Coles has released its 2026 first-quarter results, with Group sales revenue increasing 3.9% to $10.96 billion.

Supermarkets sales revenue increased by 4.8% to approximately $10 billion, with comparable sales increasing by 4.6%. Excluding tobacco, sales revenue increased by 7%.

Liquor sales revenue decreased by 1.1% to $842 million with comparable sales declining by 1.4%.

“We are pleased with our performance over the quarter with supermarket sales growth reflecting the focus we have had on value, quality and the customer experience,” says Coles Group CEO Leah Weckert.

“We continue to see positive results from our major transformation projects with availability reaching its highest levels since pre-Covid and e-commerce sales penetration reaching 13.3%.”

Supermarkets

According to Coles, the strength in supermarket sales (excluding tobacco) was underpinned by a focus on ensuring the retailer’s range and value offering continues to resonate with customers. This was coupled with further improvements in availability and strong e-commerce sales growth.

“We continue to see a dynamic competitive market and are tailoring our pricing architecture in certain categories to cater for the changing landscape, including expanding the number of products within our every day low price (EDLP) range,” says Coles.  

“Customer experience improved across all key metrics including availability, quality and price.”

New tobacco legislation and growth in the illicit market led to a 57% decline in tobacco sales compared to the prior corresponding period with tobacco sales this quarter now less than 2% of total sales.

Exclusive to Coles sales revenue increased by 5.3%. The retailer says investments in value further strengthened its entry level range, and innovation drove strong growth in Coles Finest with revenue increasing by 15%.

E-commerce sales momentum continued through the quarter, with sales revenue increasing by 27.9% with penetration increasing to 13.3%. Customer fulfilment centre (CFC) fulfilled sales continued to outpace total e-commerce sales as weekly order volumes increased through the period supported by targeted customer campaigns and range expansion.

“Our CFC catchment areas in Melbourne and Sydney were also expanded and Same Day CFC fulfilled delivery was launched for customers in Melbourne catchments,” adds the retailer.  

Supermarkets price inflation (excluding tobacco) moderated to 1.2% (1.5% in 4Q25). Inflation in fresh produce eased, which Coles says was largely a result of abundant supply across fruit and vegetable categories including avocadoes, tomatoes and capsicum. In the meat, deli, seafood and convenience category, inflation in meat increased. Inflation excluding tobacco and fresh remained stable at 0.9% (0.8% in 4Q25).

Two new supermarkets were opened and three were renewed during the quarter.

Liquor

Coles says ongoing softness in the liquor market continued through the period with consumers remaining focused on value.

“Pleasingly, customers have responded positively to our value offerings as part of the ‘Simply Liquorland’ roll out, including our ‘Price Match Promise’ and ‘Buy More, Save More’, and the tailoring of our ranges,” says the retailer.

“As a result, we have continued to see an uplift in customer engagement and satisfaction with Flybuys swipe rates increasing by 5.5% and NPS gains across range, value and ease of shop.”

Coles’ ‘Simply Liquorland’ banner simplification is progressing well, according to the retailer, with 60 stores converted during the quarter, taking total conversions to 112 stores since the program commenced.

“Total sales growth from these conversions exceeded the broader portfolio with Vintage Cellars conversions in particular attracting a broader customer base and strong transaction growth,” says Coles.  

E-commerce sales revenue increased by 6.8% with penetration of 7.6% (8.7% including liquor sold through Coles Online), with the strongest growth in the immediacy channel.

Four new stores were opened, seven stores were closed, and 61 store renewals were completed, inclusive of the ‘Simply Liquorland’ conversions.