Woolworths Group (WOW) Q3 2025 TU earnings summary

Executive summary

• Q3 FY25 group sales reached $17.3B, up 3.2% year-over-year, with eCommerce sales at $2.2B and Group VOC NPS at 44, up 1 point from March 2024.

• Australian Food sales grew 3.6% after recovery from Q2 industrial action; eCommerce up 16.3% despite weather disruptions.

• Weather events caused supply chain disruptions, store closures, and $20–$25 million in additional costs, but community support and recovery efforts were prioritized.

• Customer value perception and engagement remained a focus, with ongoing efforts to improve retail fundamentals and efficiency.

• New Zealand Food sales rose 4.8% (NZD), with improved customer metrics and strong eCommerce growth; BIG W performance remained challenged.

Financial highlights

• Group sales: $17.3B, up 3.2% year-over-year; eCommerce sales: $2.2B.

• Australian Food total sales rose 3.6% to $13.1B, driven by transaction growth and modest increase in items per basket.

• Own and exclusive brand sales grew 5.7%, with average prices (ex-tobacco) down 0.5% for the fifth consecutive quarter.

• Cartology revenue up 29.1%, Rewards and services revenue up 10.4%, and B2B sales up 6.3%.

• New Zealand sales increased 4.8% (4.4% Easter-adjusted), with strong e-commerce and loyalty program engagement.

• BIG W sales declined 1.5% to $986M, but Easter-adjusted sales rose 1.9%; H2 EBIT loss expected at ~$70 million.

Outlook and guidance

• Focus remains on improving value, availability, and range, simplifying operations, and unlocking group potential.

• On track to deliver $400 million in above-store cost savings by year-end.

• BIG W transformation ongoing, with no immediate plans for store closures; further portfolio review updates expected at full-year results.

• Auburn CFC launch to add significant e-commerce capacity in Western Sydney, fully operational by Christmas.

• Consumer outlook remains uncertain amid competitive market and cost-of-living pressures.