Metcash FY25 trading update

Metcash (ASX:MTS) has released a trading update for the first half of fiscal year 2025, ending October 31, 2024. The company reported significant sales growth in its Food, Liquor, and Hardware segments. Despite challenges, Metcash is implementing strategic initiatives to manage costs. Estimated Group Underlying Net Profit After Tax is between $132 million and $135 million.

Metcash FY25 performance and outlook

Metcash reported a 6.3% year-to-date sales growth as of October 20, 2024, with strong performance in its Food, Liquor, and Hardware segments. The food sector showed a notable 18.5% increase in sales, while Liquor and Hardware also saw growth, albeit with challenges in the hardware trade activity. Metcash is focusing on cost management and strategic initiatives to counter these challenges. The company estimates its Group Underlying Net Profit After Tax for the first half of FY25 to be between $132 million and $135 million. Detailed results will be released on December 2, 2024, highlighting Metcash's ability to navigate market conditions and maintain growth.

Executive insights from Metcash

The resilience of the independent network and the relevance of a differentiated offer in a value-conscious environment were key factors in the strong performance.