Latest news with #Weckert
News.com.au
30-04-2025
- Business
- News.com.au
Coles on alert for Donald Trump tariff fallout
Coles is on high alert for impacts from US President Donald Trump's global tariffs as prices on major products in Australian supermarkets start to fall. Coles chief executive Leah Weckert predicts impacts from Trump's tariffs to be 'very minimal', as the company on Wednesday announced a 3.7 per cent increase in sales over the three months to March. 'Are there secondary effects or indirect impacts that could come through? I think it's probably too early to really tell on that,' Ms Weckert said. She added that Coles is monitoring processing fees around meat, particularly beef, closely. The nation's second-largest supermarket recorded $9.4 billion in sales, bolstered by 25.7 per cent growth in online sales to $1.1 billion. Liquor sales grew by 3.4 per cent. Inflation at the supermarket, excluding tobacco, remained steady at 1.1 per cent for the quarter, and below the industry rate of 3.1 per cent. Coles reported falling prices in fresh produce, as well as packaged, healthcare products and cleaning products. 'We have seen a modest uptick in terms of how people are feeling, which is good, although I would say that some of the events from the US and around the tariffs are probably offsetting that,' Ms Weckert said. Inflation is still impacting several categories, including cocoa and coffee, mainly because of price changes for ingredients. 'Cocoa, for example … has increased more than 180 per cent in the last 12 months. So that is something that suppliers have been very proactive in passing on, and is one of the reasons that we saw Easter eggs more expensive,' Ms Weckert said. Coles is predominantly a domestic business and unlikely to be hit hard by global tariffs, but the supermarket is keeping a close watch on secondary impacts. US President Donald Trump imposed tariffs of at least 10 per cent on trading partners around the world in April. 'It's probably too early to really tell on that but we are monitoring it, particularly around impacts to things like cost of goods and particularly in the meat space,' Ms Weckert said. 'Processing and beef for example could be one area where we might start to see increases in cost of goods coming through but we are going to need to wait and see.'
Perth Now
30-04-2025
- Business
- Perth Now
Prices coming down as Coles keeps tabs on Trump tariffs
Prices on major products are beginning to fall at Coles as the supermarket giant keeps a close eye on any impacts of Donald Trump's tariffs on products. Australia's second largest supermarket chain on Wednesday unveiled a 3.7 per cent increase in sales over the three months to March. Inflation at the supermarket, excluding tobacco, remained stable at 1.1 per cent for the quarter and significantly below the sector rate of 3.1 per cent, chief executive Leah Weckert said. Prices are already falling across several categories, including fresh produce such as broccoli, cauliflower, cabbage and tomatoes, and in the packaged space, with cereal, tea, dental, healthcare, dishwashing, and cleaning goods, she said. But inflation is still affecting several categories, including cocoa and coffee, because of changes in prices for ingredients. While Coles is predominantly a domestic business and unlikely to be directly impacted by the US president's tariffs, the chain is keeping an eye on any secondary effects or indirect impacts that could flow through. Mr Trump imposed tariffs of at least 10 per cent on trading partners around the world in April, leading to concerns of a trade war that could impact global business when several nations returned fire with retaliatory tariffs. "It's probably too early to really tell on that but we are monitoring it, particularly around impacts to things like cost of goods and particularly in the meat space," Ms Weckert said. "Processing and beef for example could be one area where we might start to see increases in cost of goods coming through but we are going to need to wait and see." While interest rates started to ease this quarter, Ms Weckert said financial concerns remained high for Australians, with one-in-three customers buying more home brand products to save at the checkout. Consumers were cutting back on treats such as confectionary and alcohol and more families were steering away from meat, going vegetarian a few nights a week, she said. The supermarket faced challenges through the quarter with weather events, including including flooding and Cyclone Alfred, but those had minimal negative impact on earnings. "The positive sales impact from pantry stocking and restocking offset store closures and damages, additional supply chain costs, stock write offs and natural disaster leave provided to team members," Ms Weckert said.
Yahoo
30-04-2025
- Business
- Yahoo
Surprising items Aussies giving up
Coles says Australians are changing their spending habits and cutting back where they can as value-conscious shoppers continue to curb discretionary spending. Coles chief executive Leah Weckert said the supermarket giant's sales data for the three months until the end of March showed customers had cut back on treats, including lollies, alcohol, reduced their meat intake and ditching bottled water. She also said customers were also looking for heavily discounted stock to buy when on their weekly shop. 'Our most popular and well-performing specials would be the ones that are 40 to 50 per cent off,' Ms Weckert said. 'We have announced big promotions that are really relevant to customers instead of lots of small ones.' Ms Weckert said prices of health and home category products dropped during the period, while coffee and cocoa prices rose as shoppers prepared for Easter. Overall, prices rose 1.5 per cent across the supermarket. Excluding tobacco, supermarket inflation was 1.1 per cent. 'Continued increases in livestock costs impact inflation in meat, particularly across the lamb, pork and poultry categories,' Ms Weckert said. 'Inflation, excluding tobacco and fresh, moved into deflation at -0.3 per cent, with deflation in the health and home category offsetting continued inflation across categories impacted by higher coffee and cocoa prices, such as confectionery, boxed chocolates and coffee.' Coles announced group sales revenues lifted to $10.4bn in the third quarter, up $400m for this time last year on the back of its supermarket segment. Supermarket sales revenue came in at $9.4bn for the third quarter, up 3.7 per cent. If tobacco was taken out, sales revenue increased by 4.7 per cent. Sales revenue for the business's liquor division was $813m for the third quarter, down 2 per cent on last year. However, comparable sales were impacted by the timing of Easter Sunday, which fell in the prior corresponding period. 'While the liquor market continues to be impacted by subdued discretionary spending, sales revenue was underpinned by strong execution across events, such as Australia Day, and a reset of our value offer across all stores to deliver a more compelling offer for customers,' Ms Weckert told investors. Coles said in the early part of the fourth quarter, supermarket sales remained broadly in line with the third quarter, although it expects an increase in liquor sales over the Easter period.
