The Motley Fool

Retail sales figures appear better for Woolworths than Wesfarmers

The Australian Bureau of Statistics (ABS) is out with its monthly retail sales data for May and overall the results are basically flat. Seasonally adjusted figures rose just 0.1% in May, which was an improvement on April’s revised 0.1% fall.

While there wasn’t too much for investors to get excited about in the release, food retailing was the second largest contributor to the overall 0.1% rise. Given Woolworths (ASX: WOW) has a more concentrated exposure to food retailing, this may bode well for the company when compared with Wesfarmers (ASX: WES). Wesfarmers owns Coles but is also more exposed to the weaker performing sector of household goods retailing through its larger network of Bunnings, Kmart and Target stores.

The cafes, restaurants and takeaway food services sector also saw declines, with a fall of 0.6%. Weakening sales in this sector are likely making the going tough for many firms, possibly including Collins Foods (ASX: CKF) which is Australia’s largest operator of KFC restaurants.

In the market for high-yielding ASX shares? Get “3 Stocks for the Great Dividend Boom” in our special FREE report. Click here now to find out the names, stock symbols, and full research for our three favourite income ideas, all completely free!

More reading

Motley Fool contributor Tim McArthur does not own shares in any of the companies mentioned in this article.

5 ASX Stocks for Building Wealth After 50

I just read that Warren Buffett, the world’s best investor, made over 99% of his massive fortune after his 50th birthday.

It just goes to show you… it’s never too late to start securing your financial future.

And Motley Fool Chief Investment Advisor Scott Phillips just released a brand-new report that reveals five of our favourite ASX stocks for building wealth after 50.

– Each company boasts strong growth prospects over the next 3 to 5 years…

– Most importantly each pays a generous dividend, fully franked.

Simply click here to find out how you can claim your FREE copy of “5 ASX Stocks for Building Wealth After 50.”

See the stocks now