Sainsbury’s boss says UK ‘through the worst’ of weak pound
Canada Goose Parka The boss of Sainsbury’s has said the UK is “probably through canada goose outlet in uk the worst” canada goose outlet vancouver of a weaker pound fuelling food inflation. Canada Goose Parka
After years of deflation, Brexit currency movements meant there had been a “little bit of canada goose coats uk food price inflation” this year, chief executive Mike Coupe told the BBC.
uk canada goose outlet But he said food prices this Christmas would still be “about the same as they were two years ago”. uk canada goose outlet
canada goose store His comments came as the retailer reported a canada goose outlet uk sale 9% fall in interim profits. canada goose store
However, the decline was not as bad as expected and sales rose.
canada goose clearance sale The UK’s second largest supermarket chain said profits came in at 251m in canada goose outlet locations in toronto the 28 weeks to the 23 September, while like for like sales excluding fuel went up by 1.6%. canada goose clearance sale
buy canada goose jacket cheap It said the fall in profits was due to price cutting, wage cost inflation and the consolidation of Argos. buy canada goose jacket cheap
Canada Goose sale Chief executive Mike Coupe said he was “very pleased with progress”. Canada Goose sale
‘Relatively limited’The value of sterling has fallen sharply since last year’s Brexit canada goose outlet toronto location referendum, pushing up the canada goose kensington parka uk cost canada goose outlet london of imports.
canada goose uk outlet Initially, retailers were protected against those increased costs canada goose outlet in toronto because they buy in advance, but more recently they have felt the effects of the currency devaluation. canada goose uk outlet
However, Mr Coupe said the “impact on customers had been relatively limited”.
canada goose clearance He said the retailer was aiming to limit price rises Look At This , despite the recent pick up in inflation. canada goose clearance
“Food price inflation as measured by the government is around 2% and inevitably the things that we import so they tend to be things like fresh foods get a little bit more expensive on the back of that,” Mr Coupe said.
canada goose “But we’re probably through the worst, if the truth canada goose outlet winnipeg address be told officialcanadagoosesoutlet , and actually even today’s prices are about the canada goose outlet 80 off same as they were two years ago, so we as a business have done a very good job of protecting our customers from canada goose outlet florida the more extreme challenges of inflation and the currency movements.” canada goose
The supermarket chain took over catalogue retailer Argos and Habitat last year in a 1.4bn deal.
canada goose coats In the past six months, Sainsbury’s has canada goose outlet new york opened a further 73 Argos canada goose outlet woodbury concessions in its stores, bringing the total to 112. It plans to have 165 by Christmas. canada goose coats
Mr Coupe said: “We have delivered a good performance across the group in the last six months.
canada goose uk shop “We canada goose outlet houston are now three years into delivering our differentiated strategy and are seeing clear results.” canada goose uk shop
Canada Goose Jackets Cost cutting plansSainsbury’s is looking to make cost savings amid fierce competition from discounters and rising food costs. Canada Goose Jackets
canada goose coats on sale It says it has exceeded its cost savings target and will have canada goose outlet boston managed to have saved 540m over the three years to the end of the current financial year. It also plans to make a further 500m of savings during the next three years. canada goose coats on sale
canada goose factory sale Mr Coupe said the chain was continuing to “focus on offering our customers great value, supported by our removal of multibuys”. canada goose factory sale
He was also asked whether discounters such as Aldi and Lidl were still making inroads into Sainsbury’s customer base.
“We have always worked on the assumption that the discounters will continue to grow. but we have planned our business on that basis and the way our customers are shopping is changing.
“They’re canada goose factory outlet toronto location shopping with us more frequently and you can see that in our convenience store business it’s grown at 8%, they’re shopping online, that’s grown at 7% and increasingly canada goose outlet store uk they’re canada goose outlet mall shopping non food with Sainsbury’s, so for instance, our clothing business grew by 7%.”
‘Muted’ improvementThe company said its full year profit forecast remained “in line” with market expectations.
However, Sainsbury’s share price fell more than 3% following the release of the results. It subsequently recovered some ground and closed 2.1% lower.
Molly Johnson Jones, senior Retail Analyst at GlobalData, said Sainsbury’s “momentum” from the first quarter had not been maintained.
Canada Goose Online “Of all of the grocers, canada goose outlet parka Sainsbury’s improvement seems the most muted, and a focus on profitability must be maintained in order to prevent further investor discontent.” Canada Goose Online.