WMT Walmart Inc

By Ian Walker

Asda, the U.K. arm of Walmart Inc. (WMT), said Thursday that like-for-like sales for the second quarter rose 0.5% as the later timing of Easter was offset by stronger comparatives last year due to the hot weather.

Total sales for the quarter ended June 30 rose 1.3% in what Walmart Chief Financial Officer Brett Biggs described as a challenging backdrop in the U.K.

"Whilst I remain proud of our continued strategic focus in the quarter, I am under no illusions as to how challenging this market remains for all retailers," Asda CEO and President Roger Burnley said.

Asda is the U.K.'s third largest grocer by market share behind Tesco PLC (TSCO.LN) and J Sainsbury PLC (SBRY.LN) which hold number one and two positions respectively.

Earlier this year Asda's deal to merge with Sainsbury was blocked by U.K. regulators as they believed the deal would lead to a "substantial lessening of competition in a number of markets in the U.K."

Since then reports have circled that Asda may launch an initial public offering within the next two-to-three years.

Write to Ian Walker at ian.walker@wsj.com; @IanWalk40289749

(END) Dow Jones Newswires

August 15, 2019 09:25 ET (13:25 GMT)

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