Woolworths Group Limited (ASX: WOW) is stepping into the second half of F26 with real momentum behind it. The Company has delivered improved earnings across all segments for the 27 weeks ended 4 Jan 2026, alongside a 15.4% lift in its interim dividend. It is a result that signals something more than a routine update.
Figure 1: Woolworths Group signage [Finance News Network]
Group sales reached $37.1 billion, up 3.4% on the prior year. More notably, Group EBIT before significant items rose 14.4% to $1,660 million. Every segment of the business grew sales and EBIT in the prior year. That kind of broad-based improvement is hard to ignore.
Woolworths Financial Results 2026: Profit Growth and Dividend Hike
Woolworths Group reported Group NPAT before significant items of $859 million for H1 F26, up 16.4% on the prior year. Basic EPS before significant items also rose 16.4% to 70.4 cents. The Board declared a fully franked interim dividend of 45 cents per share, payable on or around 2 Apr 2026.
Figure 2: Woolworths Group H1 FY26 financial performance summary before and after significant items, including sales, EBIT, NPAT, EPS and interim dividend [Woolworths Group]
Woolworths financial results 2026 include a $710 million provision that was recognised following the Federal Court ruling on salaried team member remediation. This drove Group NPAT after significant items down 49.4% to $374 million. The provision fell within the Company’s previously announced range of $450 million to $750 million before income tax.
Australian Food Drives the Woolworths Half-Year Results 2026
Woolworths half-year results 2026 indicate that the Australian Food segment remains the core of the business. Australian Food sales increased 3.6% in H1 to $27,626 million. EBIT rose 9.9% to $1,510 million, with the EBIT margin up 32 basis points to 5.5%.
Figure 3: Australian Food segment financial performance for H1 FY26 [Woolworths Group]
Customer momentum built through the first half. VOC NPS (Store and Online) ended H1 up 10 points on the prior year. eCommerce sales grew 15.3% to $4,331 million, with MILKRUN the fastest-growing eCommerce proposition in the half. Everyday Rewards active members reached 10.6 million in Q2, up 3.8% on the prior year.
W Living and B2B Show Strong EBIT Growth
Woolworths half-year results 2026 highlight that the W Living segment delivered a standout half. W Living EBIT jumped 185.6% to $96 million, driven by BIG W EBIT growth of 122.5% to $70 million and Petstock EBIT rising 49.6% to $32 million. BIG W total sales grew 1.8% to $2,647 million.
Australian B2B also delivered. Sales increased 4.9% to $3,128 million, with EBIT up 14.6% to $89 million. PFD drove double-digit earnings growth through strong sales and cost control. ROFE improved 232 basis points to 12.0%.
New Zealand Makes Quiet but Meaningful Progress
Woolworths Group’s New Zealand Food segment continued its transformation. New Zealand Food EBIT rose 22.4% to NZD 100 million in H1, with ROFE improving 171 basis points to 5.2%. Sales grew 2.8% in New Zealand dollars to NZD 4,406 million.
Woolworths H1 2026 results showed that the Company completed the rebranding of the New Zealand store network from Countdown to Woolworths during the half. eCommerce sales grew 13.9% to NZD 705 million, driven by strong same-day propositions. Active Everyday Rewards members reached 2.1 million, up 6% on the prior year.
Cost Discipline and Capital Management
The Woolworths financial results 2026 reflect a meaningful improvement in cost efficiency. Group CODB (%) declined 25 basis points, supported by an above-store cost-saving program that delivered $400 million in run-rate savings by December, in line with targets. Group ROFE improved 56 basis points to 15.2%.
Figure 4: Group cash flow performance for the 27 weeks ended 4 January 2026 [Woolworths Group]
Woolworths H1 2026 results mentioned cash from operating activities before interest and tax reached $3,156 million, up 4.5% on the prior year. The cash realisation ratio improved to 95% from 87% in H1 F25. The Company maintains credit ratings of BBB (stable outlook) from Standard and Poor’s and Baa2 (stable outlook) from Moody’s.
What Woolworths Group CEO Said About the Half-Year Results 2026
Woolworths Group CEO Amanda Bardwell said the Company was making progress on the strategy outlined in August and had invested in value, fresh offer, on-demand convenience and in-store execution.
Figure 5: Woolworths Group CEO Amanda Bardwell [The Australian]
“As we look to H2, trading in Q3 to date has been strong in Australian Food; however, customers continue to be value-focused, shopping multiple retailers in a highly competitive environment. Our focus is to continue to provide value to customers, rebuild trust and maintain sales momentum while making further progress on our strategic priorities to deliver for our customers, team and shareholders.”
Group Chair Scott Perkins noted that delivering on commitments is leading to greater stability and improved financial performance across the Group.
Share Price Performance
Woolworths Group shares are listed on the ASX under the ticker WOW. As of 25 Feb 2026, WOW last traded at $35.130 per share, with a market capitalisation of $38.52 billion. The 52-week range sits at $25.510 to $35.250 per share, reflecting a notable re-rating over the past year.
Figure 6: Woolworths Group Limited share price performance over the past year following the release of the H1 FY26 results [ASX]
Woolworths H1 2026 Results: Outlook and Strategic Priorities
Woolworths H1 2026 results show Australian Food sales growth (Woolworths Food Retail) for the first seven weeks of H2 reached 5.8% (7.2% ex Tobacco). Reported F26 EBIT growth for Australian Food is expected at the upper end of the mid-to-high single-digit range.
BIG W remains on track to be EBIT and cash flow positive in F26. New Zealand Food transformation is expected to continue in H2, though the economic environment remains challenging. The Other segment LBIT is expected to be $240 million to $260 million for F26.
FAQ
Q1. What were the Woolworths half-year results 2026 headline numbers?
Ans. Group sales reached $37.1 billion, up 3.4%. Group NPAT before significant items rose 16.4% to $859 million.
Q2. What is the Woolworths interim dividend for H1 F26?
Ans. The Company declared a fully franked interim dividend of 45 cents per share, payable on or around 2 Apr 2026, up 15.4% on the prior year.
Q3. Why did Woolworths NPAT fall after significant items?
Ans. A $710 million provision was recognised following the Federal Court ruling on historical underpayments to salaried team members, which drove NPAT after significant items down to $374 million.
Q4. How did Australian Food perform in the Woolworths financial results 2026?
Ans. Australian Food EBIT rose 9.9% to $1,510 million, with the EBIT margin improving 32 basis points to 5.5%.
