{"id":7725,"date":"2022-11-03T14:28:21","date_gmt":"2022-11-03T14:28:21","guid":{"rendered":"https:\/\/dmsretail.com\/RetailNews\/sainsburys-profits-fall-as-it-tries-to-keep-prices-low\/"},"modified":"2022-11-03T14:28:21","modified_gmt":"2022-11-03T14:28:21","slug":"sainsburys-profits-fall-as-it-tries-to-keep-prices-low","status":"publish","type":"post","link":"https:\/\/dmsretail.com\/RetailNews\/sainsburys-profits-fall-as-it-tries-to-keep-prices-low\/","title":{"rendered":"Sainsbury’s profits fall as it tries to keep prices low"},"content":{"rendered":"

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Sainsbury\u2019s chief executive Simon Roberts: \u201cWe really get how tough it is for millions of households right now.”<\/figcaption><\/figure>\n<\/div>\n
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\/\/ <\/span>Sainsbury\u2019s posted a dip in profits as the business swallowed some of the impact of soaring costs<\/h6>\n
\/\/ <\/span>The supermarket has stuck to its full year guidance for underlying pre-tax profit of between \u00a3630 and \u00a3690m<\/h6>\n\n

Sainsbury\u2019s half-year profits has fallen as it tries to keep prices affordable for cash-strapped consumers amid record-high inflation.<\/p>\n

The supermarket chain, which also owns Argos, said underlying pre-tax profit declined by 8% to \u00a3340 million over the half-year to September 17.<\/p>\n

The grocer also revealed that total revenues jumped 4.4% to \u00a316.4 billion over the half-year, compared with the same period last year.<\/p>\n

Grocery sales were up 0.2%, with the Big 4 grocer attributing the \u201cstrong growth\u201d to the easing of lockdown restrictions, market price inflation and warmer weather.<\/p>\n

The retailer stuck to its full year guidance for underlying pre-tax profit of between \u00a3630 and \u00a3690m.<\/p>\n\n

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The group said it has benefited from investment to help swallow cost inflation for key products and keep pricing lower for customers, with \u00a3500 million to be invested in pricing.<\/p>\n<\/div>\n

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Sainsbury\u2019s said it is \u201cwell placed through the peak trading period and into next financial year to support customers as they manage further cost-of-living pressures\u201d.<\/p>\n

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The group is halfway through a \u00a31.3 billion cost-saving programme, which has seen it shut down in-store restaurants and standalone Argos shops.<\/p>\n<\/div>\n

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It expects to close around 50 Argos stores this year as part of the previously announced plans, with around 25 Argos sites set to open within larger Sainsbury\u2019s shops.<\/p>\n<\/div>\n

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Sainsbury\u2019s chief executive Simon Roberts: \u201cWe really get how tough it is for millions of households right now. Customers are watching every penny and every pound and we know that they are relying on us to keep food prices as low as we can.<\/p>\n

\u00a0\u201cWe will have invested more than \u00a3500 million by March 2023 in keeping prices lower by cutting our costs at a faster rate than our competitors, meaning we have more firepower to battle inflation.<\/p>\n

\u201cOver the past year and a half we have consistently passed on less price inflation than our competitors and I am confident we have never been better value.\u201d<\/p>\n<\/div>\n<\/div>\n<\/div>\n

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