Slides
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WOOLWORTHS HOLDINGS LIMITED ANNUAL RESULTS FY26
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PRESENTATION outline 01/ OVERVIEW OF THE YEAR 02/ FINANCIAL OVERVIEW 03/ STRATEGIC UPDATE AND OUTLOOK 04/ QUESTIONS & ANSWERS
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Sam Ngumeni Group CEO OF THE YEAR overview
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overview OF THE YEAR Encouraging first half momentum offset by tough second half • Reasonable Group performance in a difficult context, but below plan, and below our potential • Food remains the standout performer, gaining profitable market share supported by leading premium proposition and disciplined execution • Fashion, Beauty, and Home (FBH) underperformed, with softer Fashion performance offsetting strong growth in Beauty and Home • Woolworths Financial Services (WFS) delivered another solid underlying result • Country Road Group (CRG) returned to full-year profitability, benefiting from brand repositioning and reset operating model • Improved inventory management supported working capital release, driving strong cash generation and cleaner base into FY27
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Zaid Manjra Group Finance Director OVERVIEW financial
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financial OVERVIEW FOR THE YEAR Improvement across all key financial metrics despite a slowing H2 due to the Middle East crisis impacting demand and operating costs Turnover and concession sales R84.5bn +4.3% on LY (+4.8% in constant currency) Adjusted EBITDA R8.9bn +2.8% on LY (+3.1% in constant currency) Adjusted EBIT R5.3bn +2.8% on LY (+3.2% in constant currency) Adjusted diluted HEPS 314.7cps +3.7% on LY (+4.6% in constant currency) Total dividend 199.0cps +5.9% on LY Net borrowings (excluding lease liabilities) R5.9bn WSA net debt: R7.0bn | Australia net cash: A$93.5m | R5.6bn LY Cash conversion | Free cash flow 104.5% 82.5% LY FCF per share R4.50 (R2.10 LY) ROCE 17. 0% 16.4% LY WACC of 11.2% (12.4% LY)
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segmental ADJUSTED EBIT Jun 2026Jun 2026Jun 2025Jun 2025 5 500 4 500 3 500 2 500 1 500 500 – Rm aEBIT Group Woolworths Financial Services +5.6% Country Road Group (A$m) +A$20.4m (18.1) Woolworths Fashion, Beauty and Home 1 600 1 375 216 228 2.3 -14.1% Woolworths Food 3 591 3 707 5 337 aEBITDA +2.8% WSA aEBIT -1.8% WSA aEBITDA +2.2% +3.2% +2.8% 5 194 (500) Steady growth in Food and WFS | FBH results well below expectations under challenging conditions | Positive CRG contribution | Impact of capital investments, exchange rates and fuel costs negatively impacted results
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South African MACRO CONTEXT 5% 4% 3% 2% 1% 0% 75% 65% 55% 45% 35% 25% 15% 5% -5% -15% -5 -10 -15 -20 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% Real consumer spending y-o-y % Diesel price (coastal, cents per litre) Real disposable income y-o-y % Real GDP y-o-y % CPI y-o-y % Consumer confidence indexSource: BER Source: IRESS Q1 Jul-25 Aug-25 Sep-25 Oct-25 Nov-25 Dec-25 Jan-26 Feb-26 Mar-26 Apr-26 May-26 Jun-26 Q2 Q3 Q4 CONSUMER INSIGHTS CPI VS DIESEL PRICEConsumer confidence index CPI Diesel price Consumer indicators declining significantly in H2 following Middle East crisis | Consumers under pressure from burdening debt and higher cost of living • Middle East war changed the trajectory of macro-indicators globally and locally • Fuel prices, inflation and interest rates have increased in H2 | Diesel (Inland) year-on-year up 51%; Petrol (Inland) up 31% • Consumer and investor confidence declined • Our customers under increasing pressure from high living costs, tightening income growth and fiscal drag
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Woolworths SA SALES PERFORMANCE • Solid above-inflation sales growth in a tough trading environment • H2 growth moderated, particularly in Q4 • High comparative base and softer consumer demand • Above-market sales growth • Comp growth +3.7% • Ave. price movement 4.7% (3.9% ex meat) • On-demand delivery growth +19.6% | Online contribution 7.3% to SA sales • H2 growth softened – slower growth in select produce and grocery categories • H2 further impacted by disruptions to trade • Good H1 growth | Pronounced drop-off in H2 demand • Comp growth +4.0% on price movement of 2.4% (Fashion: 0.9%) • Volume growth driven by increased clearance and price investment • Home +11.7% | Beauty +7.9% • Online contributing 6.3% to SA sales 4.1 5.4 % LY 8 6 4 2 - H1 H2 FY26 6.8 4.4 5.7 % LY 8 6 4 2 - H1 H2 FY26 7.0 2.6 4.4 % LY 8 6 4 2 - H1 H2 FY26 6.2
