Thursday, September 18, 2025

Morrisons reports sales growth despite cost pressures

Morrisons has posted a three per cent increase in group like-for-like sales for the 13 weeks ending 27 July 2025, with total sales rising 3.5 per cent to £4bn. The Bradford-based supermarket chain saw strong growth in its online division, achieving double-digit like-for-like gains.

During the period, Morrisons delivered £63m in cost savings, moving closer to its £1bn target set for the end of FY26. Product innovation also accelerated, with more than 400 new items launched, marking the company’s largest range refresh in a decade.

The retailer has been managing rising operational costs driven by inflation, government legislation, and the autumn budget. Market share remained stable throughout the quarter.

Morrisons has reduced gross debt from £6.2bn to £3.5bn since the acquisition by CD&R, repaying £2.7bn and extending debt maturities to 2031. The cost reduction programme continues, and the business expects to reach the full £1bn savings target by FY26.

The quarter reflects resilience in a challenging economic environment, underpinned by online growth, product development, and disciplined financial management.

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