The oldest homegrown retail chain operator of Australia,
Woolworths Group Limited (ASX: WOW) has been evolving its rich portfolio
and building strong adjacencies to offer better experience to its customers.
The reputed brand in the Australian supermarket segment hosts a wide spread of supermarkets,
marts, liquor shops and hotels. Moreover, it is gradually gaining online momentum.
Woolworths has been named the most valuable brand (Brand Finance) and the most trusted
brand (Roy Morgan) of Australia. Also, it has been ranked # 1 for the third consecutive year
in Australian Top 100 Most Diverse & Inclusive Companies in 2020 Refinitiv D&I Index.
Crucial developments across its portfolio in FY21
In FY21, the group delivered a strong trading performance with robust financial outcomes.
Below are the highlights from the company’s annual report for the period ended 27 June 2021.
There was an increase of 5.7% in group sales before significant items
to AU$67,278 million in FY21.
NPAT stood at AU$1,972 million, up 22.9% year-on-year.
Group EBITDA grew by 24.4%.
The Group posted gross profit margins from continuing operations of 29.3%.
Full year dividend stood at 108 cps, 14.9% up on the prior year.
Increased Home Delivery and Direct to boot capacity supported eCom growth of 63.3%.
Weekly traffic to Group’s digital assets surged to 17.2 million, 40.5% up year-on-year.
The company recorded net debt of AU$1,430 million
Some major operational developments that took place during the year included:
Plans rolled out for the first automated online fulfilment centre in Auburn, NSW.
Four Takeoff micro-fulfilment centres now operational in Australia and New Zealand.
26 net new stores and 75 renewals completed in FY21 in Australia and New Zealand.
Launch of new eco supermarket in West End, Qld,
and first New Zealand 4-star Green Star rated store in Richmond.
Successful demerger of Endeavor Group
Woolworths Group obtained shareholder approval for the demerger of Endeavor Group in June 2021.
The development resulted in two of the Group’s separate major business lines,
Endeavor Drinks and Hotels, being classified as discontinued operations.
The successful divestment of Endeavor Group has resulted
in a material increase in shareholder value.
Bottom Line
The giant homegrown retail chain is on a journey to achieve its key strategic priorities
while focusing on expanding its food and everyday needs ecosystem for its customers.
Also, throughout the year, the ASX-listed firm
made continuous efforts to keep its business COVID safe and futureproof.