British supermarket chain Sainsbury's recorded falling sales in its fiscal first quarter.
It is the second quarter of falling sales for the grocery retailer.
For its first fiscal quarter to 7 June, overall sales rose 1% while like-for-like sales fell by 1.1%.
Total sales, including fuel, dropped 0.3% and like-for-like sales fell by 2.4%.
General merchandise and clothing categories are continuing to grow strongly, reported the retailer.
Clothing reported double-digit growth in like-for-like sales figures.
Convenience stores reported a 18% rise, while web-based sales increased by 10%.
Private label sales soared by almost 10%.
Sainsbury’s said it would continue to invest in its pricing.
It admitted it expected shoppers to remain cautious for the foreseeable future.
Sainsbury’s issued a warning in May saying it expected challenging times to come.
Outgoing chief executive Justin King said that Sainsbury’s would still outperform rival supermarkets over the full fiscal year.
© 2014 - European Supermarket Magazine
