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J Sainsbury (SBRY) investor relations material
J Sainsbury Q3 2026 TU earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Delivered strong Q3 trading performance with best-ever Christmas execution, driven by outstanding teamwork, value, quality, and service, resulting in high customer satisfaction and trading momentum.
Achieved significant grocery market share gains for the sixth consecutive Christmas, with volume market share rising from 12.0% in Q3 21/22 to 13.2% in Q3 25/26.
Record sales in convenience and 14% online sales growth, with strong performance in fresh food and premium Taste the Difference brand sales up 15%.
Clothing outperformed the market by 10 percentage points in volume growth, achieving record Christmas category sales.
Maintained a strong value proposition, driving higher loyalty and larger basket sizes despite a softening or declining market.
Financial highlights
Q3 total retail sales grew by 3.9% year-over-year, with grocery up 4.9%, like-for-like sales (excluding fuel) up 3.4%, and Argos up 3.4%.
Grocery volume growth remained around 2% year-over-year, with fresh food sales up 8%, fruit and veg up 6%, meat/fish/poultry up 9%, and dairy up 10%.
Taste the Difference premium label fresh food sales grew 15% year-over-year, making it the fastest-growing premium label in the market.
General merchandise and clothing sales declined 1.1% year-over-year, impacted by reduced space allocation and lower average selling prices.
Fuel sales increased by 5.4% in Q3.
Outlook and guidance
Retail underlying operating profit expected to exceed £1 billion for the year, but likely to be slightly lower than last year due to industry cost pressures and subdued general merchandise.
Free cash flow guidance upgraded to at least £550 million, on track for £1.6 billion over the life of the plan.
Over £800 million to be returned to shareholders via dividends, a £250 million special dividend, and a £250 million share buyback.
Inflation is past its peak, with commodity costs stabilizing and no expectation of unexpected regulatory costs next year.
Sustaining a strong competitive position through technology investment, automation, and productivity improvements.
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