Bunnings shines while Coles suffers sales growth dip

 In Australia, Bunnings, Coles, NewZealand
Hardware giant Bunnings was the only retailer in Wesfarmers’ stable to hit double digit sales growth in the third quarter, as fierce competition in grocery and a resurgent Woolworths punches a hole in Coles’ growth plans.
Comparable food and liquor sales at Coles increased by a skinny 0.3 per cent in the quarter down from 0.9 per cent in the second quarter and at a weaker rate than broker Citi’s estimate of a 0.5 per cent improvement.
Citi analyst Bryan Raymond expects Woolworths like-for-like sales to hit 3.5 per cent growth in the quarter, further widening the gap between the two dominant, grocery brands as Woolies reclaims the market share it gave away during its disastrous foray into large format Hardware through Masters Home Improvement.
Wesfarmers chief executive Richard Goyder characterised the performance of the conglomerate’s retail chains as "generally pleasing" given the later timing of Easter, which is believed to have benefited sales at other chains, including Woolworths. Sydney Morning Herald – Read more…

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