Tesco Q1 group like-for-like sales rise 1%, maintains FY outlook

Tesco

18/06/2026 07:10

Overview
UK grocery retailer's Q1 group sales ex-VAT ex-fuel rose 1.0% like-for-like
Company attributed growth to value focus, product innovation, and expanded convenience
Tesco repurchased £341 mln of shares since April as part of £750 mln buyback program

Outlook
Tesco maintains FY 26/27 group adj operating profit guidance at £3.0 bln to £3.3 bln
Company expects free cash flow within £1.5 bln to £2.0 bln for the year
Tesco says Middle East conflict continues to create uncertainty for customers

Result Drivers
PRODUCT INNOVATION - Over 520 new and improved products launched, including expansion of Finest and High Protein ranges
ONLINE SALES GROWTH - Online sales rose 8.9% in UK, aided by expanded Whoosh delivery and personalised offers

Company press release: ID:nRSR7391Ia

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales ex-VAT ex-Fuel
 
GBP 16.83 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the food retail & distribution peer group is "buy"
Wall Street's median 12-month price target for Tesco PLC is GBp520.00, about 13.9% above its June 17 closing price of GBp456.70
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)