Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Woolworths NZ lifts first-half sales 2.3 percent

Woolworths NZ lifts first-half sales 2.3 percent

Jan. 31 (BusinessDesk) - Australian supermarket chain Woolworths, which accounts for about 40 percent of New Zealand's supermarket sales, increased first-half revenue 2.3 percent on this side of the Tasman, even as trading conditions remain tough and consumer price growth non-existent.

The group's New Zealand supermarkets increased sales to $2.94 billion in the 27 weeks ended Dec. 30 from $2.88 billion a year earlier, the ASX-listed company said in a statement. Total group sales rose 3.2 percent to A$30.68 billion, including a A$642 million contribution from its Dick Smith Electronics stores, which it sold in the period.

"In a market characterised by low growth and even lower inflation, retail trading conditions have become increasingly challenging," said David Chambers, managing director of local supermarket unit Progressive Enterprises. "Our strong brand, new store formats and continually improving offers have enabled us to continue to increase our market share throughout the half."

Woolworths New Zealand, the local holding company, boosted annual profit 29 percent to $128.9 million in the 2012 financial year on a 3.5 percent increase in sales, according to documents lodged with the Companies Office.

Those earnings gains have come in a period when inflation is easing, and government figures this month showed the consumers' price index fell 0.2 percent in the December quarter.

The Countdown Supermarkets food price index showed inflation of just 0.1 percent in the six-month period, with second-quarter deflation in dairy products.

Woolworths said it passed on lower costs of milk, butter and cheese to its customers, and held more frequent promotions.

Shares in the Australian group fell 1 percent to A$31.35 on the ASX today.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Land & Water Forum: Fourth Report On Water Management

The Land and Water Forum (LWF) today published its fourth report, outlining 60 new consensus recommendations for how New Zealand should improve its management of fresh water and calling on the Government to urgently adopt all of its recommendations from earlier reports. More>>



Welcome Home: Record High Migration Stokes 41-Year High Population Growth

New Zealand annual net migration hit a new high in October as more people arrived from than departed for Australia for the first time in more than 20 years. More>>


Citizens' Advice Bureau: Report Shows Desperate Housing Situation Throughout NZ

CAB's in-depth analysis of over 2000 client enquiries about emergency accommodation shows vulnerable families, pregnant women and children living in cars and garages, even after seeking assistance from the Ministry of Social Development and Housing New Zealand. More>>


Speaking For The Bees: Greens Call For Neonicotinoid Pesticide Ban

The National Government should ban the use of controversial pesticides called neonicotinoids after evidence has revealed that even at low doses they cause harm to bee populations, the Green Party said today. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news