Key facts
- Asda reported its first quarterly sales growth in over two years, with like-for-like sales excluding fuel rising 0.2% in the seven weeks to mid-August.
- Food sales saw a 0.7% increase, contributing to a 0.4% rise in total revenue to £6.5bn in the second quarter.
- Executive Chair Allan Leighton called the growth a "major milestone" in the grocer's turnaround, attributing it to improved pricing, availability, and online shopping experience.
- The supermarket's market share has stabilized at 11.5%, according to Worldpanel by Numerator.
- Asda is preparing to pilot a partnership with Ocado and will collaborate with Amazon Ad Services later this year.
Asda has reported its first quarterly sales growth in over two years, a significant development in its turnaround strategy. Like-for-like sales, excluding fuel, rose by 0.2% in the seven weeks leading up to mid-August, with food sales seeing a 0.7% increase. This marks a "major milestone" for the grocer, according to Executive Chair Allan Leighton, who attributed the progress to efforts in improving price, availability, and the overall shopping experience.
In the second quarter of 2026, Asda's total revenue grew by 0.4% to £6.5bn, with recent weeks showing accelerated growth of 2.1% year on year. The supermarket has faced intense competition from German discounters Aldi and Lidl, which have gained market share. Asda's own market share has stabilized at 11.5%, according to Worldpanel by Numerator.
Leighton acknowledged that the company is still in the "foothills of recovery" and that more work is needed. Asda is preparing for a pilot partnership with home delivery firm Ocado before the end of 2026 and will also collaborate with Amazon Ad Services to enhance its online customer experience. The grocer has been battling a hefty debt pile since its 2021 takeover by private equity firm TDR Capital, though net debt fell from £4.1bn to £3.5bn in the year to December 2025, despite a widened pre-tax loss of £989m in the same period.