Sainsbury’s profits outperform Tesco

<p>Sainsbury’s profits are higher, outperforming main rival Tesco.</p>

Sainsbury's profits have outperformed major rival Tesco, with the third-largest supermarket in the UK beating forecasts with a 5.4 per cent climb in first-half profits.

The group has enjoyed 31 quarters in a row of underlying sales growth, while Tesco posted a 12.4 per cent profit drop in October, the first in more than two decades for the industry leader.

Sainsbury's sales including VAT and fuel jumped to £13.36 billion in the six months to the end of September and reported strong growth in both its convenience stores and online operations.

Indeed, the supermarket's digital offering expanded at a rate of more than 20 per cent over this period, with orders for groceries exceeding 165,000 a week, while its convenience outlets are growing by up to two stores a week.

At 08:45 GMT today (November 14th), Sainsbury's shares on the London Stock Exchange were 1.6 per cent lower to 341.60p per share, slipping from the 52-week zenith of 361.10p reached in October.

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