Woolworths has reported a 2.7% increase in sales to A$18.48 billion (US$12.17 billion) for the first quarter of the 2026 financial year (Q1 FY26).
Australia’s largest retailer said Australian food sales rose by 2.1% in the 14 weeks ending 5 October 2025, with food retail sales increasing by 3.8% if tobacco sales were excluded.
Group CEO Amanda Bardwell said average prices (ex. tobacco) compared to the prior year had declined for seven consecutive quarters.
“While the Q1 sales performance was below our aspirations and there remains more to do, the changes we are making to improve value, convenience and availability are being recognised by our customers,” Bardwell said in an ASX announcement.
Fresh and Grocery Food were solid, Pet and Baby continued to underperform in store, tobacco sales declined by 51%, eCommerce sales grew by 12.9% and On Demand growth remained a highlight.
Group VOC (Voice of the Customer) NPS increased by three points compared to the prior year and four points compared to Q4 F25, largely driven by improvements in Australian Food and New Zealand Food.
In New Zealand, food sales growth improved towards the end of the quarter with total growth of 3.2% and eCommerce growth of 15.8%, while BIG W (including BIG W Market) sales increased by 1.0% due to an improved Clothing performance.
“Looking ahead, we are cautiously optimistic about our key trading quarter and we have strong plans in place for our customers for the festive season including a refreshed seasonal range,” Bardwell said.
Woolworths Food Retail sales to date in Q2 had increased by 3.2% (5.0% ex. Tobacco) as it continued to focus on rebuilding momentum.
“It will take some time for the full benefits of our strategic actions to be realised but we remain confident the steps we are taking will lead to meaningful improvements for our customers and our shareholders,” she said.
At the time of writing, Woolworths shares (ASX: WOW) were trading 51 cents (1.87%) higher at $27.46, capitalising the retailer at $32.5 billion.
