The Woolworths owned Big W has seen profits fall 90% despite heavy promotions.

The Company that recently saw several CE brands quit their consignment relationship with Big W citing the cost of doing business with the retailer and high theft rates saw EBIT declined 90% in F24 from $145M in 2023 to $14M at the end of the financial year 2024.

Sales also fell 3.9% to $4.685B from $4.785B in 2023.

E Commerce sales for Big W alone were not revealed however overall Woolworths e commerce sales increased 18.5% to $7.963B

Management is blaming a reduction in discretionary customer spending and a highly competitive segment where discounting was rampant.

The business that is not breaking out category spending claim that both home (appliances) and clothing took a hit.

Woolworth claim that sales trends improved over the course of Q4 due to lower prices through price investment and a focus on opening price
points, a strong Toy Sale and improved Clothing sales late in June due in part to cold weather impacting Australia.

It’s long been muted that Woolworths has tried several times to sell Big W.