Q3 Trading

Statement

2022 / 23
Delivering the best possible Christmas for our customers

Offering great Investing in Treating and Returning

value and service and celebrating to stores
innovation availability more at home

2 J Sainsbury plc
Q3 2022/23
Q3 and Christmas retail sales growth
Total Retail
Grocery General Merchandise Clothing sales growth 1,4
sales growth 1 sales growth sales growth
7.1%

7.4% 5.2%
7.1%
5.6%
5.1%
4.6%
16 weeks 6 weeks
Q3 Christmas

1.3% YoY 22/23

16 weeks 6 weeks 16 weeks 6 weeks 16 weeks 6 weeks
Q3 2 Christmas 3 Q3 Christmas Q3 Christmas Q3 22/23
YoY 22/23 YoY 22/23 YoY 22/23
12.2%

1 Stores were open on Boxing Day 2022, but closed on Boxing Day 2021, contributing 0.9% Grocery sales growth to the 6 week Christmas period 5.2% 6.2%
2 Q3: 16 weeks to 7 Jan 2023
3 6 weeks of Christmas: 6 weeks to 7 Jan 2023 Exc. Fuel Fuel Inc. Fuel
4 Exc. Fuel sales sales
3 J Sainsbury plc
growth growth
Q3 2022/23
Ahead of the market at Christmas

Grocery volume change 1

4 weeks 22/23 vs 21/22

Aldi
Lidl

Sainsbury’s

Total Asda
Grocers Tesco

Morrisons

1 Kantar, Worldpanel division 4 week YoY data to 25 December 2022

4 J Sainsbury plc
Q3 2022/23
Ahead of the market in Q3

Grocery volume change 1

12 weeks 22/23 vs 21/22

Aldi

Lidl

Sainsbury’s

Total Asda
Grocers Tesco

Morrisons

1 Kantar, Worldpanel division 12 week YoY data to 25 December 2022

5 J Sainsbury plc
Q3 2022/23
Ahead of the market versus pre-pandemic

Grocery volume change 1

12 weeks 22/23 vs 19/20

Lidl
Aldi

Sainsbury’s

Total Tesco
Grocers Asda

Morrisons

1 Kantar, Worldpanel division 12 week Yo3Y data to 25 December 2022

6 J Sainsbury plc
Q3 2022/23
Supporting customers with great value

Invested in keeping Delivered our best value Launching our biggest

prices low this Christmas Christmas offer ever Aldi Price Match

Significant value position Food market share Around 300 products, including
improvement against all key outperformance, particularly in more than 180 Fresh products
competitors 1 Meat, Fish and Poultry, and Fruit and important household staples
and Vegetables 2 such as nappies

1 Value Reality. Q3 22/23: 16 weeks to 4 January 2023. Edge by Ascential, internal modelling
7 J Sainsbury plc 2 Nielsen EPOS YoY unit growth: Sainsbury’s growth vs Total Outlets growth for Meat, Fish, Poultry and Produce categories. 4 weeks to 24 December 2022
Q3 2022/23
Consistently inflating behind key competitors

ASP Inflation of Top 100 products 1

Lidl
Aldi
Tesco
Asda
Morrisons
Sainsbury’s

Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2021 2022

1 Nielsen panel data, Top 100 SKUs by retailer. Average Selling Price YoY growth. 52 weeks to 10 December 2022
8 J Sainsbury plc
Q3 2022/23
Opportunities for customers to treat themselves

300 new Christmas Taste the Difference Multiple taste test

products sales up 10% 1
wins

145 new Outperforming full choice

Taste the Difference products grocery competitors 2

1 4 weeks to 24 December 2022

9 J Sainsbury plc 2 Kantar World panel - Premium Tier performance value change YoY 4 weeks to 25 December 2022
Q3 2022/23
Performance continues to be resilient relative to competitors

We are seeing less Our basket sizes are holding Our customers are trading
switching to Aldi up well against key down less than those of
and Lidl competitors competitors
Net volume switching to Aldi + Lidl Items per basket change Average mix impact
Q3 22/23, as % of volume 1 YoY, Q3 22/23 2 YoY, Q3 22/23 2

Morrisons
Sainsbury’s
Tesco Sainsbury’s
Asda Lidl
Aldi Asda Sainsbury’s Tesco

Tesco

Lidl

Morrisons Morrisons Aldi Asda

1 Nielsen panel data. Net volume switching £m to Aldi + Lidl as % of each retailer’s volume. 12 weeks to 10 December 2022
2 Nielsen panel data. YoY % growth in Items per Basket and Average Mix. 12 weeks to 10 December 2022

10 J Sainsbury plc
Q3 2022/23
Leading customer satisfaction

Supermarkets customer satisfaction index 1 Speed of checkout 2

Sainsbury’s Tesco Asda Morrisons

Sainsbury’s
Colleague Availability 2
Tesco
Asda
Morrisons
Q4 Q1 Q2 Q3 Q4
2021 2022 2022 2022 2022

Sainsbury’s Tesco Asda Morrisons

1 Supermarket customer satisfaction %. Competitor benchmarking survey
2 Competitor benchmarking survey. Q3 22/23 supermarket CSAT scores 12 weeks to 10 December 2022

11 J Sainsbury plc
Q3 2022/23
Strong Christmas performance in general merchandise

12 J Sainsbury plc
Q3 2022/23
Growing market share in general merchandise

Argos sales growth by category Volume market share differential

Q3 YoY % Q3 YoY bps1

Consumer Consumer
electronics electronics
Technology Technology
Household, Seasonal Household, Seasonal
and Garden and Garden
Toys and Celebrations Toys and Celebrations

Home & Furniture Home & Furniture

Total Total

(10) (5) - 5 10 15 20 25 30 (50) - 50 100 150 200 250 300

1 Tracked Markets Product Volume Market Share Performance. September-November 2022, YoY Argos + Sainsbury’s GM combined differential. GfK data for Gaming and Technology, NPD data for Toys
13 J Sainsbury plc
Q3 2022/23
Argos improved customer satisfaction and availability

Argos customer satisfaction index Argos availability

12 week rolling average 1 Q3 YoY % pts change 2

2022/23

2021/22

Mar Apr May Jun Jul Aug Sep Oct Nov Dec Oct 22 Nov 22 Dec 22

1 Argos customer satisfaction %. 12 week rolling average to 10 December 2022

2 YoY % pts change in items immediately available. 12 weeks to 24 December 2022
14 J Sainsbury plc
Q3 2022/23
We are delivering on our priorities

• Better value and innovation
• Underpinned by buying
benefits and lower cost
to serve
• Customer and profit focus
• Supporting the core food
business
• Structurally lower operating
costs to fuel investment in
the core
• Cutting complexity and
increasing pace of execution

Know and serve our

Environmental and social
customers better,
sustainability at our core
use the power of Nectar

15 J Sainsbury plc
Q3 2022/23
Q&A