Tesco reports strong Christmas sales, maintains guidance, with investments in customer experience driving growth.
From Investing.com: 2025-01-09 03:48:53
Tesco reported strong Q3 and Christmas trading results, with UK like-for-like sales up 3.8% and Christmas sales rising 4.1%. Despite this, the company has maintained its full-year guidance. Shares were down 1.6%. Tesco’s ongoing investments in customer satisfaction and innovation have been key to its growth. In Ireland, Q3 sales grew 4.2% and Christmas sales accelerated to 4.8%. Booker rebounded from a decline to 1.4% growth at Christmas. Central Europe saw a surge in Christmas sales, up 4.7%. Tesco’s full-year EBIT guidance remains at around £2.9 billion. Free cash flow is expected to be between £1.4 billion to £1.8 billion. The company’s investments in customer experience are driving long-term growth. Jefferies sees any pullback as a buying opportunity. Food sales grew by 4.7%, with online sales surging by 10.8%. In Ireland, fresh food performance was strong, aided by the ‘fresh first’ program. Central Europe also saw positive results, with food sales up 3.7% and non-food sales rising by 1.8%.
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