Retail giant Woolworths Limited
(ASX:WOW) has upped its guidance for the full year on better-than-expected profit in the first half. Strong growth from the food and liquor divisions helped drive underlying first-half net profit 6 per cent higher to $1.32 billion dollars.
The result was sullied by poor performances in its Big W chain and more losses for Masters, Woolies hardware joint-venture in the US. Masters posted a first-half fiscal loss of $71.9 million despite rising sales. This was due in part to the opening of 38 new stores.
However, strong supermarket and liquor sales results coupled with a lift in the New Zealand supermarkets business heartened Woolworths enough to raise expectations. The company increased guidance to a 5-7 per cent rise in full year profit, up from earlier advice of a 4-7 per cent growth range.
