Sainsbury (j) Share Discussion Threads

[pirates4] 18/7/2023 16:00

Sainsbury to £10 one day

[philanderer] 18/7/2023 14:48

Grocery price inflation declined to 14.9% from 16.5%. This marked the fourth consecutive decline and is down from a peak of 17.5% in March.

The data showed that Sainsbury’s sales growth edged ahead, marking the first time since January that it has overtaken Asda and Tesco. It grew sales by 10.7%, with sales at Asda and Tesco up 10.5% and 10.2%, respectively.

Meanwhile, Aldi was again the fastest-growing grocer, with sales 24% higher, while Lidl sales rose 22.3%.


sharecast.com

[philanderer] 18/7/2023 00:00

High street dealt major blow as Argos set to close 100 stores with 7 shutting next month

[spob] 17/7/2023 08:20

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Stay well clear of supermarkets overloaded with debt

[lrj] 12/7/2023 21:22

By chance saw this, your choice. Thank you.

[loganair] 12/7/2023 11:34

UK Grocery market share as per usual does not include M&S which has 3.6% and therefore in reality the figure Kantar give for the other supermarkets is a little lower then they say.

..........June 2022..June 2023

Tesco.......27.3%.....27.1%
Sainsbury...14.9%.....14.9%
ASDA........13.7%.....13.7%
Aldi.........9.0%.....10.2%
Morrison.....9.6%......8.8%
Lidl.........6.9%......7.7%
Co-op........6.2%......5.8%
Waitrose.....4.8%......4.5%

As can bee seen Sainsburys UK grocery market share has remained exactly the same over the past year.

Aldi has gained 1.2%, Lidl 0.8%, meanwhile Morrisons have lost 0.8% even though they took over the 1,000 convenience store chain McColls with the Co-0p losing 0.4%.

Aldi/Lidl now have a combined 17.9% market share, which is an increase of 2.0% over the past year.

As I've been posting over the past several years, I'm expecting Aldi/Lidl market share of circa 22% by 2025 then any further increase is likely to stall out. In other words I'm expecting their market share to increase by a further 4% over the next couple of years, then they'll struggle to increase any further.

[loganair] 12/7/2023 11:17

What the Grocer had to say about Sainsbuy's latest trading statement:

Overall performance was driven by predictably strong grocery sales growth of 11%. However, Sainsbury’s surprised the market by returning to sales volume growth as it benefited from strong performance over bank holidays and warmer weather towards the end of the quarter.

Grocery growth was led by its convenience stores and supermarkets, as customers continued to return to stores. It also achieved market share gains, driven by the investment in price – most notably the launch of Nectar Prices in April – as it reinvested cost savings into customer value.

General merchandise sales were up 4%, with Argos sales up 5.1% as it benefited from strong demand and availability for electrical products, which mitigated weaker early summer seasonal performance. However, Sainsbury’s clothing sales were down 3.7%, affected by the cooler weather, with stronger sales in the later weeks of the quarter as the weather improved.



Retail analyst Nick Bubb noted “eye-catching” volume growth despite double-digit inflation, and highlighted the “impressive221; Argos growth amid a tough electricals market.


Barclays noted quarterly sales growth would likely trend lower from the supermarket’s second quarter onwards. The broker said: “The company took pains to mention a number of factors that will make growth more challenging in the coming quarters, including lower food inflation; tougher comps, fewer ‘events’ and the full impact of Argos closing all its stores in Ireland.”

However, it concluded: “Even with the cautious comments on the sales outlook we think Sainsbury’s underlying performance is strong in grocery and GM (based on market share gains).”

[pirates4] 12/7/2023 10:53

Scottish widows do.

[philanderer] 11/7/2023 00:26

Sainsbury's to close up to 100 more Argos stores

[bountyhunter] 07/7/2023 20:47

Yes on checking BP's finally salary scheme is indeed a legacy scheme having closed to new entrants in 2010.

[loganair] 07/7/2023 15:37

As far as I'm aware, there are no FTSE 100 companies that offer final salary pension schemes either for new entrance or current employees to still pay into.

I think the last finished in circa 2005. If was in one will be entitled to what they paid into up until that date and of course their are many 100,000 of thousands of pensioners who are are still drawing their final salary pension

[bountyhunter] 07/7/2023 15:20

On pension schemes I see that BP still has a final salary scheme but is trying to sell it off to an insurance company, should there be any takers!

