Tesco: like-for-like sales grew 1% in first quarter.
(CercleFinance.com) - Britain's biggest retailer Tesco said on Friday that it maintained positive like-for-like sales growth for a sixth consecutive quarter in the 13 weeks ending May 2017.
The group's like-for-like sales growth reached 1% in the period under "tough market conditions", with hard discounters still putting strong pressure on business.
Bryan Garnier -- which has a "sell" rating on Tesco shares -- said the trading statement does not allow it to amend its mixed view on the company.
"Tesco's commercial equation remains the same," the brokerage firm writes in a research note.
"Basically, the group needed to significantly improve its like-for-like if only to cover natural cost inflation (about 2.5% in the UK)," BG said.
"Yet, the British retailer does not reach this 'safety' level," it added.
Tesco shares were down 0.6 per cent at 178.8 pence after the statement.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The group's like-for-like sales growth reached 1% in the period under "tough market conditions", with hard discounters still putting strong pressure on business.
Bryan Garnier -- which has a "sell" rating on Tesco shares -- said the trading statement does not allow it to amend its mixed view on the company.
"Tesco's commercial equation remains the same," the brokerage firm writes in a research note.
"Basically, the group needed to significantly improve its like-for-like if only to cover natural cost inflation (about 2.5% in the UK)," BG said.
"Yet, the British retailer does not reach this 'safety' level," it added.
Tesco shares were down 0.6 per cent at 178.8 pence after the statement.
Copyright (c) 2017 CercleFinance.com. All rights reserved.