Metcash has reported a slight increase in statutory profit after tax, rising 0.3 per cent to $142.2 million. This result was boosted by put option and business acquisition valuation adjustments of $20.9 million, offset by post-tax Program Horizon implementation costs of $5.4 million. Metcash is a leading wholesale distribution and marketing company specialising in food, liquor, and hardware. The company supports independent retailers across Australia.
Group revenue saw a marginal increase of 0.1 per cent, reaching $8.5 billion. Including charge-through sales, revenue grew by 0.4 per cent to $9.6 billion. Growth was observed across food (excluding tobacco), liquor, and hardware & tools sectors. Food earnings demonstrated resilience, with earnings before interest and taxes (EBIT) increasing by 3.5 per cent to $124.1 million, despite a significant 35 per cent decline in tobacco sales. Liquor EBIT experienced an 11.4 per cent decrease to $43.5 million, while hardware & tools EBIT fell by 4.2 per cent to $90 million.
The Metcash board has declared an interim fully franked dividend of 8.5¢ per share, slightly exceeding its target payout ratio. The company noted that trading in the first month of the second half of the year has shown continued sales momentum across supermarkets, total tools, foodservice & convenience, hardware, and liquor.
Metcash chief executive Doug Jones commented that the group remains well-positioned with a diversified and resilient business model. He emphasised the company’s focus on disciplined strategy execution and pursuing growth opportunities in the market.
