Australian supermarket chain Woolworths has reported a 24.5% increase in net profit to June of AUD$1.015bn on sales up 20.2% at AUD$37.85bn (£15.24bn).

Roger Corbett, chief executive of Woolworths, said. "It was a strong result in a highly competitive market against a backdrop of tighter discretionary spending with our newly acquired businesses."

For the New Zealand market, Corbett added: "We will drive our costs down and deliver to the New Zealand consumer much improved prices moving forward. We recognise we face a very good competitor [in Foodstuffs], but we think that we're going to see good solid growth in New Zealand.''