Sainsbury’s has reported a sixth consecutive year of grocery market outperformance; however cautioned that disruptions from the Middle East war could lead to a drop in profit.
For the 52 weeks to 28 February 2026, sales excluding fuel rose 4.9% to £25.9bn, with grocery sales up 5.2%. Retail underlying operating profit was £1.025bn, down 1.1%, as the supermarket continued to invest in prices while managing higher operating costs.
Chief executive Simon Roberts said customers continued to trust the grocery retailer for value, quality, availability and service, however warned the supermarket remained focused on keeping prices low as households face continued cost-of-living pressure.
“The conflict in the Middle East means customers are even more focused on the cost of living and we are absolutely committed to making sure everyone gets the best possible value when they shop with us,” said Roberts. “By staying relentlessly focused on the things that matter most – value, quality, availability and service – we have outperformed the market for the sixth year in a row.
Related Story
“Rather than pass through the full extent of cost inflation, we invested to sustain the strength of our competitive position while also refreshing stores, improving digital experiences and increasing colleague pay by five per cent. “
“Our balanced choices reflect a consistent long-term approach to creating value for shareholders: strengthening our relationships with customers, colleagues and suppliers and building a stronger Sainsbury’s for the future.
The retailer said grocery volumes grew ahead of the wider market for the sixth year in a row, helping it achieve its highest volume market share in ten years. It highlighted the performance of Aldi Price Match, Nectar Prices and Taste the Difference as key drivers of customer demand.
Sainsbury’s also said it has committed to invest more than £5bn in British and Irish farming over the coming years to strengthen resilience across its supply base.
Looking ahead, the grocer said conflict in the Middle East had made it unclear whether profits would be higher or lower than last year. Nevertheless, it maintained it had made a positive start to the new financial year and expects total underlying operating profit of between £975m and £1.075bn.
Click here to sign up to Retail Gazette‘s free daily email newsletter
