Covid costs hit profit for Woolworths as sales soar

Earnings dip: A customer walks into a Woolworths grocery store in Melbourne. Australia’s biggest employer says net profit from continuing operations and excluding one-off costs fell 6.5% to US$575mil in the six months to Jan 2. — Bloomberg

SYDNEY: Woolworths Group Ltd reported a slump in first half profit yesterday as Covid-19 lockdowns and mandatory staff isolation blew out costs, but the No. 1 Australian grocer’s shares rose as investors focused on robust sales growth.

The country’s biggest employer said net profit from continuing operations and excluding one-off costs fell 6.5% to A$795mil (US$575mil or RM2.4bil) in the six months to Jan 2. Profit from its supermarket chain, a closely watched measure, dipped 7.6%.