Morrisons sales boosted by market share gains
Morrisons sales boosted by market share gains
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Morrisons saw its sales rise last year as the supermarket group claimed market share gains from competitors and grew its loyalty card user base. The group said last week it would axe more than 200 jobs as part of a cost-cutting plan, joining Sainsbury’s in reducing headcount in the months after the October Budget.
The move followed Morrison's chief executive warning that supermarkets faced an 'avalanche of costs' after Rachel Reeves hiked taxes for employers. Morrisons was one of over 70 businesses, including Tesco, Asda and Sainsbury’s, that told Rachel Reeves in a recent open letter that changes announced in the Budget meant price rises were a 'certainty'.
Last week, Sainsbury's confirmed plans to cut over 3,000 roles as it prepares to close all its remaining in-store cafes and hot food counters. On Wednesday, Morrisons said like-for-like sales rose 4.1 per cent in the year ending 27 October, while earnings jumped to £835million from £751million in the previous 12 months.
Job cuts: Last week, Morrisons said it would axe more than 200 jobs as part of a cost-cutting plan. The annual results did not cover the key Christmas trading period, when Morrisons suffered IT issues, forcing it to cut the price of items including turkeys and Champagne for some customers.
But the supermarket did show its best quarter since 2021 for the three months to 27 October, when sales grew 4.9 per cent compared to the previous year. Morrisons, which has its headquarters in Bradford, West Yorkshire, and employs over 100,000 people, has been owned by US private equity firm Clayton, Dubilier & Rice since 2021.
