Asda reports 0.4 percent revenue increase in Q2 2026

UK supermarket operator Asda has released its second quarter financial results, detailing a period impacted by soft consumer confidence alongside early signs of operational stabilization. Within the group's broader retail portfolio, non-grocery divisions including faced persistent headwinds.

For the three months ending June 30, 2026, Asda recorded total revenue including fuel of 6.5 billion pounds (8.80 billion dollars), representing a 0.4 percent increase year-over-year (YoY). Revenue excluding fuel stood at 5.1 billion pounds. Group like-for-like (LFL) sales declined 2.3 percent during the second quarter, while overall market share held steady at 11.5 percent.

Asda chief financial officer Michael Gleeson noted that macroeconomic factors continued to influence customer buying patterns throughout the second quarter. “A challenging geopolitical and economic backdrop continued to weigh on consumer confidence and household budgets during Q2,” said Gleeson. “Despite these pressures, our continued investment in price and the overall customer proposition means we continue to make steady progress in our turnaround journey”.

Q3 trading signals operational turnaround

The group highlighted that nearly half of total revenue now originates from non-traditional grocery business streams, which encompasses the George fashion business alongside fuel, convenience, pharmacy, optical, and online operations.

Trading data for the seven weeks through August 18, 2026, showed revenue including fuel rising 2.1 percent YoY. Ex-fuel LFL sales turned positive with a 0.2 percent increase, marking the first period of LFL growth for the business in over two years.

“Returning to growth in the current quarter for the first time in more than two years is a major milestone for Asda,” said Asda executive chairman Allan Leighton. “It reflects 18 months of hard work to strengthen our proposition, improving price, availability and the overall shopping experience. We saw momentum build in Q2 with stable market share, and we're now seeing that translate into more customers choosing Asda”.

Looking ahead, the group is advancing technology initiatives across its store network and digital platforms. A strategic partnership with Ocado remains scheduled for an initial pilot launch toward the end of 2026, preceding a broader rollout in 2027, alongside a newly announced collaboration with Amazon Ad Services to enhance online commerce operations.