Woolworths Group (WOW) Q3 2026 TU earnings summary

Executive summary

• Group Q3 FY26 sales reached $18.1B, up 4.5% year-over-year, led by strong Australian Food and e-commerce growth, despite ongoing uncertainty from the Middle East conflict and consumer caution.

• eCommerce sales surged 20.2% to $2.7B, with digital engagement and rewards programs at record highs.

• Price Freeze on 300 essential own-brand items was introduced to support customers amid inflationary pressures.

• Customer metrics and satisfaction improved year-over-year but declined sequentially from Q2 due to normalization post-Christmas, lower consumer confidence, and operational disruptions.

• The business remains focused on value, convenience, and productivity amid rising cost-of-living pressures and global uncertainties.

Financial highlights

• Australian Food sales rose 5.9% to $13.8B, with Woolworths Food Retail up 7.3% excluding tobacco; e-commerce up 23.8%.

• BIG W sales increased 3.9% (1.1% Easter-adjusted), with e-commerce up 17.9%.

• Petstock sales grew 15.9%, driven by new stores and acquisitions.

• New Zealand Food sales grew 1.4% (2.1% Easter-adjusted) to $2.1B NZD, reflecting subdued market growth and competitive pressures.

• Australian B2B sales increased 4.9% to $1.5B, led by B2B Food (+9.6%) and strong export meat demand.

Outlook and guidance

• FY26 Australian Food EBIT growth expected in mid to high single digits, but not at the upper end due to higher fuel costs and value investments.

• New Zealand Food H2 EBIT to be modestly below H2 FY25 due to slower transformation, lower sales, and higher costs; FY26 EBIT still expected above FY25.

• BIG W remains on track for positive EBIT and cash flow for FY26.

• Uncertainty remains for FY27 due to ongoing Middle East conflict and inflationary pressures.