Supermarket sales lead way for Woolworths
Australia’s largest supermarket chain, Woolworths today announced first quarter sales of A$14.6bn.
The 4.9 per cent increase on last quarter was helped by sales growth in its supermarkets division.
“It was a solid start to the year considering retail conditions remain challenging,” chief executive Grant O’Brien said in a statement today.
Sales at Woolworths’ supermarkets rose 5.8 per cent on year to A$12.56bn but sales in its general merchandise division fell 1.6 per cent to A$1.52bn.
The company blamed tough retail conditions for the disappointing 1.9 percent rise in Australian food and liquor comparable store sales.
“The retail sector continues to be impacted by a lack of consumer confidence which means we have to work harder for every dollar” said Mr O’Brien.
Woolworths has said net profit growth would be limited to between 2 percent and 6 percent in fiscal 2012.