Metcash news

17 August 2022
As Metcash looks to invest in prices to remain competitive and launches SupaValu from IGA in Melbourne, Amazon offers free one-day delivery for Prime members, amongst other developments, we round up news from the market. Metcash aiming to remain price competitive… Metcash-owned IGA and Foodland stores, according to reports from The Australian, are aiming to remain price competitive by focus...
27 June 2022
As Australia’s Metcash reports its full year results we look at the numbers it has reported and five key standouts from its report. The numbers… For the full year ending 30 April 2022, Metcash reported: Group sales: +5.9% to AU$15.2 bn Group sales including charge-through: +6.4% to AU$17.4 bn and by 17.2% on a two-year basis Group EBIT: +17.7% to AU$472m and by 41.0% on a ...
07 December 2021
Despite cycling strong performance in FY21, Metcash has reported half year results for FY22 with revenue up 1.5% to AU$8.2bn and EBIT up 13.9% to AU$231m. We pull out five key learnings and assess the outlook for H2: 1. Underlying food sales remain very healthy Food sales decline 4.9% to AU$4,561m. The decline in sales is mainly due to the cycling of the termination of its supply agreement ...
08 October 2021
Metcash has announced that Doug Jones will succeed Jeff Adams as the CEO of Metcash in Australia. Significant retail and wholesale experience Doug Jones is the existing CEO and senior vice president of Massmart Wholesale in South Africa and will take over as Metcash CEO on 1 February 2022. It will be the second time in less than a year that we have seen a senior executive move from a South ...
06 July 2021
Having seen a surge in demand for online grocery retail over the past year, we have remodelled how we expect the channel to grow in Australia over the coming years, predicting that online grocery will achieve a market share of 9.9% by 2026, up from an estimated 5.0% by the end of FY21. COVID-19 has accelerated online grocery by three years in Australia Woolworths and Coles currently control...
30 June 2021
Metcash has released its annual results for the year ending 30 April 2021 with sales up 10.1% to AU$16,361.1m and EBIT up 19.9% to AU$401.4m. With sales significantly benefitting from changing shopping habits driven by the pandemic, as well as the retailer's progress against its strategy, we pull out our key learnings from the results and what to expect next. Food sales up 3.1% to AU$9,389.7m ...
19 March 2021
Metcash and Ritchies Supermarkets has launched the second SUPA VALU store in Australia in Ballina, New South Wales. New larger format set to impress The new store is a conversion of an existing SUPA IGA and is the second SUPA VALU store to open in Australia, following the Doonside store opening in western Sydney last year. At 3,000 sq m the store is larger than the first one, but has a very...
17 March 2021
Metcash held an investor meeting on 16 March, announcing a trading update, as well as its ambitions for growth post COVID-19. We highlight what we believe to be the top five significant priorities for Metcash over the coming years. 1. Retain customers gained due to the pandemic Metcash has undoubtedly benefitted from changing shopping habits because of the pandemic. Its network of over 5,00...
02 March 2021
IGA in Australia has teamed up with logistics provider DoorDash to offer grocery delivery from 100 of its supermarkets. Over 1,600 SKU's available within 45 minutes DoorDash will help IGA ramp up its online grocery delivery business that it fast-tracked to market last year due to the global pandemic. The partnership means that stores in Melboure, Sydney, Brisbane, Perth, Adelaide, Cairns, T...
26 February 2021
Half year results season in Australia is out of the way, with both Woolworths and Coles having released their HY performance reports over the last two weeks. As the attention swings towards H2 and the rest of 2021, we believe that there are five major trends that will shape the Australian grocery market as we cycle out of the pandemic... 1. Acceleration of online grocery Over the past few y...
15 December 2020
Metcash has reported H1 results for the period ending 31 October 2020 with sales revenue up 12.3% to AU$8,094m including charge-through sales and growth in sales volume across all pillars. Food sales up 9.5% to AU$4,795.9m Strong growth was achieved despite the loss of supply agreements to Drakes in South Australia in September 2019 and 7-Eleven in August 2020. Excluding these impacts, sale...
29 June 2020
Metcash has released results for its financial year ending 30 April 2020, with sales, including charge through, up 2.0% to AU$14.9bn and total EBIT up 1.5% to AU$334.9m. Food sales including charge through up 3.5% to AU$9,104m Sales were impacted by the loss of the Drakes account in South Australia, which terminated at the end of September. Despite this, Supermarket sales increased 3.8% to ...
