Business news

    Coles Group (ASX:COL) reports $1b profit as food inflation rises

    Article Image

    Coles lifted annual profit 4.3% to $1.05 billion in FY22 despite higher costs associated with supply issues such as Covid-19.

    The supermarket giant said July had seen further cost price inflation in produce due to recent flooding, in bakery due to wheat commodity prices, and in packaged groceries due to various supply chain cost increases including wages, packaging, raw ingredients and freight.

    ?With increasing inflation and rising interest rates placing pressure on many households, Coles will continue to focus on delivering trusted value to customers?, said CEO Steven Cain.

    Yesterday Coles announced it will freeze the price of 1,168 grocery staples such as eggs, bread and cleaning essentials both in-store and online until 2023 to help combat the ongoing cost of living crisis, following a similar move from Woolworths this week.

    Coles share price dropped 4.8% in early trade.

    Disclaimer

    Grafa is not a financial advisor. You should seek independent, legal, financial, taxation or other advice that relates to your unique circumstances. Grafa is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on the information provided directly or indirectly by use of this platform.

    Publisher
    Grafa