[bountyhunter] 07/7/2023 08:42

Yes generally that's true I think except for the public sector where there has to be some compensation for the wage gap. Even in the public sector it's often career average now rather than final salary and with various other changes to reduce benefits.
I guess there are still a few remaining in the private sector, does Sainsbury's still have one, if it does I'm guessing not for new employees?

[rolo7] 07/7/2023 00:24

Totally agree final salary pension schemes have ended?

[bountyhunter] 06/7/2023 21:16

So which large companies are allowed to make a profit nowadays? The way things are going those without a finally salary pension will not be able to retire due to the negative effect of the FTSE underperforming on the majority of defined contribution pension schemes.

[stutes] 06/7/2023 15:21

I think consumers could be fed up with the perception big players are profiteering from cost of living squeeze and will switch their spending to smaller players in an action to punish the big players..

[pirates4] 05/7/2023 12:01

Me think only that because of cost of living every thing is sky high, and profits are taken. No-one us interested in sainsburys. When back at a stable price of goods there will be a lot of hype of news and acquisitions.

[loganair] 05/7/2023 11:46

Its all politicking and media hype - how is Sainsbury's profiteering when both margins and profits are falling.

Just to stay where they are, with 10% inflation, Sainsbury's profits would also need to rise by 10% when in fact profits are falling.

[loganair] 05/7/2023 11:44

Roberto Rivero, Admirals - "Whilst fuel sales have fallen, reflective of lower prices, total retail sales have grown year-on-year which is far from surprising. As high inflation pushes up input costs, Sainsbury’s needs to pass these higher costs on to consumers in order to preserve profit margins.

"Naturally, this has the effect of driving up revenue. But the real question is, how much have costs increased? And what impact has this had on margins? Sales may have increased but, depending on how much input costs have also increased, this won’t necessarily have translated into a rise in profit.

"UK supermarkets are a fairly low margin business and, last year, Sainsbury’s already low margins became even lower as soaring costs caused profit to fall. Until we see a normalisation in inflation, it is likely that supermarket margins will continue to come under pressure and it wouldn’t be at all surprising to see Sainsbury’s profits fall again in November when it releases its interim results."

[loganair] 05/7/2023 11:42

Russ Mould, AJ Bell - “If the overall value of a supermarket’s sales were not going up at a time of rampant food inflation something would be seriously wrong, but what’s more telling in the latest update from Sainsbury’s is news of an increase in volumes.

“Under Simon Roberts, who took over the business a little more than three years ago, there has been a renewed focus on its core food retail operation and this seems to be paying off. The market positioning of Sainsbury’s means it could be taking some business away from the more premium-priced Waitrose and Marks & Spencer, helping to compensate for any market share lost to the German discounters Aldi and Lidl.

“There will be wider relief at Roberts’ indication that food price inflation is starting to ease. The company’s general merchandise arm – in essence the Argos retail brand – is more exposed to economic uncertainty than the grocery division. After all, people need to eat, they don’t need to buy products like toys and electrical goods.

“SainsburyR17;s is at least being proactive in this area, working on efficiencies in the background so it can attract customers with keener prices in the foreground.”

[loganair] 05/7/2023 11:41

Orwa Mohamad, Third Bridge - "Sainsbury's has joined the loyalty card wars in order to bolster its market share against discounters and other supermarkets. Our experts predict that the competition among loyalty card systems will only intensify, with many retailers following the example set by Tesco's Clubcard.

"Discounters will pose an even more lethal threat to Sainsbury's and other supermarkets if consumers run into a mortgage crisis. According to our experts, this summer will be a crucial time when the big four need to outperform the discounters leveraging their fresh food ranges and non-food items."

"Continuing investment in product innovation will also be important to encourage shoppers to trade up to premium ranges, with Sainsbury’s looking to build on the 300 new products ranges launched during Q1."

"That said, it is far too early for Sainsbury's to declare victory. The competitive environment continues to heat up with Aldi, Lidl and Amazon all looking to expand in UK grocery. Cost pressures remain intense, for both Sainsbury's and its customers, meaning profits will likely go nowhere this year. But for now, the group is holding its own."