Asda CEO Roger Burnley said today the retailer had to “challenge the status quo” if it was to remain relevant, after it posted a 1% increase in sales for the fourth quarter.
The Walmart-owned supermarket - whose planned merger with Sainsbury’s is facing a crucial provisional findings report in the probe by the Competition & Markets Authority in the next few days - reported its seventh consecutive quarter of year-on-year growth.
However, the growth was slower than the 2% rise in the previous quarter, with Burnley admitting Asda had been hit by “uncertainties” over Brexit.
“It’s clear that 2018 was another challenging year for the retail market and the pace of change shows no sign of abating,” said Burnley. “Retailers have to be prepared to innovate and challenge their status quo if they want to continue to remain relevant and deliver for their customers, who rightly demand great value.
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“That is why I’m pleased that our Asda strategy has continued to deliver positive momentum and the right offer for our customers. During the fourth quarter our own-brand continued to grow ahead of the market with even more customers enjoying innovative products within our Extra Special range.
“I’m immensely proud of our colleagues for their hard work in 2018 to keep the business moving in the right direction and I’m delighted that once again we will be able to reward their hard work by paying all of our colleagues a bonus in spite of the challenging market we face.
“The year ahead looks no less turbulent than the last, with uncertainties around Brexit playing on our customers’ minds. Whilst I am pleased with our performance in 2018 we must remain focused on ensuring the long-term sustainable success of Asda for our customers.”
The results cover the period 1 October 2018 to 31 December.
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