CEO’s Report

Metcash delivered a resilient FY26 result, with solid earnings, strong cash flow and a robust balance sheet despite challenging market conditions. Our diversified portfolio, scaled independent retail platform and disciplined execution continue to support the resilience of our business and earnings.

A STRONGER, MORE DIVERSIFIED BUSINESS

FY26 marks further progress in our evolution into a more diversified and higher-quality earnings business. Wholesale remains the foundation of the Group, providing stable and dependable earnings. Alongside this, we continue to scale complementary growth channels in retail, Foodservice & Convenience, digital and media, broadening our earnings base, improving margins and enhancing resilience.

Since FY19, wholesale earnings have grown strongly, up 35%; while its relative contribution to Group earnings has reduced from 91% to 76% as newer channels have expanded, which is an intentional shift. We are not replacing our core business; we are building on it. This is evident across the Group. Retail earnings now represent 14.1% of total Group earnings, up from 9.1% in FY20.

Our Foodservice & Convenience business has delivered strong earnings growth with a CAGR of 53% since FY23, a period that included the acquisition of Superior Food. As a result, Metcash is structurally stronger and better positioned for sustainable long-term growth.