Tesco’s preliminary FY22/23 performance was slightly ahead of our as well as the market’s expectations. The group’s lfl sales came in at +5.1% (+94bp vs consensus), with positive momentum in all business segments. The adjusted operating profit of £2,630m (-6.9% yoy) was in line with the street’s expectations. For FY23/24, we expect Tesco’s top-line growth to moderate, volume to recover slightly and profitability to decline slightly. We maintain our positive stock recommendation.