Woolworths reports $920 million profit as it regains lead over Coles
Woolworths has reported a $920 million net profit for the six months to December 30, up 2.1 per cent from the same period a year ago.
The supermarket's like-for-like sales growth bounced back to 2.7 per cent in the second quarter as it regained its lead over Coles, which grew sales at 1.3 per cent during the period.
Arch rival Coles had shot ahead of Woolworths in the September quarter, thanks to its popular Little Shop toy giveaway promotion and Woolworths' decision to no longer offer free plastic bags at its checkouts.
Woolworths' result fell short of market expectation of a $968 million profit.
“It was a challenging half across all of our businesses, with subdued customer demand and volatile weather in the second quarter," Chief Executive Brad Banducci said in a statement to the ASX on Wednesday.
"While the first half was below our financial expectations, we made progress in a number of important areas and are confident that if we remain focused on our key priorities," he added. "We will continue to transform our business for the benefit of all of our stakeholders."
Including its service station business, which it is in the process of selling to British group EG, net profit was up 1 per cent to $979 million.
More to come