Highlights

  • H1 F26 Group sales reached $37.1 billion, while Group EBIT before significant items increased 14.4%.
  • Cash from Operating Activities before interest and tax was $3,156 million for the 27 weeks ended 4 January 2026.
  • Australian Food sales increased 3.6% in H1 F26, with improved item trends and eCommerce growth in the second quarter.
  • The Group reported $400 million of run-rate cost savings in H1 F26 as productivity remained a key operational focus.
  • 2026 trading updates continued to emphasise customer value, retail execution and disciplined Investment across the Group.

Woolworths Group Limited (ASX:WOW) operates retail businesses focused on delivering convenience, value and quality for customers. Its 2026 financial disclosures show a Business balancing sales momentum, operating cash generation and investment in customer value while continuing productivity and transformation programs across Australian Food, New Zealand Food and its wider retail portfolio.

H1 F26 Performance Shows Improved Group Momentum

For the 27 weeks ended 4 January 2026, Woolworths reported Group sales of $37.1 billion, up 3.4%, and Group eCommerce sales of $5.4 billion, up 14.6%. Group EBIT before significant items increased 14.4% to $1,660 million, while Group NPAT before significant items rose 16.4% to $859 million. The Interim Dividend was 45 cents per share.

Australian Food sales increased 3.6% during the half. The company said sales momentum improved in the second quarter, supported by item growth, eCommerce and continued investment in value, fresh food and convenience. Australian Food EBIT increased 9.9%, with the company also reporting an improvement in Margin for the period.

Operating Cash Flow and Working Capital Remain Central

Cash generation remained an important part of the 2026 financial picture. Cash from operating activities before interest and tax was $3,156 million in H1 F26, compared with $3,019 million in the corresponding period. The result reflected Group EBITDA before significant items of $3,206 million and movements across inventories, trade payables, provisions and other working-capital items.

The cash-flow profile is relevant because Woolworths continues to fund customer initiatives, technology, stores and supply-chain programs while maintaining day-to-day retail operations. Management also reported $400 million of run-rate cost savings in H1 F26, with productivity remaining a continuing focus across the Group.

Customer Value and Retail Execution Shape the 2026 Agenda

During 2026, Woolworths continued to emphasise value as customers remained price conscious. In its May 2026 group update, the company said Australian Food reported EBIT growth was still expected to be in the mid-to-high single-digit range for F26, although no longer at the upper end of that range. The update also noted additional fuel-related costs and further investment to help customers manage household budgets.

The same update pointed to a competitive New Zealand market and ongoing transformation activity, while BIG W remained expected to be EBIT and cash-flow positive for F26. These operating themes place execution, cost control and customer engagement alongside sales growth when assessing the Group’s 2026 performance.

Key Insights

Woolworths’ 2026 disclosures indicate that the Group’s financial performance is being shaped by three linked factors: food sales momentum, operating cash generation and continued investment in value and productivity. H1 F26 showed higher sales, EBIT and cash from operating activities before interest and tax, while later trading commentary highlighted ongoing cost pressures and competitive retail conditions. The broader focus remains on improving retail execution while funding operational and transformation priorities from the Group’s cash-generating businesses.