Total sales at Argos grew 2.5% to £951m in the 13 weeks to 29 August, with like for like sales down 1.4%.
The catalogue retailer enjoyed strong sales of consumer electrics including televisions and computers, which offset weaker sales of video games. Sales of furniture continued to struggle.
The retailer’s online Check and Reserve service that lets customers reserve items online to later pick up in store, grew by 50% over the quarter and internet sales now account for 28% of sales.
Homebase saw like for like sales increase 1.6%, driven by promotional and clearance sales. Total sales were up 2.9% to £401m over the period and up 4.4% in the six months to 29 August.
The DIY chain saw strong growth in sales of big-ticket items, particularly boosted by kitchen sales.
Chief executive of Home Retail Group Terry Duddy says: “We approach the key Christmas trading period from a position of operational and financial strength, but continue to plan cautiously for consumer demand.”
The group opened four new Argos and two Homebase stores over the period.