UK retail giant Tesco today (12 January) reported its “strongest” Christmas in three years, boosted by a raft of price cuts and a surge in the use of Clubcard vouchers.
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Group sales increased by 7.5% at constant exchange rates (6.9% at actual rates) in the six weeks to 9 January.
Like-for-like sales excluding petrol and including VAT increased by 5.1% in the period – and 4.9% excluding VAT.
In the UK, Tesco said total sales outperformed the industry as a whole, increasing by 8.3% compared with the same period last year.
Tesco offered double points on its Clubcard loyalty scheme, which contributed 0.7% to the sales growth.
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By GlobalData“We’ve delivered a very strong performance over the Christmas and New Year period. It was a great Christmas for Tesco customers with an excellent seasonal range in store and online,” chief executive Sir Terry Leahy said.
The company added that online sales were “very strong” in both food and non-food, with total online sales growth reaching almost 20% in the six weeks.
Tesco’s overseas businesses saw sales increase of 4.1% at constant exchange rates and 2.4% at actual exchange rates.
In Europe, sales grew by 0.8% at constant exchange rates but fell by 2.2% at actual rates. In Asia, sales increased by 7.8% at constant exchange rates and 8% at actual rates.
In the US, Fresh & Easy had a “stronger” Christmas and New Year period than last year, with total sales growth of 35% at constant exchange rates (24% at actual rates) and strongly positive like-for-like sales growth.
Tesco’s preliminary results for 2009/10 are expected to be released on 20 April.
