Asda, the UK's third-largest supermarket, is unlikely to see sales growth before the end of 2025, according to chairman Allan Leighton, as underlying sales fell 3.1% in the four months to April. Despite price cuts and IT system updates, the supermarket continues to struggle, losing market share to rivals like Aldi, which announced significant expansion plans.
Asda unlikely to see growth before year end at earliest, says supermarket boss
AsdaSupermarketsBusinessRetail industryUK
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TL;DR: Key points with love ❤️Asda, the UK's third-largest supermarket, is unlikely to see sales growth before the end of 2025, according to chairman Allan Leighton, as underlying sales fell 3.1% in the four months to April. Despite price cuts and IT system updates, the supermarket continues to struggle, losing market share to rivals like Aldi, which announced significant expansion plans.
Trending- 1 2021: Asda's £6.8bn buyout by Mohsin and Zuber Issa and TDR Capital.
- 2 November last year: Allan Leighton returned to Asda.
- 3 March (this year): Leighton's pledge to invest in cutting prices wiped £4bn off rivals' value.
- 4 Four months to end of April: Asda's underlying sales fell 3.1%.
- 5 Three months to May 18: Aldi increased sales by 6.7%.
- 6 Thursday (before May 29th article): Aldi unveiled plans for 40 more stores this year.
- 7 End of this year: Asda unlikely to see growth before then.
- 8 End of next year: Asda plans to return to "Asda Price" strategy.
- 9 Next three years: George clothing aims to be number one brand by volume.
- 10 Next five years: Expected timeframe for Asda's turnaround.
- Continued financial struggles for Asda
- Increased competition in the UK supermarket sector
- Potential job impacts
- Changes in pricing strategies across the industry
- Shift in market share
What: Asda's sales continue to fall, and growth is not expected until year-end at the earliest.
When: Four months to end of April (latest sales data); end of this year (earliest growth expectation); 2021 (buyout); three months to May 18 (Aldi sales data); March (Leighton's pledge wiped value off rivals).
Where: United Kingdom.
Why: Struggling since 2021 buyout, ongoing food inflation (which rivals benefit from), losing market share to discounters (Aldi, Lidl) and larger rivals (Tesco, Sainsbury's), IT system handover from Walmart.
How: Analysis of sales figures, market share data, and statements from Asda's chairman and Aldi's boss.