Bradford-based supermarket giants has reported a fall in sales of 2.6% over the first quarter of the year.
The performance, on a like for like basis, included fuel sales though total sales contracted by just 0.3% as new store openings bolstered business.
The company, which trails market leader Tesco, Asda and Sainsbury's in market share, said sales at stores open over a year fell 1.8% when fuel was excluded in the 13 weeks to May 5 - an improvement on the fourth quarter decline of 4.1%.
"This performance reflects a steady improvement from the previous quarter and is in line with our expectations," the firm said.
Morrisons said plans to launch an online food operation by January 2014 were progressing, adding that talks with online grocer Ocado on a possible tie-up were continuing.