Group like-for-like sales grew by 0.9% in Q3 and were up by 0.1% in the Christmas period.
Food sales rose an impressive 3.4 per cent on a like-for-like basis over Christmas.
Like-for-like (LFL) sales were up 2.3% for the 19 weeks ending January 6 this year across the United Kingdom and the Republic of Ireland.
Tesco shares tumbled 3.5 percent after Christmas trading results in its core United Kingdom business fell short of market expectations.
Tesco, which has been transformed by CEO Lewis following a 2014 accounting scandal, reported a 1.9% rise in like-for-like sales in its United Kingdom home market in the six weeks to January 6, below a forecast of 2.4-3.2%.
According to its latest trading update, third quarter like-for-like sales in the United Kingdom grew by 2.3 per cent - representing Tesco's eighth consecutive quarter of growth - and total sales grew 2.5 per cent.
Other retailers Waitrose and John Lewis also reported an increase over the critical trading period but Marks and Spencer reported "mixed" results with disappointing clothing and food sales.
"Our fresh food ranges performed particularly well, as did F&F Clothing, which saw double-digit growth", said Andrew Yaxley, chief executive of Tesco Ireland.
"Our trading momentum accelerated across the third quarter and into December, with the four weeks leading up to Christmas Day delivering record sales and volumes in the United Kingdom".
Despite the upbeat update, Tesco's results have failed to spark enthusiasm among investors, which have sold off the supermarket's shares this morning.
On Thursday, M&S said same store food sales fell 0.4%.
But Sir Charlie Mayfield, chairman of the partnership which owns the department store chain as well as supermarket Waitrose, admitted that pressure on profit margins had intensified amid rising costs thanks to the pound's Brexit-related weakness, and warned that trading would remain "volatile" for the year ahead.
Lidl has claimed it was the "fastest growing supermarket" over Christmas after booking record festive sales.
However in Asia, sales were down nearly 10pc in the three month period, which the company said reflected the ongoing impact of ceasing unprofitable bulk selling activities in Thailand.