Woolworths Holdings expects only modest annual profit growth after a tougher second half exposed pressure on shoppers in South Africa, Australia and New Zealand.
Woolworths Holdings expects only modest annual profit growth after a difficult second half, as higher fuel prices, inflation and interest rates weighed on consumers in South Africa, Australia and New Zealand.
The South African retailer said headline earnings per share for the 52 weeks ended June 28 were likely to increase by between 2.5% and 7.5%, reaching 274.8 cents to 288.2 cents. The comparable figure was 268.1 cents a year earlier.
The range is a trading-statement estimate rather than the company’s final audited result. It points to positive earnings growth, but at a much slower pace than the sales momentum Woolworths reported in parts of the previous financial year.
Group turnover and concession sales increased by 4.3%, or 4.8% at constant currency. Growth slowed to 3.3% in the second half, reflecting weaker spending conditions across the group’s main markets.