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Turnover and concession sales R55.4bn +5.7% on LY Gross profit margin 24.9% in line with LY Adjusted EBITDA R5.0bn +6.1% on LY Adjusted EBIT R3.7bn +3.2% on LY Adjusted EBIT margin 6.7% -0.2ppts on LY ROCE 37. 3% -3.6ppts on LY GP margin maintained through operational efficiencies, offsetting investment in DC expansion, higher fuel costs and increased online contribution | aEBITDA growth of 6.1% above sales growth | H2 aEBIT growth of 2.9% on improved GP margin and lower cost growth | ROCE remains sector- leading, albeit reflecting significant long-term capital investments A good result with continued profitable market share gains, supported by quality and innovation, ongoing focus on customer experience, and investment in capability
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Turnover and concession sales R16.1bn +4.4% on LY Gross profit margin 46.0% -1.3ppts on LY Adjusted EBITDA R2.4bn -5.5% on LY Adjusted EBIT R1.4bn -14.1% on LY Adjusted EBIT margin 8.6% -1.8ppts on LY ROCE 13.1% -3.0ppts on LY GP margin diluted by clearance of excess inventory and kidswear price investment | Lower profit contribution from Rest of Africa, together with forex losses, further impacted aEBIT | ROCE remains ahead of cost of capital, albeit impacted by significant prior investment and weaker FY26 performance Positive H1 result offset by a disappointing H2/Q4 performance | Slowing H2 sales growth exacerbated by GP margin dilution resulted in declining aEBIT
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Closing book +5.6% | Growth in non-interest revenue +17 .4% | Higher impairment coverage due to deteriorating macro-environment in H2; remains best in sector | Costs well controlled, enabling a ~19% ROE Solid performance in a challenging macro and consumer credit environment Closing book R15.8bn +5.6% on LY Net interest income R1.9bn +0.1% on LY 12.2% of book (12.2% LY) ROE 18.7% +0.3ppts on LYImpairment rate 7. 0% +0.9ppts on LY PAT R228m +5.6% on LY
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Australian MACRO CONTEXT 100 90 80 70 60 100 90 80 70 60 % 8 4 0 -4 % 30 25 20 15 10 % 8 4 0 -4 % 30 25 20 15 10 Mean of Westpac-Melbourne Institute and ANZ-Roy Morgan surveys; dashed line shows the start of the Middle East conflict Outliers during the COVID-19 pandemic have been truncated Source: ABS; RBASource: ANZ-Roy Morgan; RBA; Westpac-Melbourne Institute 2020 2021 2022 2023 2024 2025 2026 2010 2014 2018 2022 2026 CONSUMER SENTIMENT HOUSEHOLD CONSUMPTION AND INCOME index index Real, year-ended growth Gross saving ratio Consumption Disposable income Average since 1996 = 100 Retail sector already under stress aggravated by geo-political pressures and interest rate hikes | Sector remains intensely promotional • Inflation remains stubbornly high, driven by ongoing price pressures and energy costs – prolonged high cost of living • Consumer sentiment at its worst levels since Covid • Elevated household debt and high interest rates impacting discretionary spend and household consumption • Intensely promotion-driven retail environment over a prolonged period
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Country Road Group SALES PERFORMANCE (0.5) 1.0 % LY 4 2 - (2) H1 H2 FY26 2.3 • Comp growth +1.6% • Positive H1 sales growth | H2 recovery hampered by Middle East crisis and rising interest rates • Improved quality of sales with reduced clearance and promotions, notwithstanding heavily discounted retail sector • Brand repositioning delivering positive results in Witchery and Politix • Country Road brand traded marginally ahead of LY
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Turnover A$1 0 67. 2 m +1.0% on LY Gross profit margin 57. 7% +1.3ppts on LY Adjusted EBITDA A$113.3m +9.0% on LY Adjusted EBIT A$2.3m +A$20.4m on LY Adjusted EBIT margin 0.2% +1.9ppts on LY ROCE 0.3% +2.3ppts on LY GP margin gains from improved quality of sales | Good cost control from operating model reset | Disciplined inventory management resulting in improved GP margin and lower inventory levels Pleasing return to full-year profitability on an improved H2 result albeit below our expectations
