Sainsbury’s (LON:SBRY) has reported a fall in quarterly sales, ending a nine-year run of growth for the supermarket giant.
In the ten weeks to March 15, like-for-like sales at the supermarket group fell 3.1% stripping out petrol sales. Total sales were down 1.5% (1% excluding fuel).
The company said it faced tough comparatives last year when the horsemeat scandal at Tesco and Asda saw shoppers opt for the orange-branded supermarket.
It follows last week’s heavy annual loss reported by rival Morrisons (LON:MRW), which pledged to drop its prices to compete with the discount chains such as Aldi and Lidl.
“We have seen a decline in sales in the quarter reflecting tough comparatives,” said Justin King, who quits as chief executive in July.
“This time last year our sales benefited significantly from the discovery of horsemeat in some branded and competitors' products.”
The shares opened 1.5% lower despite having already tanked 15% this year, but recovered to trade in the black at 312p against a falling Footsie.