Sainsbury's sees strong festive trading as shoppers splash out on vintage champagne and party food
Sainsbury's has reported strong festive trading, although it said it was an unusual Christmas for customers, who bought smaller turkeys than usual whilst alternatives such as lamb and beef sold well.
The UK's second biggest grocer said many customers treated themselves to premium Taste the Difference products such as vintage champagne, party food and desserts.
The firm said people shopped early and Monday December 21 was its busiest day for the first time. People usually leave their Christmas shopping until just before the day.
Christmas like-for-like sales rose 9.3 per cent and the firm said it expects annual profits to be £60m more than previously thought.
Underlying pre-tax profits for the year are now expected to hit £330m, up from predictions of £270m.
The profit upgrade came as the supermarket said sales in the three months to January 2 jumped 8.6 per cent on a like-for-like basis, helping profits to surge.
Grocery sales rose 7.4 per cent, with online grocery sales leaping 128 per cent. General merchandise sales were up 6.0 per cent, with Argos sales up 8.4 per cent. However, clothing sales grew by just 0.4 per cent as people bought less clothing during lockdown periods
Simon Roberts, chief executive of Sainsbury's, said: "As we enter our third phase of tighter restrictions and national lockdowns, my number one priority remains keeping our colleagues and customers safe.
"The last few months have been really tough for many people and we are all dealing with a lot of change and uncertainty again. Given these challenging circumstances, we really focused on doing the best possible job for our customers this Christmas."