Tesco suffers another fall 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."