Asda slump continues

asda-doorwayThird quarter sales drop almost 6% at Walmart-owned chain

ASDA has reported another big drop in sales in its third quarter.

Like-for-like sales, excluding fuel, at stores open for more than a year fell 5.8% in the three months to September. That comes on the back of an especially poor performance in the previous quarter, when sales were down by 7.5%.

The latest result puts Asda well behind rivals Tesco and Morrisons, which have reported underlying sales growth.

The Walmart-owned supermarket chain, which only operates large outlets, has struggled to fight back against competition from the rise of discounters Lidl and Aldi.

New chief executive Sean Clarke, who took up the reins in July, replacing previous boss Andy Clarke, said that prices were coming down as part of an effort to turn fortunes around.