Perth Now
30-04-2025
- Business
- Perth Now
Surprising items Aussies giving up
Coles says Australians are changing their spending habits and cutting back where they can as value-conscious shoppers continue to curb discretionary spending. Coles chief executive Leah Weckert said the supermarket giant's sales data for the three months until the end of March showed customers had cut back on treats, including lollies, alcohol, reduced their meat intake and ditching bottled water. She also said customers were also looking for heavily discounted stock to buy when on their weekly shop. Coles says shoppers are still looking for heavily discounted stock. NewsWire / James Gourley Credit: Supplied 'Our most popular and well-performing specials would be the ones that are 40 to 50 per cent off,' Ms Weckert said. 'We have announced big promotions that are really relevant to customers instead of lots of small ones.' Ms Weckert said prices of health and home category products dropped during the period, while coffee and cocoa prices rose as shoppers prepared for Easter. Overall, prices rose 1.5 per cent across the supermarket. Excluding tobacco, supermarket inflation was 1.1 per cent. 'Continued increases in livestock costs impact inflation in meat, particularly across the lamb, pork and poultry categories,' Ms Weckert said. 'Inflation, excluding tobacco and fresh, moved into deflation at -0.3 per cent, with deflation in the health and home category offsetting continued inflation across categories impacted by higher coffee and cocoa prices, such as confectionery, boxed chocolates and coffee.' Coles announced group sales revenues lifted to $10.4bn in the third quarter, up $400m for this time last year on the back of its supermarket segment. Coles announced sales rose by $400m over the third quarter. NewsWire Credit: News Corp Australia Supermarket sales revenue came in at $9.4bn for the third quarter, up 3.7 per cent. If tobacco was taken out, sales revenue increased by 4.7 per cent. Sales revenue for the business's liquor division was $813m for the third quarter, down 2 per cent on last year. However, comparable sales were impacted by the timing of Easter Sunday, which fell in the prior corresponding period. 'While the liquor market continues to be impacted by subdued discretionary spending, sales revenue was underpinned by strong execution across events, such as Australia Day, and a reset of our value offer across all stores to deliver a more compelling offer for customers,' Ms Weckert told investors. Coles said in the early part of the fourth quarter, supermarket sales remained broadly in line with the third quarter, although it expects an increase in liquor sales over the Easter period.
News.com.au
30-04-2025
- Business
- News.com.au
‘Big promotions': Shoppers cut back as cost-of-living pressures bite
Coles says Australians are changing their spending habits and cutting back where they can as value-conscious shoppers continue to curb discretionary spending. Coles chief executive Leah Weckert said the supermarket giant's sales data for the three months until the end of March showed customers had cut back on treats, including lollies, alcohol, reduced their meat intake and ditching bottled water. She also said customers were also looking for heavily discounted stock to buy when on their weekly shop. 'Our most popular and well-performing specials would be the ones that are 40 to 50 per cent off,' Ms Weckert said. 'We have announced big promotions that are really relevant to customers instead of lots of small ones.' Ms Weckert said prices of health and home category products dropped during the period, while coffee and cocoa prices rose as shoppers prepared for Easter. Overall, prices rose 1.5 per cent across the supermarket. Excluding tobacco, supermarket inflation was 1.1 per cent. 'Continued increases in livestock costs impact inflation in meat, particularly across the lamb, pork and poultry categories,' Ms Weckert said. 'Inflation, excluding tobacco and fresh, moved into deflation at -0.3 per cent, with deflation in the health and home category offsetting continued inflation across categories impacted by higher coffee and cocoa prices, such as confectionery, boxed chocolates and coffee.' Coles announced group sales revenues lifted to $10.4bn in the third quarter, up $400m for this time last year on the back of its supermarket segment. Supermarket sales revenue came in at $9.4bn for the third quarter, up 3.7 per cent. If tobacco was taken out, sales revenue increased by 4.7 per cent. Sales revenue for the business's liquor division was $813m for the third quarter, down 2 per cent on last year. However, comparable sales were impacted by the timing of Easter Sunday, which fell in the prior corresponding period. 'While the liquor market continues to be impacted by subdued discretionary spending, sales revenue was underpinned by strong execution across events, such as Australia Day, and a reset of our value offer across all stores to deliver a more compelling offer for customers,' Ms Weckert told investors. Coles said in the early part of the fourth quarter, supermarket sales remained broadly in line with the third quarter, although it expects an increase in liquor sales over the Easter period.
