Tesco suffers another fall in sales

22 June 2015

tesco Even though they've been dropping their prices in a bid to woo customers back into their shops, Tesco are still seeing a drop in sales.

The supermarket is going to report a fall in like-for-like sales of between 2% and 2.5% for the last quarter, so say besuited City analysts. Tesco will actually release their trading statement at the end of the week, before they have their annual meeting in London, when shareholders will grill the board about the continuing balls-up that is their company.

Remember - pre-tax loss of £6.4bn.

One glimmer of hope, is that this decline in sales will be better than last year's 3.8% drop, but worth than the 0.3% drop during the Christmas period. We are legally obliged to mention that this is the fault of Aldi and Lidl, and everyone shopping there.

Tesco boss Dave Lewis reckons that Tesco is not likely to make any money in the UK during the next 12 months, as they're going to try and invest their way out of trouble. They're also going to sell all some assets, such as their South Korean wing and Dunnhumby, the company who brought us the ClubCard.

James Anstead, analyst at Barclays, said: "The apparent ease with which Tesco delivered an improved UK like-for-like sales performance over the Christmas period set expectations high."

"Since then sales have dipped somewhat, although if our forecast for 1Q is correct then this would still be an improvement over last year overall. We doubt this quarter will mark a decisive upturn in sales trends for the group, and we do not expect any significant update on asset disposals at this stage."

TOPICS:   High Street News


  • PlzNo
    Probably because prices aren't the only thing they are trying to drop. They're also stealthily dropping the quality and pack sizes of their products. Check your baskets, all.
  • Albi
    All the struggling supermarkets' default panic state is to announce they're 'lowering prices.' Yet they still don't seem to cotton on that the public aren't that stupid.
  • meh
    Perhaps they need to concentrate on being a supermarket again, rather than fucking everything, everywhere.
  • Topcaty
    Tesco were one of the first supermarkets to lure people away from the high street, and ultimately lead to the demise of the small shopkeeper, butchers, bakers, fishmongers, toy shops, off licences and many others had no choice but to shut up shop. I am so pleased to see them suffer now, they just don`t seem to get it, but the discounters know what the public want, and are doing a fine job of it.
  • Big M.
    Oh how the mighty have fallen.

What do you think?

Connect with Facebook, Twitter, or just enter your email to sign in and comment.

Your comment