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Jun 2025 Actual Jun 2026 Actual Jun 2027 Plan WSA Country Road Group R2 743 m R2 295m R2 050m A$21m A$13m A$14m R3.0bn R2.4bn R2.2bn 21% 24% 26% 30% 35% 44% 11% 18% 38% 27% 12% Store developmentStore maintenance Supply chainDigital and technology R3.0bn R2.4bn R2.2bn Jun 2025 Actual Jun 2026 Actual Jun 2027 Plan 3 000 2 000 1 000 – Rm 3 000 2 000 1 000 – Rm 14% capital EXPENDITURE Investments in new generation stores and Food DC expansion | Continued investment in digital, technology and customer experience Significant multi-year strategic projects nearing completion | Planned capex spend now increasingly customer-facing | Increased investment in digital and technology, while continuing to invest in store network
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group BALANCE SHEET Healthy balance sheet and improved return metrics | Gearing remains within target • Balance sheet health supports investments in growth • Significantly improved working capital from reduced inventory levels • Gearing metrics remain within targeted range and covenants • A$105m repatriated from Australia to SA • R500m share buybacks at a weighted average price of R51.33 per share • ROCE well above WACC, improvement on LY, despite significant long-term investments and weaker FBH performance Net borrowings R5.9bn WSA net debt: R7.0bn | Australia net cash: A$93.5m | R5.6bn LY ROCE 17. 0% 16.4% LY WACC of 11.2% (12.4% LY) Net debt / EBITDA 1.44X 1.46x LY Net debt / Equity 1.24X 1.18x LY Free cash flow R4.0bn R1.9bn LY
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cash FLOW Joint venture dividends Net finance costs Taxation Lease liabilities repaid Share schemes | Other loans Free cash flow Working capital movements Cash inflow from trading Expansion capex DividendsMain- tenance capex Rm Share repurchased Increase in net gearing* 9 500 7 500 5 500 3 500 1 500 (500) 8 858 216462 (624) (868) (1 802) (689) (1 877) (1 789) (500) (204) (1 591) FCF per share R4.50 * Net gearing excludes R74m currency translation impact 3 962 Strong free cash flow of R4.0bn from operating activities and reduction in working capital | Share repurchases, including employee share schemes of R1 033m | Cash conversion at 105% | FCF per share of R4.50 per share
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fy27 FIRST SEVEN WEEKS TRADING AND OUTLOOK CRG • Sales -7 .7% on LY • Reduced clearance and improved margins • Net space planned reduction at 6.0% - 6.5% for full year FOOD • +3.2% sales growth • H1 price movement expectation 3.5% - 4.5% (YTD 3.1%) • Net space planned increase of 3.0% - 3.5% for full year FBH • +1.7% sales growth • H1 price movement expectation 4.0% - 5.0% (YTD -0.3%; Fashion -1.7%) • Net space expected flat on last year
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Sam Ngumeni Group CEO UPDATE & OUTLOOK strategic
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MY perspective OF THE GROUP I am clear on what will drive future performance, on what must be done, and what must change, and we are acting decisively to do just that • Strategic direction of our underlying businesses is broadly sound ; our challenge lies in where and how we’ve focused our time, efforts, and resources across the portfolio • Good progress made over the past few years in enhancing our approach to capital allocation, and deliberately returning capital to South Africa, but portfolio construct doesn’t yet optimise our ability to deliver superior shareholder returns • We need to shift capital and focus, top-down, toward the highest-return opportunities across categories, channels and geographies • Requires clear view of the role each component part plays within the customer journey and the broader portfolio
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THE power OF OUR FOOD BUSINESS Our strategies, capital allocation, and execution must give effect to a single customer-centred, brand-led ambition, anchored in our premium Food business • Food is our heartland, strongest competitive advantage and greatest differentiator • Primary engine of brand equity: quality, innovation, sustainability, and customer-centricity • Primary engine of value creation: market share growth, operating and financial metrics • A stronger Food proposition drives frequency, footfall, loyalty, basket economics and broader ecosystem value • Our opportunity, and future, lies in a more unified Woolworths ecosystem, led by Food and supported by select adjacencies which complement Food
