Woolworths Reports $18.1B Sales with 5.9% Australian Food Growth

Strong Australian Food and WooliesX Sales Drive Group Growth

Woolworths Group Limited (ASX:WOW) reported a 4.5% lift in total sales to $18.1 billion for the 13 weeks ended 5 April 2026, underpinned by a robust 5.9% increase in Australian Food sales. The company’s WooliesX digital platform surged 21.7%, reflecting growing consumer appetite for online grocery and complementary services. This momentum was supported by a 23.8% jump in eComX sales and a 10.8% rise in digital, media, and rewards revenue, illustrating the Group’s successful pivot towards integrated online offerings.

Woolworths Food Retail sales grew 5.9%, with strong item growth and promotional investments driving comparable sales up 5.3%. Notably, Woolworths Supermarkets’ store-originated sales rose 3.0%, and eCommerce pick-up and delivery services expanded by 24.6% and 23.1% respectively. The Group’s digital platforms attracted 31 million weekly visitors, up 10.5%, aided by app enhancements like Snap & Shop and predictive smart baskets, which are helping to deepen customer engagement.

Amid this growth, the Group announced a Price Freeze initiative designed to ease cost-of-living pressures on customers, reflecting the inflationary environment and rising fuel costs. CEO Amanda Bardwell highlighted the Group’s commitment to operational efficiency and resilience to navigate these headwinds while continuing to invest in customer value.

New Zealand Food and BIG W Face Mixed Conditions

In New Zealand, sales grew modestly by 1.4% in AUD terms (2.1% Easter-adjusted in NZD), as the market remains highly competitive with discounters gaining traction. Operational disruptions from a new store operating model and softer consumer sentiment weighed on performance. EBIT for New Zealand Food in the second half of FY26 is now expected to be slightly below the prior corresponding period, though full-year EBIT is still forecast to exceed FY25.

BIG W’s sales increased 3.9%, supported by a 17.9% rise in eCommerce sales and a 6.5% increase in gross transaction value. Customer metrics remained stable, with a VOC NPS of 62. Growth was strongest in Clothing and Play categories, while Everyday segments faced challenges. The retailer remains on track to deliver positive EBIT and cash flow for FY26, backed by initiatives like the Big Price Drops campaign and expanded RFID technology usage.

Australian B2B and Petstock Segments Show Strength

The Australian B2B segment posted a 4.9% sales increase, driven by a 9.6% surge in B2B Food sales, including strong growth in the quick service restaurant channel and export meat, which rose 47.6% amid elevated prices. Supply chain sales declined 2.1%, impacted by lower tobacco sales, though excluding tobacco there was a 4.2% increase.

Petstock sales soared 15.9%, boosted by new store openings, franchise repurchases, and acquisitions of own-brand pet food manufacturing. Comparable sales rose around 4%, with eCommerce growth and the launch of the Pet Cash loyalty program contributing. The introduction of Billie’s Bowl pet food into Woolworths supermarkets signals cross-brand synergies.

Navigating Inflation and Geopolitical Uncertainty

The Group’s CEO acknowledged the early impacts of the Middle East conflict on customers and suppliers, noting ongoing engagement with government response plans. Woolworths expects Australian Food EBIT growth to remain in the mid to high single digits but now at the lower end of that range, reflecting incremental fuel costs and investments to support customers amid inflation.

Customer sentiment showed signs of caution, with some softening in Voice of Customer metrics compared to the previous quarter. Easter and ANZAC Day timing differences, along with prior year industrial action, introduced volatility in trading comparisons. The Group flagged that the full extent of geopolitical impacts on FY27 remains uncertain and will provide further updates at the full year results in August.

Woolworths’ focus on efficiency and resilience follows its previous strategic shifts, including the transition of Everyday Market and Healthylife into Australian Food and the integration of BIG W Market into BIG W’s eCommerce sales, aligning with its digital growth ambitions. These moves build on momentum from earlier periods, such as the 2.7% sales rise reported in Q1 FY26, driven by eCommerce and customer gains strong eCommerce growth.

Meanwhile, BIG W’s eCommerce penetration increase to 17.5% and its 6.5% growth in gross transaction value continue a recovery trajectory from challenges highlighted in FY25, when earnings were weighed down by impairments and restructuring BIG W faces major challenges. The Group’s ability to sustain this momentum will be critical amid ongoing cost pressures and evolving consumer behaviours.