Morrisons posted a “solid” like-for-like sales rise of 8.1% in the third quarter of the year, aided by both fresh food and promotions, the supermarket said today.
In the 13 weeks to 2 November, total sales were up 9.5%, while including fuel they rose 14.9%, Morrisons revealed.
The company added that, despite it being a “difficult” time for shoppers, it is bringing an extra 700,000 customers through its doors each week as a result of its Price Crunch deals and the Market Street fresh food line.
Morrisons said its Optimisation Plan, launched to try and maximise brand value and increase market share, is also proving successful.
Chief executive Marc Bolland said: “In this challenging economic environment more customers than ever before are choosing Morrisons.”
The grocer said trading conditions will continue to be tough but that it has confidence in the strength in its “value proposition”.
Analyst James Monro, of S&P Equity Research, said: “We believe these results to be very healthy, particularly given the state of the UK economy, and highlight the strength of the Morrisons format as the recession deepens.
“We believe the results justify our view that Morrisons can generate solid momentum and gain good ground in market share, depending on the length and depth of the economic downturn.”
Morrisons announced that it has entered into an agreement with the Co-operative Group (Co-op) to buy 38 stores.
The purchase of these sites is conditional upon the Co-op’s acquisition of Somerfield being completed successfully.
Rival supermarket chain Tesco this week posted like-for-like growth of 2%, half its level of growth in the previous quarter.
Last quarter, Morrisons witnessed sales grow by 7.6%, despite it being a “tough” trading period.
