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Sandra Halliday Published
July 2, 2025
Sainsbury’s issued a Q1 update on Tuesday and while the supermarket giant’s grocery ops continued strongly, its general merchandise and clothing sales as a whole were still falling. That said, clothing specifically appears to be less weak than GM.
Looking at the business overall, for the 16 weeks to 22 June, Sainsbury’s said it made the biggest market share gains of any grocer as more customers chose it for their main shopping trips.
Year-on-year sales at the company as a whole increased 4.2% with total retail sales excluding petrol up by 2.6%, and like for like sales on the same basis rising 3%.
Grocery was up 4.8%, but the aforementioned GM and clothing was down 4.3% and Argos sales dropped 6.2%.
But while the GM and clothing performance didn't look particularly impressive, the company said that it reflects an improvement in the clothing trend with the GM category specifically being weaker. Clothing sales (mainly its Tu own-brand) fell ‘only’ 3.3% during the quarter. They’d been down over 11% in Q4 and in last year’s Q1 had fallen by 3.7%.
Womenswear was a leading category during the period with the company saying it benefited from a renewed focus on its core ranges, although its success was offset by the impact of unseasonal weather in recent weeks.
Meanwhile Argos sales declined against a “particularly strong comparative period” with significantly lower seasonal sales and weaker consumer electronics demand.
But the company added that it’s making progress with its ‘More Argos, more often’ strategy outlined in February, both in transforming the business and reshaping its core commercial and digital proposition.
Despite a tough trading backdrop, it said “we are enhancing our digital offer and improving our range, particularly expanding to more popular premium brands”.`