Woolworths Group shares surged 4.5% to A$40.590 on Wednesday after the Australian supermarket giant reported a 15.4% increase in underlying net profit for the fiscal year 2026, outpacing analyst expectations and lifting its final dividend by 15.6%.
Underlying net profit after tax, excluding significant items, rose to A$1.599 billion from A$1.385 billion a year earlier, while earnings before interest and tax (EBIT) climbed 12.7% to A$3.105 billion, about 2% above consensus estimates. Total group sales reached A$71.5 billion, with the Australian Food division posting a 4.6% increase in revenue, accelerating to 5.7% in the second half as management intensified price investments and in-store execution.
The company declared a final fully franked dividend of 52 cents per share, up from 45 cents in the prior year. The W Living division, which had posted losses in previous periods, swung to a profit of A$116 million, contributing to the overall earnings improvement. E-commerce continued to expand as a key contributor to revenue growth.
The gains follow a day of positive sentiment in the supermarket sector after rival Coles reported robust fiscal 2026 results. The broader S&P/ASX 200 index was up 0.56% on the day, reflecting broader market strength amid the sector’s rally.
