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Sainsbury's sales drop but clothing arm grows

Sainsbury’s general merchandise and Tu clothing businesses grew 6% year on year during Q4, despite total sales at the supermarket falling 0.3%, with like-for-likes also down 1.9% (excluding fuel) for the 10 weeks to 14 March 2015.

Chief executive Mike Coupe warned the trading environment “remains challenging” in the retailer’s most recent update. 

He added that this is expected to continue into the “foreseeable future.”

“Our strategy to deliver a broad range of products and services through our increasingly multichannel offer is also progressing well.”

The business continues to trial online sales of its Tu clothing brand. It broadened the initial pilot in the Midlands to a select group of customers in London and the Southeast in January.


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