The Woolworths Group has reported a $1.7 billion net profit (after tax) for the 2023/24 financial year, down 0.6% from the previous year.
The group includes Australian and New Zealand supermarkets and BIG W retail stores.
Net profit is the amount of money left over after paying expenses and taxes.
Woolworths’ financial results come after Coles reported a $1.1 billion net profit in its yearly update yesterday.
Sales revenue – how much Woolworths made from selling its products or services – increased by 3.7% to $67.9 billion, partly due to increased online sales.
Outgoing CEO Brad Banducci said BIG W and its 185 NZ supermarkets had a “challenging year” impacted by changes in customer spending habits due to the cost of living.
Banducci acknowledged that “customers remain under significant mortgage and rent-related financial stress”.
Customers are expected “to remain cautious with the trading environment expected to be challenging for the rest of the financial year,” he said.
Inquiries
Coles and Woolworths control two-thirds of Australia’s supermarket sector.
Multiple inquiries are currently underway into how supermarkets set their grocery prices, including by the Australian Competition and Consumer Commission (ACCC). Both Coles and Woolworths have denied allegations of unfair price setting.
An interim report from the ACCC’s inquiry is due to be delivered to the Treasurer by the end of this week.
