Chain looks to a big slice of non food and speedy growth overseas Tesco set itself ambitious growth targets as it reported a 9% rise in its interim pretax profits to £415m on turnover of £10.1bn. Chief executive Terry Leahy said: "We are progressing with our aim to be as strong in non food as we are in food. We are on track to secure a 6% share of the UK market. By 2002 we expect group non food sales to be £5bn." The group also revealed details of Tesco.com's figures with sales at £85m and a loss of £6m. However it claimed it was the world's biggest on-line grocer with 750,000 registered customers and sales of £5m a week. Deputy chairman David Reid said the group would accelerate its overseas growth, and was moving into profit in Hungary and Thailand, and Leahy predicted 45% of Tesco's space would be overseas by 2002. Some analysts had expected an announcement on a move in Malaysia. Reid admitted: "We are working on the practicalities of how to get up and running in Malaysia." A local partner and government approval is required. He also said Tesco was investigating the markets in Japan and China. Leahy disclosed that the company expected to achieve savings of £150m this year through increased efficiency. He said it had achieved extra productivity, reduced stockholding and improved availability with the continuous replenishment system, which is used for all ambient and products and is being trialled for fresh. Merchandisable units (ready to display units which are wheeled into the store) had also enabled staff savings to be made and were now used for 20% of groceries. Leahy also said the WorldWide Retail Exchange internet marketplace, of which Tesco is a member, had already displayed its worth in a trial and showed good potential to reduce costs. {{NEWS }}

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