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THE shifts WE ARE MAKING We are reorienting the Group around Foods, with carefully selected adjacent categories strengthening the customer proposition, and our own ecosystem SHIFT 1: PRIORITISING GROWTH OPPORTUNTIES IN FOOD We are prioritising growth opportunities within our Food ecosystem to increase share of wallet and maximise profit rands • Protecting and growing core Food Retail as the destination for quality, innovation, sustainability and trusted value • Expanding Food Services as a driver of new revenue streams, new customer acquisition, and increased share of existing customer spend • Leveraging strategic partnerships to extend our convenience offering, unlocking new customer missions and incremental revenues (e.g. UberEats, Engen) • Integrating select strategic acquisitions to strengthen existing moat, and as driver of new revenue streams • Continuing to roll out our Store of the Future formats | Resetting, accelerating and transforming our online proposition , to fundamentally alleviate customer friction, and drive greater aEBIT rands
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We are reorienting the Group around Foods, with carefully selected adjacent categories strengthening the customer proposition, and our own ecosystem THE shifts WE ARE MAKING SHIFT 2: HONING THE ROLE OF F | B | H • Scaling select growth adjacencies where Food brand equity translates most strongly into commercial momentum and value SHIFT 3: EMBEDDING NEW LEADERSHIP AND RESET OPERATING MODEL • Leadership now configured around execution and operational performance • Reset model simplifies structures, strengthens accountability and reduces cost of doing business SHIFT 4: FURTHER EVOLVING OUR APPROACH TO CAPITAL ALLOCATION • Embedding top-down prioritisation , strategic discipline and capability • Investing behind areas with greatest “right to win” and greatest potential to create value SHIFT 5: UNDERTAKING STRATEGIC REVIEW OF UNDERPERFORMING / SUB-OPTIMAL PORTFOLIO COMPONENTS • Clarifying each component’s role , path to improved returns, and appropriate level of investment • Optimising portfolio through mix and improving underlying performance
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WHL exco SAM NGUMENI EXECUTIVE DIRECTOR AND GROUP CHIEF EXECUTIVE OFFICER Tenure: 30 years STEVEN COOK CHIEF EXECUTIVE OFFICER: THE COUNTRY ROAD GROUP Tenure: 1 years MELANIE NAIDU GROUP PEOPLE DIRECTOR Tenure: 8 years BRADLEY NITSCKIE CHIEF OPERATING OFFICER Tenure: 16 years CHRISTOPHER BRIKKELS DIRECTOR STRATEGY AND FOOD SERVICES Tenure: 29 years CHAN PILLAY CHIEF EXECUTIVE OFFICER: FOOD Tenure: 33 years CHRISTIE KOORTS CHIEF DIGITAL AND TECHNOLOGY OFFICER Tenure: 26 years SIMPHIWE PATO INTERIM CHIEF MARKETING OFFICER Tenure: 2 years Tenure refers to time with the business ZAID MANJRA EXECUTIVE DIRECTOR AND GROUP FINANCE DIRECTOR Tenure: 18 years CHANTEL REDDIAR DIRECTOR: GOVERNANCE, RISK AND COMPLIANCE AND GROUP COMPANY SECRETARY Tenure: 10 years MANIE MARITZ CHIEF EXECUTIVE OFFICER: FBH Tenure: 6 years OUR LEADERSHIP TEAM HAS BEEN RECONFIGURED TO DRIVE CLEARER OWNERSHIP , FASTER DECISIONS, AND SHARPER ACCOUNTABILITY WHERE VALUE IS CREATED.
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A moment OF RESET
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Notwithstanding external headwinds, our reset Group will convert the strength of our brand, people and capabilities into higher-quality earnings, stronger returns and sustainable long-term value creation • Near-term trading conditions expected to remain challenging with continued pressure on consumer demand • Our future lies in decisions and actions already taken, and choices we are making, to reset the Group around its greatest sources of value • Any reset takes time, but objective is clear: “ we need to optimise the Group’s portfolio and improve our quality and consistency of earnings, by addressing not just underlying performance of the component parts, but through a deliberate shift in its mix” • Strategic review already underway, with progress to be shared at interim results outlook
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WE HAVE A BRILLIANT BRAND, WITH A BRILLIANT FUTURE. WE HAVE CLARITY ON WHAT WILL DRIVE FUTURE PERFORMANCE, WHAT MUST BE DONE, WHAT MUST CHANGE AND WE HAVE THE CONVICTION TO ACT DECISIVELY.
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To our people for your commitment and energy To our suppliers and partners for your expertise and collaboration To our customers for your loyalty and trust THANK you!
