Coles has reported a 3.9% lift in sales for the first quarter of the 2026 financial year (Q1 FY26).
Australia’s second largest retailer said sales were $10.963 billion ($7.16 billion) in the 13 weeks ended 28 September compared with $9.507 billion in the previous corresponding period (pcp).
The company said supermarkets revenue increased 4.8% to $9.965 billion, while liquor revenue dropped 1.1% to $842 million, and other revenue fell 17.9% to $156 million.
“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,” Group CEO Leah Weckert said in an ASX announcement.
“We continue to see positive results from our major transformation projects with availability reaching its highest levels since pre-COVID and eCommerce sales penetration reaching 13.3%.”
She said Coles made significant progress with its ‘Simply Liquorland’ simplification program which was making the network more accessible to a broader audience and delivering a positive impact on sales
This comes a day after Australia’s largest retailer Woolworths reported a 2.7% increase in sales to A$18.48 billion for the first quarter of the 2026 financial year (Q1 FY26).
Coles said supermarket sales revenue excluding tobacco increased by 7.0% while new legislation and growth in the illicit market led to a 57% decline in tobacco sales compared to the pcp with tobacco sales less than 2% of total sales.
The ‘Simply Liquorland’ program was progressing well with the conversion of 60 stores during the quarter, taking total conversions to 112 stores and sales growth from conversions exceeding the broader portfolio.
Coles said supermarkets sales revenue growth in the early part of Q2 had remained at similar levels to the first quarter.
At the time of writing, Coles shares (ASX: COL) were trading 65 cents (2.86%) lower at 22.06, giving the company a market capitalisation of $29.61 billion.
