 Somerfield says sales have slowed in the second half of the year |
Flagging consumer spending and fierce competition on the High Street led to a drop in sales at supermarket group Somerfield over the past six months. Like-for-like sales for Somerfield and its Kwik Save stores fell 1.5% in the 25 weeks to 30 April, in contrast to a 0.6% rise in the previous 28 weeks.
Somerfield said trading conditions were challenging but stressed it had made progress in transforming its stores.
The company is currently at the centre of a bidding war.
'Progress'
Icelandic retailer Baugur and UK convenience stores owner United Co-op are among a number of interested parties looking to acquire the supermarket group.
In a trading statement, Somerfield said sales had come "under pressure" in the second half of the year as a result of a slowdown in consumer spending. It added that sales had also been affected by disruption at a number of stores as they were converted and expanded.
It did not comment on potential takeover approaches.
"Although trading remains challenging, I am pleased with the group's progress as we continue to implement our strategic plan," said chief executive Steve Back.
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I am pleased with the group's progress
