UK retail major Tesco sales increase in 2011-12

19 April 2012 (Last Updated April 19th, 2012 02:00)

UK-based supermarket chain Tesco has reported a 7.4% increase in group sales to £72.03bn in the fiscal 2011-12, compared to £67.07bn in the previous fiscal year.

Tesco

UK-based supermarket chain Tesco has reported a 7.4% increase in group sales to £72.03bn in the fiscal year 2011-12, compared to £67.07bn in the previous fiscal year.

The group revenue was up 6.8% to £64.53bn in the 52-week period ended 25 January 2012, compared to £60.45bn in the year ago period.

Trading profit of the group advanced 1.3% to £3.76bn in the current reporting period, compared to £3.71bn in the same period a year earlier.

Underlying profit before tax in the 52-week period totalled £3.91bn, up 1.6% from £3.85bn in the corresponding period a year ago, while group profit before tax rose 5.3% to £3.83bn.

Tesco's UK operations recorded 6.2% increase in sales to £47.35bn and revenue rose 5% to £42.79bn in the year ended 25 January 2012.

International businesses sales of the company, at constant rates, jumped 9.6% to £23.63bn and revenue climbed 9.5% to £21.32bn in the reporting period from a year ago.

Asia sales, at constant rates, grew 10.4% to £11.62bn and revenue increased 10.3% to £10.82bn in the fiscal 2011-12 from the previous fiscal year.

During the same period, Europe sales advanced 7.8% to £11.37bn and revenue rose 7.5% £9.86bn, at constant prices.

In the 52-week period, US sales surged 31.5% to £638m from a year ago period, while revenue jumped 31.7% to £630m in the same period.

In the full fiscal year, Asia, Europe, the UK and the US and recorded like-for-like growth of 1.9%, 0.8%, 0.9% and 11.9%, respectively.

Tesco chief executive Philip Clarke said whilst the International business is delivering excellent growth, the company need to raise its game in the UK.

"As a result, we are committing over £1 billion to make the UK shopping trip better for customers: more staff giving improved service in-store; refreshed stores that are better and easier places to shop; lower prices and even more value from an improved product range," Clarke said.

"As we improve the shopping trip for our customers, it will follow that our sales growth and financial performance will improve too."

Image: Tesco chief executive Philip Clarke said whilst the International business is delivering excellent growth, the company need to raise its game in the UK. Photo: Tesco