Tesco sales rise but profit unchanged amid steep competition

Group sales rose significantly over the Christmas period, boosted by customers dining at home and hosting family occasions.

Tesco’s stock fell more than 1% in early trading in London

Tesco Plc is the latest grocery giant to reveal how higher costs and fierce competition are squeezing profits as cash-strapped shoppers hunt around for deals.

The supermarket said sales rose in the third quarter but managed to still keep profit guidance steady in a sign that the pressures of keeping food costs down in an inflationary environment are not easing yet.