The Wesfarmers Ltd (ASX: WES) share price has edged higher in morning trade.
At the time of writing the conglomerate's shares are up around 0.5% to $40.43.
What happened?
Although Wesfarmers is best known for its wide range of popular retail brands including Coles and Kmart, the conglomerate also has a presence in the resources sector.
This morning that side of the business provided the market with an update on its quarterly operations.
According to the release, the company's share of coal production at its Bengalla site rose 25.5% on the prior quarter to 959,000 tonnes.
This increased production was largely the result of operations progressing through a productive area of the mine sequence. Production at Bengalla is now up 1.6% over the last 12 months.
Things weren't quite as positive at its Curragh site. Coal production for the quarter came to 3,055,000 tonnes, which was a 3.2% drop on the previous quarter.
Like mining giant Rio Tinto Limited (ASX: RIO), Wesfarmers' operations were disrupted by Cyclone Debbie during the last quarter.
But despite the weak quarter, production at Curragh is up almost 14% over the last 12 months.
Should you invest?
In FY 2016 Wesfarmers' resources segment provided $1 billion of revenue. Whilst this is of course a large sum of money, it does only represent 1.5% of total company revenue of $66 billion.
Although it is positive to see production at both sites increasing over the last 12 months, it isn't going to move the needle a great deal in earnings season.
Because of this I wouldn't necessarily invest in Wesfarmers on the back of today's update.
Rather, I would suggest investors focus more on its supermarket business before deciding whether or not to invest. After all, the Coles business provided $39.2 billion or 59% of its total revenue last year.
As I'm unsure how the price-war with Woolworths Limited (ASX: WOW) and Aldi is impacting its business, I plan to stay clear of the company until it has released its full-year result on August 17.
