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Interim Results Announcement 2021-22 Presentation


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Interim Results  2021 / 22Interim Results 2021 / 22
Simon Roberts - Chief Executive OfficerSimon Roberts - Chief Executive Officer
A strong first halfA strong first half
Kevin O’Byrne - Chief Financial OfficerKevin O’Byrne - Chief Financial Officer
AgendaAgenda
Retail sales growth by categoryRetail sales growth by category
Group performance overviewGroup performance overview
Group performance overviewGroup performance overview
Underlying profit before taxUnderlying profit before tax
Financial ServicesFinancial Services
Items excluded from underlying results Items excluded from underlying results
Net debt and Retail free cash flowNet debt and Retail free cash flow
Balance sheet targetsBalance sheet targets
Summary and OutlookSummary and Outlook
Simon Roberts - Chief Executive OfficerSimon Roberts - Chief Executive Officer
A strong first halfA strong first half
Customer behaviour continuing to normaliseCustomer behaviour continuing to normalise
Continued growth in digital sales, significantly ahead of 19/20Continued growth in digital sales, significantly ahead of 19/20
Growing ahead of the market on a one-year and two-year basisGrowing ahead of the market on a one-year and two-year basis
Customer satisfactionCustomer satisfaction
We are delivering on our prioritiesWe are delivering on our priorities
Delivering against our planDelivering against our plan
8 key metrics8 key metrics
Food FirstFood First
Strong grocery volume gains from competitorsStrong grocery volume gains from competitors
Delivering better value to customersDelivering better value to customers
Value: investment in key centre of plate and fresh categoriesValue: investment in key centre of plate and fresh categories
Value: Sainsbury’s Quality, Aldi Price MatchValue: Sainsbury’s Quality, Aldi Price Match
Value: continued improvement on price position vs competitorsValue: continued improvement on price position vs competitors
Value: price investment driving “halo” volume upliftValue: price investment driving “halo” volume uplift
Food Innovation: transforming new product developmentFood Innovation: transforming new product development
Food Innovation: Helping Everyone Eat BetterFood Innovation: Helping Everyone Eat Better
Online demand still very strong despite normalisationOnline demand still very strong despite normalisation
Unique breadth of online grocery options for customersUnique breadth of online grocery options for customers
Biggest online market share winner: now market #2Biggest online market share winner: now market #2
Strong online productivityStrong online productivity
Plan for Better: bold commitments to drive positive changePlan for Better: bold commitments to drive positive change
Brands that DeliverBrands that Deliver
Nectar: growing digital customer base, advancing personalisationNectar: growing digital customer base, advancing personalisation
Nectar360: key B2B revenue streamsNectar360: key B2B revenue streams
Nectar Profit Growth: driven by Digital MediaNectar Profit Growth: driven by Digital Media
Argos: digital transformation, category breakdownsArgos: digital transformation, category breakdowns
Argos transformation: lower cost to serve by £105mArgos transformation: lower cost to serve by £105m
Habitat brand relaunch: driving home and furniture performanceHabitat brand relaunch: driving home and furniture performance
Clothing: a stronger, more profitable businessClothing: a stronger, more profitable business
Financial Services: strategy focused on Sainsbury’s customersFinancial Services: strategy focused on Sainsbury’s customers
Save to InvestSave to Invest
Strategic cost reduction plan on trackStrategic cost reduction plan on track
Accelerating cost savingsAccelerating cost savings
Key cost saving programmesKey cost saving programmes
Moving at pace to change the businessMoving at pace to change the business
Delivering for shareholdersDelivering for shareholders
We are delivering on our prioritiesWe are delivering on our priorities
Questions & AnswersQuestions & Answers
Questions & AnswersQuestions & Answers
Questions & AnswersQuestions & Answers
Questions & AnswersQuestions & Answers
Questions & AnswersQuestions & Answers
Questions & AnswersQuestions & Answers
Questions & AnswersQuestions & Answers
Questions & AnswersQuestions & Answers
Questions & AnswersQuestions & Answers
Interim Results 2021 / 22
Interim Results  2021 / 22
Simon Roberts - Chief Executive Officer
Simon Roberts - Chief Executive Officer
A strong first half
A strong first half
Kevin O’Byrne - Chief Financial Officer
Kevin O’Byrne - Chief Financial Officer
Agenda
Agenda
Retail sales growth by category
Retail sales growth by category
Group performance overview
Group performance overview
Group performance overview
Group performance overview
Underlying profit before tax
Underlying profit before tax
Financial Services
Financial Services
Items excluded from underlying results
Items excluded from underlying results
Net debt and Retail free cash flow
Net debt and Retail free cash flow
Balance sheet targets
Balance sheet targets
Summary and Outlook
Summary and Outlook
Simon Roberts - Chief Executive Officer
Simon Roberts - Chief Executive Officer
A strong first half
A strong first half
Customer behaviour continuing to normalise
Customer behaviour continuing to normalise
Continued growth in digital sales, significantly ahead of 19/20
Continued growth in digital sales, significantly ahead of 19/20
Growing ahead of the market on a one-year and two-year basis
Growing ahead of the market on a one-year and two-year basis
Customer satisfaction
Customer satisfaction
We are delivering on our priorities
We are delivering on our priorities
Delivering against our plan
Delivering against our plan
8 key metrics
8 key metrics
Food First
Food First
Strong grocery volume gains from competitors
Strong grocery volume gains from competitors
Delivering better value to customers
Delivering better value to customers
Value: investment in key centre of plate and fresh categories
Value: investment in key centre of plate and fresh categories
Value: Sainsbury’s Quality, Aldi Price Match
Value: Sainsbury’s Quality, Aldi Price Match
Value: continued improvement on price position vs competitors
Value: continued improvement on price position vs competitors
Value: price investment driving “halo” volume uplift
Value: price investment driving “halo” volume uplift
Food Innovation: transforming new product development
Food Innovation: transforming new product development
Food Innovation: Helping Everyone Eat Better
Food Innovation: Helping Everyone Eat Better
Online demand still very strong despite normalisation
Online demand still very strong despite normalisation
Unique breadth of online grocery options for customers
Unique breadth of online grocery options for customers
Biggest online market share winner: now market #2
Biggest online market share winner: now market #2
Strong online productivity
Strong online productivity
Plan for Better: bold commitments to drive positive change
Plan for Better: bold commitments to drive positive change
Brands that Deliver
Brands that Deliver
Nectar: growing digital customer base, advancing personalisation
Nectar: growing digital customer base, advancing personalisation
Nectar360: key B2B revenue streams
Nectar360: key B2B revenue streams
Nectar Profit Growth: driven by Digital Media
Nectar Profit Growth: driven by Digital Media
Argos: digital transformation, category breakdowns
Argos: digital transformation, category breakdowns
Argos transformation: lower cost to serve by £105m
Argos transformation: lower cost to serve by £105m
Habitat brand relaunch: driving home and furniture performance
Habitat brand relaunch: driving home and furniture performance
Clothing: a stronger, more profitable business
Clothing: a stronger, more profitable business
Financial Services: strategy focused on Sainsbury’s customers
Financial Services: strategy focused on Sainsbury’s customers
Save to Invest
Save to Invest
Strategic cost reduction plan on track
Strategic cost reduction plan on track
Accelerating cost savings
Accelerating cost savings
Key cost saving programmes
Key cost saving programmes
Moving at pace to change the business
Moving at pace to change the business
Delivering for shareholders
Delivering for shareholders
We are delivering on our priorities
We are delivering on our priorities
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers
Questions & Answers