likeforlike

Like-for-like, also written as like-for-like or like-for-like sales, is a financial metric used to assess the core performance of a retailer or service provider. It compares sales across periods for stores and product lines that have been in operation for a comparable interval, with the aim of excluding effects from openings, closures, acquisitions, or other structural changes.

In practice, like-for-like analysis typically includes only stores that were open for the entire period in both the current and prior reporting period. It can also apply to product lines or brands that existed for the full duration. A simple example: if comparable stores generated $100 million last year and $105 million this year, like-for-like sales growth is 5%.

Like-for-like is widely used in retail, hospitality, and consumer services to gauge underlying performance. It is often reported alongside total sales to provide context. However, it has limitations: it may still be influenced by price changes, promotions, currency effects, or changes in product mix; it does not capture the impact of new stores on overall growth; and different companies may define the scope differently.

Related concepts include same-store sales, comparable store sales, and organic growth. Like-for-like comparisons are distinct from total revenue growth, which includes all stores and channels regardless of openings or closings.