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APPENDIX
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• FINANCIAL HIGHLIGHTS • GROUP PERFORMANCE • GROUP INCOME STATEMENT • IMPACT OF FOREIGN EXCHANGE AND FUEL COSTS • RECONCILIATION OF ADJUSTED HEADLINE EARNINGS • GROUP BALANCE SHEET • GROUP NET DEBT • AUSTRALIAN BALANCE SHEET • INCOME STATEMENTS BY BUSINESS • IFRS 16 | DEPRECIATION AND AMORTISATION • TRADING SPACE | STORE LOCATIONS appendix CONTENTS
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financial HIGHLIGHTS • Positive sales growth for the year across all segments | Slowing growth from H1 to H2 (particularly in Q4) due to impact of macros on consumer spending • adHEPS increased by 4.6% and aEBIT was up 3.2% in constant currency • Food delivered positive profit growth , notwithstanding slowing topline growth | Maintained GP margin despite higher fuel costs, Midrand DC investment and increased online contribution • Disappointing FBH result on softer sales growth and GP margin dilution from increased clearance, and negative forex translation effects • Solid result from WFS despite a challenging H2 consumer and credit environment • Woolworths SA aEBIT down on LY; aEBITDA ahead , reflecting heightened investments • CRG returned to full-year profitability in an intensely promotional environment, supported by improved quality of sales and lower cost of doing business • Adjustments to earnings include restructure and transaction costs, transformation costs, asset impairments • Significantly improved inventory position and reduced working capital • Healthy balance sheet , with improved free cash flow and strong cash conversion • Sound capital allocation , including accretive share buybacks | Acquisition of in2food awaiting Competition Commission approval • Full year dividend increased by 5.9% to 199.0cps
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H2 FY26 Full year Turnover and concession sales R42.0bn +3.3% on LY R84.5bn +4.3% on LY Adjusted PBT R1.7bn +5.0% on LY R3.8bn +2.4% on LY Adjusted EBIT R2.5bn +3.1% on LY R5.3bn +2.8% on LY Adjusted EBITDA R4.3bn +2.4% on LY R8.9bn +2.8% on LY Adjusted diluted HEPS 314.7cps +3.7% on LY Total dividend per share 199.0cps +5.9% on LY Free cash flow R4.0bn Net borrowings (excluding lease liabilities ) R5.9bn Net debt to EBITDA 1.44x group PERFORMANCE
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group INCOME STATEMENT Jun 2026 Rm Jun 2025 Rm % change Turnover and concession sales 84 510 80 989 4.3 Gross profit 28 196 27 279 3.4 Adjusted EBITDA 8 920 8 679 2.8 Adjusted EBIT 5 337 5 194 2.8 Woolworths Food 3 707 3 591 3.2 Woolworths Fashion, Beauty and Home 1 375 1 600 (14.1) Woolworths Financial Services (50% of PAT) 228 216 5.6 Country Road Group 27 (213) >100 Net rental income – 104 Net finance and other costs (1 574) (1 624) (3.1) Adjusted profit before tax 3 763 3 674 2.4 Tax (972) (910) 6.8 Adjusted profit after tax 2 791 2 764 1.0 Adjustments (post-tax) (460) (309) 48.9 Profit after tax 2 331 2 455 (5.1) Adjusted diluted HEPS (cents) 314.7 303.4 3.7 Effective tax rate 26.3% 18.4% Adjusted effective tax rate 25.8% 24.8% WANOS (millions) 881.6 893.7 (1.4) Diluted WANOS (millions) 891.7 903.0 (1.3) Higher promotions in FBH to clear excess inventory; price investment A$20.4m ahead of LY Property rental in base; sold in Dec 24 Lower interest rates; net cash in Australia Asset impairments, restructure and transaction costs, Value Chain Transformation, forex losses Increased contribution from higher tax rate jurisdictions; permanent differences 9.7m shares repurchased Positive growth across all businesses
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impact OF FOREIGN EXCHANGE* AND FUEL COSTS As reported Rm Forex impact Rm Fuel impact Rm Excluding forex & fuel Rm % LY Woolworths Food 3 707 25 25 3 757 4.1 Woolworths Fashion, Beauty and Home 1 375 49 4 1 428 (12.4) Woolworths Financial Services (50% of PAT) 228 – – 228 5.6 Country Road Group 27 1 11 39 >100 Group adjusted EBIT 5 337 75 40 5 452 4.0 Group adjusted EBITDA 8 920 75 40 9 035 3.5 * Excludes abnormal unrealised foreign exchange losses of R8m in WSA not in Adjusted EBIT; included in Headline earnings
