Asda announced a 6.6% increase in total revenues (excluding fuel) to £5.3 billion and 1.4% growth in like-for-like sales.
The Leeds-based supermarket said growth was led by George at Asda, which outperformed the fashion and homewares markets.
George, the UK’s third-largest fashion retailer by sales volume and the market leader in kidswear, posted a 3% increase in total clothing revenues.
Top performing categories included schoolwear, with sales up 11%, and homewares, where sales rose 11.7%, boosted by the launch of the brand’s new Stacey Solomon Spring/Summer collection.
Online grocery, representing 18% of food sales, reported a 5.6% increase in the number of average weekly orders in Q1.
Asda chief financial officer Michael Gleeson said: “Building on our strong full-year performance, today’s results are further evidence of the underlying strength of the Asda business.
“During Q1, we continued to help customers manage their household budgets by providing uncompromising value on food and non-food ranges.
“It was pleasing to see our investment in further enhancing the quality of our food, Aldi and Lidl price match, Asda Rewards, and George at Asda resonate so strongly with customers.
“Since the shareholder group acquired the business in June 2021, they have invested more than £3.5bn to grow the business organically and via strategic acquisitions and a further £800m to replace legacy Walmart IT infrastructure with new bespoke Asda systems.
“This has transformed Asda into a diversified retail group, with a significant presence in the fast-growing convenience and food-to-go markets.
“A key focus now is to invest in enhancing the customer experience in our larger supermarkets and superstores having done the heavy lifting converting acquired convenience stores to Asda Express.
“Earlier this month, we completed a significant refinancing, extending most of our debt obligations into the next decade following strong demand from investors.
“This provides us with a robust and stable capital structure and the capability to continue investing to deliver our ambitious long-term growth plans.”