Coles Holds Dividend as Annual Profit Stays Flat Amid Higher Costs

By Stuart Condie

SYDNEY--Australian supermarket operator Coles held its dividend after reporting a flat annual profit amid higher staff and financing costs.

The ASX-listed retailer on Tuesday reported a continuing-operations annual profit for the 52 weeks through June 25 of 1.042 billion Australian dollars (US$668.3 million), compared with A$1.045 billion a year earlier.

Revenue rose 5.9% to A$40.48 billion and the company declared a dividend of A$0.30 a share.

Including the fuel retail business it sold to Viva Energy in May 2023, net profit edged 4.8% higher to A$1.10 billion.

Coles said that supermarket sales volumes were modestly positive at the start of its fiscal 2024, which will be a 53-week reporting period. It said it was seeing early signs of customers shifting away from out-of-home dining despite moderating headline inflation.

The retailer said it would lift investment in technology and security in response to theft at some of its stores.

Write to Stuart Condie at stuart.condie@wsj.com

(END) Dow Jones Newswires

August 21, 2023 19:34 ET (23:34 GMT)

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