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reconciliation OF ADJUSTED HEADLINE EARNINGS Jun 2026 Rm Jun 2025 Rm % change Basic earnings 2 319 2 443 (5.1) Non-core HEPS adjustments (post-tax) 27 (12) Abnormal capital items (pre-tax) 178 176 Impairment of assets 161 968 Loss/(profit) on disposal of property, plant and equipment and investment property 17 (792) Tax impact of capital items (35) (211) Headline earnings 2 489 2 396 3.9 Abnormal items (pre-tax) 421 490 Restructure and transaction costs 247 492 Value Chain Transformation 166 7 Unrealised foreign exchange losses/(gains) 8 (9) Tax impact of abnormal items (104) (146) Adjusted headline earnings 2 806 2 740 2.4
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group BALANCE SHEET * Based on lease liabilities net of deferred tax Lower inventory levels in FBH and CRG A$105.0m repatriated to SA | Remaining cash retained in Australia | Short-term cash balances Well within gearing limits Jun 2026 Rm Jun 2025 Rm Constant currency % change Assets Property, plant and equipment and intangible assets 16 343 15 993 2.9 Right-of-use assets 7 277 7 376 (0.3) Investments in joint ventures 1 239 1 228 0.9 Inventories 8 069 8 887 (8.6) Receivables, derivatives, investments and loans 1 882 1 660 14.3 Deferred tax and tax assets 1 521 1 412 10.0 Cash and cash equivalents 3 099 4 291 (26.9) Total Assets 39 430 40 847 (2.7) Equity and liabilities Shareholders' funds 10 299 10 711 (2.3) Borrowings and overdrafts 8 940 9 854 (9.2) Lease liabilities 9 676 9 816 (0.4) Deferred tax and tax liabilities 211 164 29.3 Payables, derivatives and provisions 10 304 10 302 0.6 Total equity and liabilities 39 430 40 847 (2.7) Net borrowings 5 904 5 626 Net gearing including lease liabilities* 12 813 12 621 Net debt to EBITDA* (times) 1.44 1.46 Net debt to Equity* (times) 1.24 1.18 Period-end exchange rate (R/A$) 11.36 11.71
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group NET DEBT * Partially hedged all-in rate including amortisation of upfront costs Jun 2026 Jun 2025 WHL Net debt ( Rm) 5 904 5 626 Interest-bearing debt 8 749 9 349 Net cash and cash equivalents (2 845) (3 723) Unutilised committed facilities – Group 7 586 4 511 WSA Net debt (Rm) 6 966 7 734 Interest-bearing debt 8 613 8 764 Net cash and cash equivalents (1 647) (1 030) Unutilised committed facilities – SA 6 927 4 277 Australia Net cash ( A$m) (94) (180) Interest-bearing debt 12 50 Net cash and cash equivalents (106) (230) Unutilised committed facilities - CRG 58 20 Net finance costs ( Rm) 671 698 ZAR net debt (Rm) 699 737 AUD net cash (A$m) (2) (3) WSA Borrowing rate* 8.20% 8.82%
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Australian BALANCE SHEET Jun 2026 A$m Jun 2025 A$m Assets Property, plant and equipment 83 99 Intangible assets* 233 240 Right-of-use assets 226 244 Inventories 146 170 Receivables, derivatives, deferred tax and tax assets 153 141 Total assets 841 894 Liabilities, excluding borrowings (204) (197) Lease liabilities (285) (308) Capital employed 352 389 Equity* 446 569 Net cash (94) (180) * Includes notional goodwill allocation in Country Road Group
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• Comparable sales +3.7% | Price movement of 4.7% (3.9% excluding Meat) | H2 price movement of 4.8% • Trading space increased by 3.5% (Weighted: 2.5%) • Online sales contribute 7.3% | On-demand +19.6% • GP margin maintained through operational efficiencies, despite additional fuel costs, DC expansion and increased online contribution • Expenses +6.5% on LY, impacted by strategic initiatives and online | Store costs +9.1%; Comp stores +5.9%; Other operating costs +1.0% • aEBIT margin of 6.7%, impacted by higher costs from initiatives in the near-term H2 2026 Rm H2 % Jun 2026 Rm Jun 2025 Rm % change Turnover and concession sales 28 063 4.4 55 369 52 389 5.7 Gross profit margin 25.0% 24.9% 24.9% Expenses 5 084 5.2 10 060 9 444 6.5 Adjusted EBIT 1 926 2.9 3 707 3 591 3.2 Adjusted PBT 1 762 2.9 3 371 3 277 2.9 Adjusted EBITDA 2 602 5.3 5 037 4 748 6.1 Adjusted EBIT margin 6.9% 6.7 % 6.9% ROCE 37.3% 40.9% Adjusted EBITDA +6.1%
