Woolworths Group (ASX:WOW): What Do FY26 Results Show Ahead of Its Next Sales Update?

Aditi Sarkar

26 October 2026 11:31 PM AEDT

Woolworths Group (ASX:WOW): What Do FY26 Results Show Ahead of Its Next Sales Update?

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Highlights

Woolworths Group (ASX:WOW) reported FY26 group sales of AUD 71.539bn, up 3.6% YoY.
Group EBIT before significant items rose 12.7% YoY to AUD 3.105bn in FY26.
Australian Food generated AUD 53.852bn in sales, up 4.6% YoY.
The company scheduled its 1QFY27 sales announcement for 28 October 2026.

Woolworths Group Limited operates food retail, distribution and related consumer businesses in Australia and New Zealand through Woolworths supermarkets, New Zealand Food, Australian business-to-business operations and W Living. Its FY26 results reported higher group sales and earnings alongside continued investment in Australian Food. Woolworths Group (ASX:WOW) shares closed at AUD 40.88 on 26 October 2026, down 2.08% for the trading session. The company is due to release its 1QFY27 sales figures later this week, placing store sales, customer spending and operating execution in focus.

Company Business

Woolworths Group (ASX:WOW) operates Australian Food, which includes its supermarket and digital food retail activities, and New Zealand Food, which serves customers across the Tasman. Its Australian B2B business provides food and related distribution services to commercial customers. W Living includes BIG W and other consumer-facing retail operations.

The Australian Food division is the largest contributor to group sales and EBIT. Digital ordering and delivery form part of its supermarket offer, while its distribution and fulfilment infrastructure supports both physical stores and online sales. Different operating formats expose the business to grocery demand, household budgets, logistics costs and changing customer shopping patterns.

Recent Development

In August 2026, Woolworths Group (ASX:WOW) released its results for the 52 weeks ended 28 June 2026. Management reported progress in its Australian Food offer through investment in pricing, fresh categories, convenience and store execution. Group eCommerce sales increased 15.9% YoY to AUD 10.6bn, reflecting further activity across digital channels.

BIG W returned to positive EBIT in FY26, reporting AUD 64mn compared with a loss of AUD 33mn in FY25. The company attributed the change to improvements in gross margin, stock flow and clothing ranges. Meanwhile, the investor calendar identifies 28 October 2026 for the 1QFY27 sales announcement and 29 October for its annual general meeting.

Financial Performance and Sector Context

Woolworths Group (ASX:WOW) reported FY26 sales of AUD 71.539bn, compared with AUD 69.077bn in FY25, an increase of 3.6% YoY. Group EBITDA before significant items increased 6.7% YoY to AUD 6.089bn. EBIT before significant items advanced to AUD 3.105bn from AUD 2.754bn, representing growth of 12.7% YoY.

Net profit attributable to shareholders before significant items was AUD 1.599bn, up 15.4% YoY, while the corresponding figure after significant items reached AUD 1.138bn from AUD 963mn. Significant items after tax totalled AUD 461mn in FY26. These reported measures distinguish ongoing trading performance from items treated separately in the financial statements.

Australian Food sales increased 4.6% YoY to AUD 53.852bn, while divisional EBIT increased 8.5% YoY to AUD 2.953bn. New Zealand Food sales were NZD 8.491bn, up 2.5% YoY in local currency. Australian B2B sales advanced 4.2% YoY to AUD 5.983bn. Grocery retailers operate amid pricing competition, wage and distribution costs, and consumers adjusting the mix and value of their purchases.

Risks to Consider

Woolworths Group (ASX:WOW) faces exposure to food-price competition, labour expenses, logistics costs and the cost of maintaining stores and digital infrastructure. Customers switching between retailers or changing basket composition may affect sales growth and margins. Execution of supply-chain initiatives and remediation matters can also influence reported costs. Performance across New Zealand Food and BIG W depends on demand, local competition and operating efficiencies.

What to Watch Next

The 1QFY27 sales release scheduled for 28 October 2026 will provide the next evidence on Australian Food trading, online activity and customer demand. The annual general meeting follows on 29 October, with an investor day listed for 18 November. Subsequent financial reporting will show whether changes in revenue mix, productivity and operating expenses are reflected in margins. Woolworths Group (ASX:WOW) has also scheduled its FY27 half-year results for February 2027.

Key Insights

Woolworths Group (ASX:WOW) recorded higher FY26 group revenue, underlying EBIT and attributable profit, with Australian Food generating most of the group’s sales and operating earnings. BIG W moved into positive EBIT and eCommerce sales grew. The next scheduled quarterly sales release will provide an updated view of demand and operating trends, while cost control, competition and store execution remain relevant factors for future results.

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