British supermarket Tesco sales jump, upbeat on US launch
LONDON (AFP) — Britain's biggest retailer Tesco announced Tuesday that third-quarter sales surged and said its recent foray into the United States had been well received.
The world's third-biggest supermarket chain launched US stores last month under the "Fresh & Easy" banner.
Tesco said in a trading update that group sales leapt by 11.8 percent in the thirteen weeks to November 24 compared with the same period of the previous financial year.
In home market Britain, third-quarter sales excluding petrol grew by 4.1 percent on a like-for-like basis, which strips out the effect of new floor space. That chimed with market expectations of between 4.0 and 4.4 percent.
International sales soared by more than a quarter, boosted by a solid performance in Asia.
"We've maintained pleasing progress during the third quarter across the group," chief executive Terry Leahy said in the statement.
"Overall sales growth has strengthened in the period, with International delivering a particularly strong performance, and the UK has again done well, with good growth in our core food categories."
He added: "Our first Fresh & Easy stores in the United States have been very well-received by customers."
Fresh & Easy's product offer is designed for local customers and comprises more than 3,000 fresh food, grocery and other items.
So far, Tesco has opened 15 Fresh & Easy stores. The group aims to have 50 outlets by the end of the current financial year in February 2008, with the total rising to 200 by February 2009.
