Coles Group has reported steady growth in its first-quarter results for FY26, driven by a strong supermarket performance. Total group sales revenue rose 3.9 per cent to $10.96 billion, with supermarket sales up 4.8 per cent to $9.97 billion. Woolworths reported 2.1 per cent for the period.
Liquor sales declined 1.1 per cent to $842 million and tobacco sales were down 57 per cent due to new tobacco legislation and growth in the illicit market. Tobacco sales this quarter accounted for less than two per cent of total sales.
CEO, Leah Weckert, said the results reflected the retailer’s ongoing investment in customer value and digital transformation.
“We are pleased with our performance over the quarter, with supermarket sales growth reflecting our focus on value, quality and the customer experience,” she said. “Availability reached its highest levels since pre-Covid, and eCommerce sales penetration grew to 13.3 per cent,” Weckert said.
Online grocery sales rose 27.9 per cent, supported by expanded catchment areas for its Melbourne and Sydney customer fulfilment centres and the introduction of same-day delivery in Melbourne.
Liquor sales softened due to challenging market conditions, but Weckert said the “Simply Liquorland” rebrand showed encouraging signs, with 60 conversions completed during the quarter.
Looking ahead, Coles said early second-quarter supermarket sales were tracking at similar levels, with focus turning to Christmas trading.
“We’ve designed our Christmas range to cater for every taste and budget. Our goal is to make it easy for customers to shop either in-store or online during this busy period,” she said.
The company also highlighted progress on key infrastructure projects, including the Truganina automated distribution centre, and its rollout of ChatGPT Enterprise to support team members across its Store Support Centres.
