Italian grocer Conad has reported a 5% increase in annual sales in preliminary data for 2013.

Conad said its turnover would reach EUR11.5bn (US$15.72bn), 5.4% higher than 2012.

The retailer said it had managed to increase its revenue in a year when Italian grocery sales in supermarkets and hypermarkets fell for the first time. The amount households spent on food was also down, dropping 1.8%.

Conad said promotional pressure continued to increase during the year, with Italy's economic woes having a pronounced effect on the south of the country.

Citing data from Nielsen, the retailer said its share of the total Italian grocery market stood at 11.3%, level with 2012.

However, Conad said it had "strengthened its leadership" in the supermarket channel, with its share of that market up 0.6 points to 18.2%.

Its share of sales in the convenience channel increased 0.3 points to 14.4%.