Sainsbury (j) Share Discussion Threads

[spob] 11/1/2023 07:39

Xmas dinner plus ALL trimmings and desert was only £4 in Sainsbury's this year.

[bountyhunter] 11/1/2023 07:29

Sounds good to me.

Third Quarter Trading Statement for the 16 weeks to 7 January 2023

Strategy delivering volume market share gains and record Christmas

Trading Highlights
Christmas and Q3 Grocery volume performance ahead of the market for the third consecutive year(1) , driven by investment in value, innovation, service and availability. General Merchandise growth stronger than expected, reflecting market share gains(2) as customers trusted Sainsbury's and Argos for value and the speed and certainty of Argos Fast Track delivery and Click & Collect.

-- Q3 retail (exc. fuel) sales up 5.2%. Like-for-like sales up 5.9%, reflecting inflation and relatively resilient volume trends

-- Q3 Grocery sales up 5.6% and General Merchandise sales up 4.6%. Grocery sales 12.5% ahead of pre-pandemic levels

-- Christmas sales up 7.1%, with Grocery sales up 7.1%, General Merchandise sales up 7.4% and Clothing sales up 5.1%


-- Profits expected to be towards upper end of guidance range GBP630m to GBP690m(3)
-- Retail free cash flow expected to be around GBP600m, ahead of previous guidance of at least GBP500m...

[spob] 10/1/2023 06:51

“We are very aware of how tough it is going to be as bills land after Christmas. Energy bills are a real concern,” Roberts says.




“My biggest hope for this year is that inflation comes down. It is impacting every household and every business. Bringing it under control must be a priority [for the government] and front of mind.”

Despite that hope, Roberts admits that with the war in Ukraine continuing, limiting availability of some key foodstuffs such as grain as well as oil and gas, he expects inflation to fall but not go away this year.

Labour costs are also an issue, with Sainsbury’s last week announcing its third pay rise in a year, taking hourly wages to at least £11, amid fierce competition for shop workers that has also prompted rivals such as Tesco and Aldi to institute multiple pay rises.

“There are pressures coming up with energy costs,” Roberts adds. “In food production there is a lot of energy consumption.”

My biggest hope for this year is that inflation comes down. It is impacting every household and every business

He says government help with energy bills has helped keep food producers going, especially small and medium-sized companies, and it will continue to be important, but stresses that businesses need to find ways to cut costs now that the government is moving to reduce support.

[dipa11] 09/1/2023 18:41

hTtps://www.britishbulls.com/m/SignalPage.aspx?lang=en&Ticker=SBRY.L

[philanderer] 09/1/2023 13:47

‘It’s going to be tough’: Sainsbury’s chief on price cuts, inflation and energy costs

Simon Roberts says supermarket is ‘thinking differently’ as it seeks new ways to compete with Morrisons and Asda

[philanderer] 09/1/2023 13:38

Shore Capital’s Clive Black said the retailer has “traded robustly” recently and suggested that grocery retailers could have gained market share across the retail sector last month.

He added: “With a postal strike hitting elements of the online retail trade from mid-December, we will observe with interest how Argos performed through the Christmas period as well.”

Sainsbury’s has been among retailers to focus heavily on investing to keep prices low, amid inflationary pressures and the rapid growth of German discounter rivals Aldi and Lidl.


City AM

[dipa11] 06/1/2023 20:10

Https://www.shorttracker.co.uk/company/GB00B019KW72/

[bountyhunter] 06/1/2023 13:38

Retailers seem to be on a roll!

[philanderer] 06/1/2023 11:08

Goldman Sachs raises Sainsbury price target to 225 (195) pence - 'neutral'

[chiefbrody] 05/1/2023 22:38

400p (hell 600p) once upon a time but not any more. I best most shareholders would gladly let go for circa 350p. I'd sell the east of mine for anything stating with a 3 now. Sains might as well be state owned the way it's run.

[oracle14] 05/1/2023 15:42

Bid on the way in my opinion …this rally started at 209 you need to look at the candle at 439 …
200 above the present price …
So 439 - 209 =230 then divide by 2 = 115 add 209 ..makes the first target 324 look at the monthly chart at position top of candle 324
Looks very possible to me….not saying we do not dip 20 to clear long positions if a bid comes….439 would a fair value imo

[spob] 05/1/2023 08:13

Sainsbury’s raises hourly pay to £11


Move will cost retailer £185mn over course of a financial year


Jonathan Eley

Financial Times

4 January 2023


J Sainsbury will become the first big supermarket to pay shop-floor staff £11 an hour as it brought forward its annual pay review by a month in response to cost of living pressures.

The increase from £10.25 to £11 — with London-based staff earning £11.95 an hour — will apply to 127,000 employees in stores and distribution centres from February and will cost the retailer £185mn over the course of a financial year.

Simon Roberts, chief executive, said the group was “acutely aware of how tough things are for millions of households this winter”.

“It’s our job to support our colleagues as they face rising costs,” he added. “This is a massive investment that reflects the real challenges our people are facing right now”.

Dave Gill, national officer at shop workers union Usdaw, described the pay awards as “unprecedented” and said they would “make a significant difference to our members”.

