Profits down at supermarket chain

<p>Sainsbury’s has reported a fall in profits.</p>

The share price of Sainsbury's has dipped today (May 8th) on the back of the news the supermarket chain has reported a fall in profits.

It was announced by the company that even though sales were up, profits fell 1.4 per cent to £788 million for the year to March 16th.

Speaking to BBC News, chief executive Justin King explained UK consumers are still being careful with their money due to the state of the country's economy.

He said: "We're shopping a lot like our parents did… and saving a little money for special occasions."

In a statement, Mr King said Sainsbury's is continuing to outperform all of its major competitors in the UK and has now recorded 33 consecutive quarters of like-for-like sales growth.

Following the news profits are down at the company, it's share price has dropped by almost five per cent – a dip of 1.19 per cent – in the early hours of trading.

At 08:26, shares were trading for 391.80, remaining close to the 52-week high of 398.60.

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