Woolworths shares rose 4.3% as the company reported better-than-expected sales and EBIT growth, driven by strong momentum in Australian Food and e-commerce segments alongside effective cost control.
- Group sales increased 3.6%, with EBIT before significant items growing 12.7%, supported by cycling prior year disruptions.
- Australian Food sales grew 4.6% for the year and accelerated to 5.7% in the second half, fueled by item growth and improved customer transactions.
- E-commerce showed strong acceleration in H2, with more than 70% of orders placed via the app in Q4 and notable growth in On Demand and Direct to Boot Now deliveries.
- Above-store cost savings of approximately $400 million contributed to a significant reduction in cost of doing business (CODB).
- Customer value initiatives, including expanding the Lower Shelf Price range and enhancing Everyday Rewards program, helped drive engagement amid ongoing inflationary pressures.
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