Wesfarmers’ third quarter retail results has seen sales growth across its businesses, with Coles Liquor and Bunnings performing strongly.

Coles food and liquor sales increased 5.9 per cent for the three months to March 31, rising to $7.518 billion with total Coles sales up 3.2 per cent.

At the end of the quarter, Coles had 783 supermarkets with its Liquor division adding five new stores to finish with 863 liquor stores.

Coles Express sales decreased 8.9 per cent to $1.4 billion on the prior corresponding period.

“The transformation of our liquor business continues to progress in line with expectations,” said Coles MD, John Durkan. “Work done on price, range and in-store experience led to improved sales trends throughout the period.”

Bunnings sales were up 11 per cent to $2.6 billion with store-on-store growth of 8.3 per cent.

“Ongoing investments in service and value continue to generate favourable customer responses,” said Bunnings CEO, John Gillam.

Wesfarmers did not announce results for the recently acquired Homebase business in the UK with ‘no meaningful comparable information for the 33 days of ownership.’

Sales at Target improved 2.3 per cent to $678 million, but Wesfarmers says that was only due to an early Easter and that adjusted comparable store sales dipped 0.8 per cent.

“Due to declining sales momentum, including poorer-than-expected sell-through of some summer lines, targeted clearance activity was undertaken late in the quarter, further affecting sales and margins,” said department stores chief executive, Guy Russo.

“Higher clearance activity is also expected in the fourth quarter, with further risk in relation to winter categories.”

Kmart lifted sales 17.9 per cent through strong demand for clothing and homewares. Even stripping out the boost from Easter, comparable store sales improved 12.3 per cent.

Officeworks sales were up 5.6 per cent to $512 million, with total sales for the financial year to date at $1.4 billion-an increase of 7.8 per cent.

“The business remains focused on driving its ‘every channel’ strategy and providing customers with a compelling offer by delivering great customer service, providing best value and being a one-stop shop,” said Officeworks MD, Mark Ward.

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