in a bid to tempt shoppers away from rivals.
Clarke said today: ”We have lowered thousands of prices, improved hundreds of own brand products and invested in more hours for colleagues on the shop floor - so it’s encouraging to see more customers shopping with us in stores and online.”
In its last full-year, the grocer’s bottom line held up as pre-tax profits rose 5.9% to £974.9m in the year to December 31, 2015.