
Tesco's Irish and UK sales growth accelerates in first quarter
The group, whose share of Britain's grocery market has grown this year to 28%, a level not seen since 2016, said today its UK like-for-like sales rose 5.1% in the 13 weeks to May 24, having been up 4.3% in the previous quarter.
Its Irish sales rose by 5.5% to £772m and it said it continued to see growth in market share to reach 23.3% - which marked 40 consecutive four-week periods of share gains.
Tesco said its Irish food sales rose by 5.8%, with volume growth supported by continued investment in its fresh proposition. Its Irish fresh food range received 10 Monde Selection awards, it added.
The retailer said it saw growth across all channels in Ireland, led by online with sales up 19.8% on the back of the launch of same-day Click & Collect and home delivery last year
Tesco said its group sales were £16.4 billion, up 4.6% on a like-for-like basis.
"Our continued commitment to delivering great value, quality and service for our customers has contributed to like-for-like sales growth across all parts of the Group," CEO Ken Murphy said.
But he cautioned that the market "remains intensely competitive".
Tesco said it still expected to report adjusted operating profit of between £2.7 billion and £3 billion in the year ending February 2026, down from the £3.13 billion achieved in 2024/25.
The group said in April it expected profit to fall in its 2025/26 year as it set aside cash to deal with a step up in the "competitive intensity" of the UK grocery market.
This marked a reference to a pledge of sustained price cuts from Asda, Britain's third biggest supermarket group, which has been losing market share.
Most analysts think Tesco's strategy of matching the prices of discounter Aldi on hundreds of key items, together with heavy promotion of its Clubcard loyalty scheme, which provides lower prices for members, is working well.
Tesco is also becoming increasingly digital, stepping up personalised engagement with customers and developing growth avenues such as its online Marketplace platform and retail media.
Shares in Tesco are up 27% over the last year.

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The Irish Sun
17 minutes ago
- The Irish Sun
Ireland's govt hit with €46k rent hike as taxpayer forced to foot €508k ambassador bill after ‘unsuccessful' negotiation
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Irish Examiner
2 hours ago
- Irish Examiner
Irish ambassador's rent sees €46,000 hike after latest London lease extension
The Department of Foreign Affairs was hit with a hike of more than €46,000 on the annual rent they pay for the Irish ambassador's residence in London. The department said it had little choice but to agree to the sharp increase even though it brought the cost of the property close to €10,000 per week. The new lease of €508,925 per annum — a rise of 10% — was signed off on because no better options were available, according to records released under the Freedom of Information Act. An internal submission said that the Irish ambassador to Britain had been living in the property in leafy Chester Square since September 2019. In late 2022, the department said it was interested in extending the lease. While the landlord was happy for the department to stay on, they said they wanted a 'substantial increase' in rent of over 11%. Department officials tried, 'actively but unsuccessfully,' to negotiate a much smaller increase in rent. The submission said: 'After several months, the landlord indicated that they would not accept any offer below £8,400 (€9,787) per week.' Suitable alternatives At the same time, the department had asked a property adviser to see if there were any other suitable properties in London. A report said the type of residence needed for the ambassador was only likely to come on the market half a dozen times each year. The property advisers examined eight properties in the area that had been let over a two-year period. They said only three of them had been leased for less than £7,000 (€8,156) per week, adding that the majority ranged from £8,000 to £12,000. A spokesman for the Department of Foreign Affairs said: 'Having given the matter careful consideration, and on the balance of market evidence available at the time, it was clear that a move would have no added benefit and would incur an additional cost to the Irish exchequer. 'The department decided to renew the lease for a three-year period to September 2026, with the option to break at relatively short notice should a more suitable alternative become available.'

The Journal
3 hours ago
- The Journal
Irish Ambassador's residence in London hit with €46,000 rent hike
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