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H2 2026 Rm H2 % Jun 2026 Rm Jun 2025 Rm % change Turnover and concession sales 7 800 2.6 16 078 15 394 4.4 Gross profit margin 46.3% 46.0% 47.3% Expenses 2 983 6.2 5 969 5 639 5.9 Adjusted EBIT 604 (27.8) 1 375 1 600 (14.1) Adjusted PBT 429 (34.7) 1 030 1 240 (16.9) Adjusted EBITDA 1 111 (14.5) 2 355 2 491 (5.5) Adjusted EBIT margin 7.7% 8.6% 10.4% ROCE 13.1% 16.1% • Comparable sales +4.0% | Price movement of 2.4% (Fashion: 0.9%) • Trading space reduced by 0.7% (Weighted: -0.2%) from space optimisation | Trading densities improved by 5.5% • GP margin impacted by higher levels of promotions to clear excess inventory, Kidswear price investment, lower private label beauty contribution • Online sales contributing 6.3% of SA FBH sales • Expenses +5.9% from costs associated with Value Chain and other strategic initiatives | Store costs growth +4.2%; Other operating costs +8.8% • aEBITDA -5.5% on LY +4.4% Turnover and concession sales
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PAT +5.6% Jun 2026 Rm Jun 2025 Rm % change Average total financial services assets 15 330 15 240 0.6 Income statement % to book % to book Net interest income 1 867 12.2 1 865 12.2 0.1 Impairment charge 1 080 7.0 937 6.1 15.3 Risk-adjusted margin 787 5.1 928 6.1 (15.2) Non-interest revenue 1 305 8.5 1 112 7.3 17.4 Operating costs 1 466 9.6 1 446 9.5 1.4 Profit before tax 626 4.1 594 3.9 5.4 Tax 170 1.1 162 1.1 4.9 Profit after tax 456 3.0 432 2.8 5.6 50% share 228 216 5.6 Return on equity 18.7% 18.4% • Closing book +5.6% on LY | Focus on quality growth in deteriorating H2 environment • Net interest income marginally up on LY, on lower interest rates • Impairment rate of 7.0% vs. 6.1% LY; remains sector leading • Woolworths card contribution to sales: FBH 16.3% (LY: 16.7%) | Food 7.4% (LY: 7.7%)
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H2 2026 A$m H2 % Jun 2026 A$m Jun 2025 A$m % change Turnover 498.6 (0.5) 1 067.2 1 056.6 1.0 Gross profit margin 57.5% 57.7% 56.4% Expenses 301.9 (0.9) 621.3 623.6 (0.4) Adjusted EBIT (12.5) 61.3 2.3 (18.1) >100 Adjusted PBT (25.8) 41.5 (24.7) (41.6) 40.6 Adjusted EBITDA 42.0 42.9 113.3 103.9 9.0 Adjusted EBIT margin (2.5%) 0.2% (1.7%) ROCE 0.3% (2.0%) • Comparable sales +1.6% • Trading space flat year-on-year • Online sales contribution 27.8% • GP margin improvement from higher full-price sales and targeted promotions • Expenses well managed, 0.4% lower than LY, despite high inflationary pressures; benefitting from operating model reset • Positive aEBIT and aEBITDA (+9.0% on LY) contribution to Group Adjusted EBITDA +9.0%
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Woolworths Country Road Group Rm Treasury Rm Intragroup Rm Group Rm Jun 2026 Food Rm FBH Rm Logistics Rm WFS Rm Turnover and concession sales 55 369 16 078 827 – 12 236 – – 84 510 Concession sales (1 349) (320) – – – – – (1 669) Turnover 54 020 15 758 827 – 12 236 – – 82 841 Cost of sales 40 558 8 505 827 – 5 173 – (418) 54 645 Gross profit 13 462 7 253 – – 7 063 – 418 28 196 Concession and other revenue 305 91 – – 87 – – 483 Expenses 10 060 5 969 – – 7 123 (6) 418 23 564 Store costs 6 993 3 722 – – 4 514 – – 15 229 Other operating costs 3 067 2 247 – – 2 609 (6) 418 8 335 Financial services and joint venture – – – 228 – – – 228 Adjusted EBIT 3 707 1 375 – 228 27 6 – 5 343 Net finance costs (336) (345) – – (310) (589) – (1 580) Adjusted profit before tax 3 371 1 030 – 228 (283) (583) – 3 763 Adjustments (144) (377) – – (78) – – (599) Profit before tax 3 227 653 – 228 (361) (583) – 3 164 fy26 GROUP SEGMENTAL INCOME STATEMENT
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fy25 GROUP SEGMENTAL INCOME STATEMENT Woolworths Country Road Group Rm Treasury Rm Intragroup Rm Group Rm Jun 2025 Food Rm FBH Rm Logistics Rm WFS Rm Turnover and concession sales 52 389 15 394 767 – 12 439 – – 80 989 Concession sales (1 161) (291) – – – – – (1 452) Turnover 51 228 15 103 767 – 12 439 – – 79 537 Cost of sales 38 449 7 964 767 – 5 420 – (342) 52 258 Gross profit 12 779 7 139 – – 7 019 – 342 27 279 Concession and other revenue 244 89 – – 111 106 – 550 Expenses 9 444 5 639 – – 7 343 11 342 22 779 Store costs 6 407 3 573 – – 4 753 – – 14 733 Other operating costs 3 037 2 066 – – 2 590 11 342 8 046 Financial services and joint venture 12 11 – 216 – – – 239 Adjusted EBIT 3 591 1 600 – 216 (213) 95 – 5 289 Net finance costs (314) (360) – – (277) (664) – (1 615) Adjusted profit before tax 3 277 1 240 – 216 (490) (569) – 3 674 Adjustments (13) (39) – – (1 403) 789 – (666) Profit before tax 3 264 1 201 – 216 (1 893) 220 – 3 008