04 June 2020
Metcash's chain of independant supermarkets IGA has launched a new grocery online service. New service not on radar before COVID-19 The new service called IGA Shop Online has spun off from activity during the Coronavirus pandemic, which saw IGA offer a new Priority Shop home delivery service, offering four pack options of essential items. While some IGA stores already provide either an on...
04 June 2020
In reaction to the Coronavirus (COVID-19) pandemic Australian retailers have implemented lots of measures to ensure that everyone has access to the food and consumer goods products they need - we will continue to update this article with the latest measures... Saying thank you Woolworths has announced that it will reward over 100,000 staff with over AU$50m of free company shares and gift...
31 January 2020
Some of Australia's leading independent retailers have formed Co-operatives Supermarkets Australia (CSA), a new buying group that will allow its members 'to collectively bargain with suppliers of goods and services to the Australian grocery industry'. Support from leading independent retailers The new group is spearheaded by former Coca-Cola Amatil managing director Warwick White and has si...
06 December 2019
Metcash has released half year results for the period ending 31 October 2019, with group revenue including charge-through sales, up 0.5% to AU$7.21bn. Underlying EBIT declined 5.3% to AU$149.7m, mainly attributed to a lower contribution from the food business as a result of the loss of its contract with Drakes on 30 September in South Australia Food sales including charge through increased 1.2...
27 November 2019
7-Eleven has decided to not renew its supply contract with Metcash when it runs out in in August 2020. Second major contract loss this financial year Metcash's annual sales from the contract with 7-Eleven amount to approximately AU$800m, mainly in lower margin categories such as tobacco. This latest development follows on from Metcash losing its contract to supply Drakes Supermarkets in So...
27 September 2019
Drakes Supermarket has opened its new distribution centre and in doing so ended its agreement with Metcash in South Australia. New DC to serve all South Australia Drakes stores The family-owned chain was Metcash's largest supermarket customer in South Australia and accounted for 3.5% of Metcash's national food and grocery sales. However, the new 55,000 sq m distribution centre, which will h...
24 June 2019
Metcash has released annual results for the year ending 30 April 2019, with group sales up 1.8% to AU$12.7bn, but EBIT down 1.4% to AU$330m. Food sales AU$7,836.4m, EBIT down 3.0% to AU$182.7m Metcash has published results as per new accounting standards and has therefore rebased its FY18 results. With this in mind, food sales growth was flat over the past 12 months. Supermarkets saw sales ...
04 June 2019
Following uncertainty over the agreement between the two, Metcash has agreed a new deal with Drakes Supermarkets in South Australia. New deal following challenges... Drakes' Foodland supermarkets will now be supplied by Metcash in South Australia until 30 September this year, with the possibility of extending the deal to the end of September 2020. Last year the agreement between the wholes...
06 March 2019
Metcash has revealed a new five year plan worth AU$270m that will see it speed up existing initiatives, test new store formats, upgrade its digital services and improve the infrastructure of the business. Continue to refurbish stores and expand private label Although Metcash has struggled in recent years, some of its strategies have been successful. The Diamond Store refresh programme has b...
04 December 2018
Metcash has releases HY results with sales revenue up 2.2% to AU$6.2bn and EBIT increasing 1.2% to AU$158.1m. Food sales up 1.0% to AU$4.3bn Supermarket sales were flat at AU$3.6bn, aided by easing price deflation duiring the half. Growth on the east coast and flat sales in South Australia were offset my declines in Western Australia. Wholesale sales declined -1.9%, although this marked an ...
28 June 2018
Metcash has posted its annual results for the year ending 30 April 2018, leading to plans to overhaul its convenience store network. Results varied across Group Metcash posted a sales increase of 4.3% to AU$14.5bn, but a AU$149.5m loss after tax (from a profit of AU$171.9m). Underlying net profit increased by 10.7% to AU$215.6m, while operating profit was up AU$332.7m. Sales in the retai...
07 June 2018
Metcash in Australia has lost its contract with South Australian retailer Drakes Supermarkets, plus faces other headwinds in an increasingly competitive environment. Competitive intensity in South and Western Australia The wholesale and distribution business will log an impairment on its goodwill and other assets of AU$352m in its supermarkets and convenience division full year results, whi...
22 May 2018
Australian grocery wholesaler and distributor Metcash has signed a deal with JD.com to introduce its Fresh Pantry convenience brand to China. Fresh Pantry brand set to expand faster overseas Metcash first launched the Fresh Pantry brand in Melbourne's CBD a few years ago and is yet to roll the concept out widely. It has however been playing with the format and made various changes to enhanc...