Coles Group has given a first quarter 2026 sales update, with liquor sales revenue decreasing by 1.1% to $842 million and comparable sales declining by 1.4%.

Coles said ongoing softness in the liquor market continued through the period with consumers remaining focused on value.

The retailer said customers had responded positively to its value offerings as part of the ‘Simply Liquorland’ roll out, including our ‘Price Match Promise’ and ‘Buy More, Save More’, and the tailoring of its ranges.

It said the ‘Simply Liquorland’ banner simplification was progressing well, with 60 stores converted during the quarter, taking total conversions to 112 stores since the program commenced.

Total sales growth from these conversions exceeded the broader portfolio with Vintage Cellars conversions in particular attracting a broader customer base and strong transaction growth.

Coles said the liquor market remained challenging in the second quarter. It noted that consumers remained budget conscious and with the festive season approaching, it was focused on ensuring it had the right range and value proposition to cater for all entertaining occasions as well as leveraging its portfolio to provide customers with a convenient way to solve for their combined food and drink needs.

As part of this, it plans to complete the vast majority of its remaining ‘Simply Liquorland’ store conversions by the end of the calendar year.

Coles Group CEO Leah Weckert said: “We are pleased with our performance over the quarter with supermarket sales growth reflecting the focus we have had on value, quality and the customer experience. We continue to see positive results from our major transformation projects with availability reaching its highest levels since pre-COVID and eCommerce sales penetration reaching 13.3%.

“In Liquor, we made significant progress with our ‘Simply Liquorland’ banner simplification making our network more accessible to a broader audience and delivering a positive impact on sales.

“We remain committed to ensuring customers can find great value when they shop at Coles. We have designed our Christmas range to cater for every taste and budget and we are continuing to focus on our omnichannel customer experience to enable customers to shop with ease either in store or online during this busy period.”

Endeavour Group has also given a first quarter trading update, with combined Dan Murphy’s and BWS sales at $2,442 million, -1% versus the previous corresponding period.