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IFRS 16 | DEPRECIATION AND AMORTISATION Jun 2026 Jun 2025 Group Rm WSA Rm CRG A$m Group Rm WSA Rm CRG A$m Depreciation and amortisation Pre IFRS 16 1 771 1 393 33 1 676 1 184 42 Right-of-use assets 1 812 917 78 1 809 864 80 3 583 2 310 111 3 485 2 048 122 Cash flows Lease liabilities repaid (including finance costs ) 2 711 1 572 100 2 713 1 465 104 Finance costs paid 1 746 1 471 24 1 740 1 420 26 On Lease liabilities 909 679 20 917 674 21 On Borrowings 837 792 4 823 746 5 Group WSA CRG Lease liabilities Rm Rm A$m Jun 2026 9 676 6 557 285 Jun 2025 9 816 6 313 308 Right-of-use assets Jun 2026 7 277 4 716 226 Jun 2025 7 376 4 513 244 Average remaining lease terms (years) Jun 2026 4.1 4.8 2.1 Jun 2025 4.0 4.8 2.2 With no options: Jun 2026 3.3 3.7 2.0 With no options: Jun 2025 3.1 3.5 2.0
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trading SPACE | STORE LOCATIONS STORE LOCATIONS # Change # Change # Change # Change # Woolworths Fashion, Beauty and Home 292 8 300 (3) 297 15 312 16 328 South Africa 225 6 231 (6) 225 12 237 11 248 Rest of Africa 67 2 69 3 72 3 75 5 80 Woolworths Food 669 41 710 48 758 51 809 51 860 South Africa 643 41 684 48 732 51 783 50 833 Rest of Africa 26 – 26 – 26 – 26 1 27 Country Road Group 630 (9) 621 (64) 557 – 557 39 596 Australasia 542 (13) 529 (66) 463 (10) 453 27 480 South Africa 88 4 92 2 94 10 104 12 116 Group 1 591 40 1 631 (19) 1 612 66 1 678 106 1 784 TRADING SPACE Jun 2025 000m2 % change Jun 2026 000m2 % change Projected Jun 2027 000m2 % change Projected Jun 2028 000m2 % change Projected Jun 2029 000m2 Woolworths Fashion, Beauty and Home 421.8 (0.7) 418.8 – 418.7 0.9 422.5 1.1 426.9 South Africa 374.2 (1.3) 369.2 (0.5) 367.5 0.5 369.4 0.7 372.0 Rest of Africa 47.6 4.0 49.6 3.3 51.2 3.5 53.0 3.5 54.9 Woolworths Food 309.2 3.5 320.0 3.4 330.9 3.4 342.1 3.4 353.9 South Africa 302.1 3.6 312.9 3.6 324.1 3.4 335.0 3.5 346.6 Rest of Africa 7.1 0.2 7.1 (3.7) 6.8 4.0 7.1 2.3 7.3 Country Road Group 101.0 (0.2) 100.9 (6.2) 94.6 3.0 97.5 6.0 103.3 Australasia 85.6 (1.2) 84.5 (8.3) 77.5 1.5 78.6 4.9 82.4 South Africa 15.5 5.8 16.4 4.8 17.1 10.2 18.9 10.5 20.9 Group 832.1 0.9 839.6 0.5 844.2 2.1 862.0 2.6 884.0
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disclaimer Shareholders are advised that the information in this presentation has not been reviewed and reported on by Woolworths Holdings’ external auditors and it does not constitute a profit forecast. Woolworths Holdings has taken reasonable efforts to ensure the accuracy and completeness of the information contained in this presentation. This presentation contains certain forward-looking statements with respect to Woolworths Holdings and its business. Forward-looking statements are not statements of fact, but statements based on Woolworths Holdings current estimates, projections, expectations, beliefs and assumptions regarding the Group’s future performance, financial condition and results. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances beyond the control of Woolworths Holdings. No assurance can be given that forward-looking statements will prove to be correct and undue reliance should not be placed on such statements. The risks and uncertainties inherent in the forward-looking statements contained in this presentation include, but are not limited to, changes to IFRS and the interpretations, applications and practices subject thereto as they apply to past, present and future periods; domestic business and market conditions; changes in the domestic regulatory and legislative environments; changes to domestic operational, social, economic and political risks; and the effects of both current and future litigation. As a result, Woolworths Holdings actual future financial condition, performance and results may differ materially from those set out in any forward-looking statements. Woolworths Holdings does not undertake to update any forward-looking statements contained in this presentation and does not assume responsibility for any loss or damage whatsoever and howsoever arising as a result of the reliance by any party thereon, including, but not limited to, loss of earnings, profits, or consequential loss or damage.