Investor Presentaiton
112
Notes to the Consolidated Financial Statements
2.2
Reportable segments
2.2
Reportable segments (continued)
Group performance
2
113
Annual Report 2023
Woolworths Group
2.2.1
This section presents the financial performance of each reportable segment and
other individually significant items.
2022
Revenue 2
Other income
Financial performance of the Group's reportable segments
Reportable segments are identified on the basis of internal reports on the business units of the Group that are regularly
reviewed by the Chief Operating Decision Makers, in order to allocate resources to the segment and assess its performance.
These reportable segments offer different products and services, or service different customer types, and are
managed separately.
The Group's reportable segments are as follows:
Australian Food - procurement of food and related products for resale and provision of services to retail customers
in Australia;
Australian B2B - procurement and distribution of food and related products for resale to other businesses and provision
of supply chain services to business customers in Australia;
New Zealand Food - procurement of food and drinks for resale and provision of services to retail and wholesale
customers in New Zealand;
BIG W - procurement of discount general merchandise products for resale to retail customers in Australia; and
-
Other comprises Quantium and MyDeal, which are not considered separately reportable segments, as well as various
support functions, including property and Group overhead costs, the Group's share of profit or loss of investments
accounted for using the equity method, and consolidation and elimination journals.
During the period, the Group restructured the way in which it reports Woolworths at Work, the Group's B2B-focused
eCommerce business. Woolworths at Work is highly integrated with Australian Food through ranging and the fulfilment
of orders from supermarkets and customer fulfilment centres. As a result, the Group has realigned and represented the
reporting of Woolworths at Work from Australian B2B to Australian Food in the prior year. This also reflects the way inwhich
information is provided to and regularly reviewed by the Group's Chief Operating Decision Makers.
The primary reporting measure of the reportable segments is earnings before interest, tax, and significant items which
is consistent with the way management monitors and reports the performance of these segments. The following isan analysis
of the Group's revenue and results by reportable segment.
RESTATED¹
AUSTRALIAN
RESTATED¹
AUSTRALIAN
FOOD
$M
B2B
$M
NEW ZEALAND
FOOD
BIG W
$M
$M
OTHER
$M
CONSOLIDATED
CONTINUING
OPERATIONS
$M
45,740
3,684
7,092
4,431
(98)
60,849
297
297
Total revenue and other income
45,740
3,684
7,092
4,431
199
61,146
Earnings/(loss) before interest, tax,
and significant items
2,406
56
296
55
(123)
2,690
Significant items³
1
Earnings before interest and tax
2,691
Finance costs
Profit before income tax
(600)
2,091
Income tax expense
Profit for the period from continuing
operations
1 Restated to conform with the current structure of the Group in which Woolworths at Work is included within the Australian Food
reportable segment. Refer to Note 1.1.1 for further details.
1
highlights
Performance
(534)
2
1,557
2 Revenue in Australian B2B includes $302 million of freight revenue for products sold by the Group. However, at a Group level, this
is recognised as a reduction in cost of sales. As a result, a $302 million reduction in revenue, with a corresponding reduction in cost
of sales, has been recognised in the Other segment. At a Group level, this has not resulted in a change toearnings before interest and tax.
3 Refer to Note 2.2.3 for further details.
2.2.2
Other disclosures of the Group's reportable segments
AUSTRALIAN AUSTRALIAN
FOOD
NEW ZEALAND
B2B
2023
$M
$M
FOOD
$M
BIG W
OTHER
CONSOLIDATED
CONTINUING
OPERATIONS
$M
$M
$M
Depreciation - lease assets
727
60
129
99
51
1,066
Depreciation - property, plant and
equipment
759
20
136
71
37
Amortisation - intangible assets
Capital expenditure¹
300
33
31
33
92
1,162
58
255
135
872
1,023
489
2,482
Business
review
3
Directors'
Report
4
Financial
Report
LO
Other
information
CONSOLIDATED
AUSTRALIAN AUSTRALIAN
FOOD
2023
$M
B2B
$M
NEW ZEALAND
FOOD
$M
BIG W
$M
OTHER
CONTINUING
OPERATIONS
$M
$M
RESTATED 2
AUSTRALIAN
RESTATED 2
AUSTRALIAN
Revenue¹
48,047
4,324
7,240
4,785
Other income
Total revenue and other income
48,047
4,324
7,240
4,785
(102)
277
175
64,294
277
64,571
2022
FOOD
$M
B2B
NEW ZEALAND
FOOD
BIG W
OTHER
CONSOLIDATED
CONTINUING
OPERATIONS
$M
$M
$M
$M
$M
Depreciation - lease assets
703
58
122
105
51
1,039
Depreciation - property, plant and
Earnings/(loss) before interest, tax,
equipment
692
16
125
60
42
935
and significant items
2,865
63
228
145
(185)
3,116
Amortisation - intangible assets
Significant items²
(117)
Capital expenditure¹
243
1,331
24
30
25
65
387
70
274
148
584
2,407
Earnings before interest and tax
2,999
1 Capital expenditure comprises the purchase of property, plant and equipment, and intangible assets.
Finance costs
(677)
Profit before income tax
Income tax expense
2,322
(693)
2 Restated to conform with the current structure of the Group in which Woolworths at Work is included within the Australian Food
reportable segment. Refer to Note 1.1.1 for further details.
Profit for the period from continuing
operations
1
Revenue in Australian B2B includes $351 million of freight revenue for products sold by the Group. However, at a Group level, this
is recognised as a reduction in cost of sales. As a result, a $351 million reduction in revenue, with a corresponding reduction in cost
of sales, has been recognised in the Other segment. At a Group level, this has not resulted in a change toearnings before interest and tax.
2 Refer to Note 2.2.3 for further details.
1,629View entire presentation