“With the cost of living continually rising, we have kept open our dialogue with Sainsbury’s and we are pleased the business has responded so positively,” he added.

The move comes after discounter Aldi said last year it would pay all store staff £11 an hour and £12.45 an hour within the M25 from January.

Rising wage costs are a big issue for supermarkets, which employ hundreds of thousands of people in stores and depots. Sainsbury’s, the UK’s second-largest supermarket chain, spends more than £3bn a year on wages and salaries and said its per-hour wages had risen 38 per cent over six years. Pay has increased by 10 per cent over the past 12 months alone.

The group came under pressure last year from a coalition of investor groups to adopt the real living wage, a non-statutory pay rate based on the cost of living. But the resolution was heavily defeated at the company’s annual meeting.

Like others, Sainsbury’s balked at the idea of committing to implement wage increases decided by third parties even though its increased pay rates match or exceed the current real living wage of £10.90 an hour outside London and £11.95 in the capital.

Wage inflation in retail was initially driven by increases in the UK’s statutory minimum wage after the introduction in 2015 of a “national living wage” for the over-25s, then set at £7.20 an hour.

That has since increased to £9.50 an hour — though all the large supermarket groups are already paying more than £10 — and will rise to £10.42 in April. It applies to everyone over the age of 23.

More recently, the sharp fall in inward migration from the EU following Brexit and the withdrawal of large numbers of older workers from the employment market have compounded staff shortages in lower paid sectors.

In addition to competing on headline hourly rates, retailers are increasingly beefing up employment benefits packages. Sainsbury’s said that alongside its latest wage rises it would extend free food during shifts for another six months and additional discounts at Argos, its general merchandise subsidiary.

Sainsbury’s plans to fund the cost of the increases through its “save to invest” programme, which aims to reduce costs by £1.3bn by 2024.

Like other retailers it has increased automation, most visibly in the form of self-checkout tills, and cut back on labour-intensive activities that do not add much to profits, such as in-store cafés and fresh meat and fish counters.

It has also cut salaried jobs elsewhere, including at manager levels in stores, and introduced more flexible contracts that reduce demarcation and provide for equal hourly pay regardless of age. Even so, the group’s total staff count, at around 118,000 full-time equivalent roles, has changed little over the past five years.

[philanderer] 04/1/2023 19:42

Supermarket chains Tesco and Sainsbury's rose between 2% and 4% after data showed British grocery sales rose 9.4% in the four weeks to Dec. 25, driven by price inflation rather than increased purchasing

Alliance News

[bountyhunter] 04/1/2023 18:54

Found it, I'll update the calendar link in the header!

Upcoming Events
11 January 2023

Third Quarter Trading Statement 2022-23

[bountyhunter] 04/1/2023 18:52

Trading statement must due be soon, 12th Jan last year.

[philanderer] 04/1/2023 14:34

Cost of living: Sainsbury's brings forward 'biggest ever pay boost' for hourly-paid staff


Sainsbury's said its supermarket and Argos workers outside London would get at least £11 an hour, up from £10.25, from February.

Those working in the capital would see their hourly wage rise from £11.30 to £11.95, the company said.

[smurfy2001] 04/1/2023 14:25

Inflation pushes UK monthly grocery spend above £12bn for first time

[loganair] 04/1/2023 14:13

For December Lidl sales up 23.9%, Asda 6.4% and Sainsbury's 6.2%, Tesco 6.0% while Morrison saw a decrease of 2.9%.

As food inflation is running at circa 15%, any sales increase less than 15% means the supermarket is selling less stuff.

[imperial3] 04/1/2023 12:36

Share price looking good today.

[bountyhunter] 03/1/2023 12:36

But surely they should be given the return to the High Street this December vs Omicron December in 2021.

[loganair] 03/1/2023 11:04

Just being reported that Aldi sales are up 26% this December compared with December 2021.

[loganair] 03/1/2023 10:31

J Sainsbury:


2022 has been a bruising year for the UK’s established grocers like Sainsbury’s (LSE:SBRY).

Takings have been hit hard by falling demand for food and other essentials. At the same time their margins have shrunk as they’ve slashed prices to tempt shoppers through their doors.

A subsequent fall in the J Sainsbury share price now leaves the grocer looking extremely cheap on paper. At 218p per share, it trades on a price-to-earnings (P/E) ratio of 10.5 times. The forward dividend yield meanwhile clocks in at a market-beating 5.7%.

Pleasingly, the cost-of-living crisis is tipped to moderate during the second half of 2023. So shoppers could have more money to spend in Sainsbury’s.

But the business still has to grapple with the long-term problem of rising competition, a battle it’s shown little sign of winning. Its market share has dropped 1.7% over the past 10 years as discounters Aldi and Lidl have expanded.

Earlier this month, Sainsbury’s announced plans to invest another £50m to bring down prices. As a potential investor, I want to see the firm do more to defend itself. Profits-sapping price cutting hasn’t worked yet and I think the business is pouring away good money after bad.

The FTSE 100 firm also faces prolonged staff, energy and product cost inflation that could persist long beyond 2023. This low-cost share carries far too much risk for my liking.