Tesco has stated that it is committed to doing whatever it can to "help keep down the price of the weekly shop", after its sales increased by 4.6% year-on-year.

The supermarket stated in its preliminary results for the 2025/26 financial year that sales totalled £66.5bn in the year to 28 February, while its operating profit increased by 0.8% to £3.15bn.

In the 53 weeks to this date, its revenue jumped by 5.4% to £73.7bn, and its profit before tax reached £2.4bn, marking an 8.5% year-on-year increase.

Furthermore, the firm’s adjusted diluted earnings per share increased by 6% to 29 pence, which it attributed to its ongoing share buyback programme and profit growth.

Tesco said its goal is to create "long-term sustainable value for all" its stakeholders by "consistently delivering for customers".

It added that it made meaningful progress over the past five years, with material investments into price, quality and service, and with the retail landscape continuing to evolve, it has launched five mutually reinforcing goals to match these ambitions.

This include winning in food, meeting more everyday customer needs, being the most strategic partner for suppliers, be connected, personalised and loved by customers, and long-term business sustainability.

Tesco said these ambitions build on its underlying strengths and allows it to deliver more value for customers and a path for long-term sustainable growth.

However, due to the "increased uncertainty caused by the conflict in the Middle East", the supermarket has provided a wider range of guidance than initially intended, with much depending on the duration of the conflict and the potential implications for UK households and the wider economy.

It therefore expects to deliver an operating profit of between £3bn and £3.3bn for the current financial year, along with £500m in savings through its save to invest programme.

Chief executive at Tesco, Ken Murphy, said: "We are committed to doing whatever we can to help keep down the cost of the weekly shop, and with the conflict in the Middle East creating further uncertainty for consumers and the economy more broadly, that commitment matters more than ever. Over the last year, despite cost pressures from new regulation, we have increased our investments in keeping prices low, further improving quality and offering even better service. Customers are choosing to shop more with us as a result, leading to our highest market share for over a decade."

Following the update, shares in Tesco rose by over 3%.

Investment director at AJ Bell, Russ Mould, stated that the current economic backdrop has "overshadowed a decent set of results" from Tesco.

He concluded: "Tesco continues to gain market share which is remarkable considering the ferocity of competition in the grocery sector. It is managing to appeal to both value seekers and people happy to pay a little more for fancy items. Sainsbury’s has similar momentum but isn’t firing on all cylinders, as its general merchandise interests remain a drag on the business. Tesco’s clothing sales look good, and even the wholesale arm Booker seems to be finding its feet after a wobbly patch.

"Tesco is clearly doing something right and it will want to keep customers on its side if there is another cost-of-living crisis. It will want to keep sales volumes high and might accept a slightly lower profit margin if it means beating competitors on price during a more challenging environment. Investors seem confident that Tesco will manage a tougher backdrop, hence the positive share price reaction to the results."

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