Coles posts $511m half-year profit

Coles found Warburtons Crumpets to be a "hit" with Aussie shoppers. Source: Yahoo Lifestyle Australia

Coles Group has revealed plans to expand its use of artificial intelligence to shape future sales strategies, as the supermarket faces legal action from the consumer watchdog over alleged fake discounts.

During a conference call with analysts on Friday following the release of its half-year financial results, Coles executives outlined how AI would play a greater role in targeting promotions to specific customer demographics.

Source: Colliers News Australia

The supermarket reported a $511 million profit for the second half of 2025, representing an 11.3 per cent decline compared with the previous corresponding period.

The update comes as the Federal Court hears closing arguments in a case brought by the consumer watchdog concerning Coles’ “Down Down” pricing campaigns, which allegedly misled customers about the scale of discounts.

When asked how the company planned to rebuild consumer trust amid the lawsuit — and what shoppers could expect in terms of sale signage and pricing labels — Chief Commercial Officer Anna Croft said AI would be central to the retailer’s future sales approach.

Coles maintains that its pricing strategies are designed to deliver value to customers, while adapting to evolving consumer behaviour and competitive pressures in the supermarket sector.

Article Source: news.com.au |  Coles posts $511m half-year profit