Woolworths business units retreat as headwinds compound
Multinational retailer Woolworths released its half-year financials, with most business units moving in the wrong direction.
Multinational retailer Woolworths released its half-year financials, with most business units moving in the wrong direction.
Woolworths food shines whilst its apparel and beauty units continue to underperform, a recurring theme since the acquisition of David Jones.
The group’s crown jewel, Woolworths Food, continues to flourish and eat up market share from competitors whilst DJ drags performance.
Woolworths Group sales for the 26 weeks ended 27 December 2020 increased by 5.3% compared to the prior period.
One has to question the role of a shareholder when 82.24% vote against a remuneration report, yet they are classified as ‘non-binding advisory votes’.
The Rand has weakened with other emergency currencies after the Federal Reserve Chairman Jerome Powell’s cut lending rates but ruled out extending the cycle.
Woolworths wrote down the value of its Australian department-store chain for a second time as the South African retail group’s ill-fated expansion continues to sour.
Woolworths, South Africa’s largest clothing and food retailer, said charges related to its struggling Australian business will result in a full-year loss, its first in at least 16 years.
Woolworths said Australian division head John Dixon will leave and won’t be replaced after South Africa’s biggest clothing and food retailer was forced to write off $541 million from the country’s David Jones business earlier this year.
Woolworths will maintain its dividend payout for the 26 weeks ended 25 December, as it announced a 4.3% drop in headline earnings per share.