Woolworths has released its 2025 first quarter results, with Group sales revenue increasing 4.5% to $18 billion.
Across the retailer’s Australian food division, total sales increased 3.8% to $13.6 billion.
“Australian food total sales increased by 3.8% due to a strong focus on value in the quarter, improved availability, Disney collectibles and strong e-commerce sales growth of 23.6%,” says Woolworths Group CEO Amanda Bardwell.
“Customers remain highly value-conscious and continue to purchase more items on special or trade down to lower priced items including Own Brand. These competitive factors together with strong e-commerce growth is leading to a lower margin sales mix which has impacted earnings. In October to date, total sales have increased by approximately 3%.”
Supermarkets
Woolworths’ supermarkets sales for Q1 were $11,078 million, up 0.7% (2% ex tobacco) on the prior year.
E-commerce momentum remained strong with sales increasing 23.6% to $1952 million.
Metro sales increased 4.3% to $422 million, which the retailer says was primarily due to new store growth.
Prices
Average prices in Q1 declined by 0.3% compared to the prior year. Excluding fruit and vegetables and tobacco, average prices declined by 1.8%.
According to Woolworths, fruit and vegetables moved back into modest inflation in the quarter due to cycling a period of abundant supply in the prior year. This was partially offset by meat where prices were below the prior year reflecting lower livestock prices passed on to customers, and deflation in long life categories such as pantry, freezer and everyday needs partly reflecting increased promotional uptake by customers.
Stores
During the quarter, 11 supermarket and two Metro renewals were completed with no net movement in the store network.
At quarter end, the total network comprised 1006 Woolworths supermarkets, 105 Metros, 737 Direct to Boot locations, seven CFCs, and two eStores.
Nine new Mini Woolies stores were opened in the quarter, bringing the total to 75 locations across Australia.