Supermarket chain Sainsburys is expected to reveal an impressive 10 per cent leap in full year profits later this week.
According to newspaper reports, chief executive Justin King is tipped to announce on Wednesday underlying pre-tax profits of around £530 million for the year to March 21, up from £488 million in the previous 12 months.
Analysts say the hike in profits will provide further evidence of the good job King has done in reviving the retailer’s fortunes.
They also expect the supermarket giant to unveil plans for more than 150 Sainsbury’s convenience stores in the north of England and Scotland as the company’s turnaround strategy gathers momentum.
Sainsbury’s was recently hailed as the Easter sales winner among the ‘big four’ UK supermarkets thanks largely to an increase in promotional activity.
The food retailer, celebrating its 140th anniversary this year, lifted its share of the market to 16.3 per cent in the three months around the Easter period at the expense of rivals such as Tesco and the resurgent Morrisons, according to figures from TNS Worldpanel.
Sam Hart, retail analyst at Charles Stanley, commented: “It is an ongoing recovery process at Sainsbury’s .”
“The business was underperforming for a number of years but in the last few years King has managed to get the business back on track.”
