Woolies' Q1 supermarket food sales up 4.9pc
Woolworths has lifted first quarter food sales at its Australian supermarkets by 4.9 per cent to $9.63 billion, outpacing growth at fierce rival Coles.
SYDNEY - [AAP] Woolworths (ASX: WOW) has lifted first quarter food sales at its Australian supermarkets by 4.9 per cent to $9.63 billion, outpacing growth at fierce rival Coles.
The retail giant on Tuesday said the comparable sales growth was achieved despite increased deflation in fruit and vegetables.
Wesfarmers-owned Coles last week cited the same deflationary pressures when it unveiled sluggish first quarter comparable food and liquor sales growth of 0.4 per cent.
Woolworths chief executive Brad Banducci said the company's strong performance had continued from the previous six months into the new financial year.
"We have continued the good sales momentum from the second half of FY17 and made pleasing progress against our key priorities over the quarter," he said in a statement on Tuesday.
New Zealand food sales lagged slightly with comparable growth of 2.7 per cent.
Comparable sales from Woolworths' Endeavour Drinks unit, which includes BWS and Dan Murphy's liquor stores, rose 3.3 per cent.
Sales at struggling department store Big W lifted 2.9 per cent in the 14 weeks to October 1, which Woolworths said was driven by discounting and clearance activity.
"While it is still early days in our turnaround journey, the first key element in our plan was to regain price trust with our customers," Woolworths said in a statement.

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