Morrisons sales up 3.4% despite food inflation

Bradford-based supermarket group Morrisons said its group like-for-like sales excluding fuel were up 3.4% in the 13 weeks to April 30.

“There was some inflation during the period, as imported food prices were affected by lower sterling,” said Morrisons in a trading statement.

“Irrespective of these external pressures, we remain focussed on the journey towards a Morrisons price list and becoming more competitive for customers, and we introduced another wave of ‘Price Crunch’ lower prices just this week.

“We performed well throughout the quarter, especially during the key events of Valentine’s Day, Mother’s Day and Easter.

“We continue to serve our customers better, with satisfaction levels again improved, shorter queues during the busiest periods such as Easter, and our new ordering system successfully introduced across more of our range.”

Morrisons said it further expanded its ‘Best’ range and introduced a healthy eating ‘Eat Smart’ range.

Its new Nutmeg clothing Womenswear offer was introduced into more than 50 stores, and the Nutmeg brand was extended into baby and child accessories.

Morrisons launched a new website, flowerworld.co.uk, offering a range of fresh bouquets for free next day delivery to customers anywhere in Britain, and introduced a new online and in-store ‘Food to Order’ offer for Spring-Summer allowing customers to pre-order for parties or other special events all year round.

It said “Morrisons at Amazon” continued to grow with same-day and one-hour delivery service recently extended into more London postcodes.

Morrisons CEO David Potts said: “Our new financial year has started well, thanks once again to the dedication of our team of food makers and shopkeepers.

“We are improving the shopping trip in many different ways, which is making Morrisons more popular and accessible for customers.

“These new initiatives in-store, online, in wholesale and services are beginning to build a broader, stronger Morrisons.

“We are confident we will continue to turnaround and grow Morrisons.

“Our expectations and guidance for 2017-18 are unchanged, including year-end net debt of less than £1 billion.”