Coles Group Ltd (ASX: COL) shares have sold off sharply in recent weeks. They have slipped from mid-September highs of $19.22 apiece to currently trade at $17.55 apiece.
Shareholders in the supermarket giant may have a few key points in mind as the company prepares for its annual general meeting (AGM) next week.
Here's a look at what owners of Coles shares might expect at the AGM.
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Coles shares prep for AGM
While Coles has already disclosed its FY24 results, the AGM will likely recap the company's major achievements over the financial year.
Coles also reported an increase in revenue for its first quarter of FY25, driven by its Supermarkets division.
Overall, group revenue rose by 2.9% to $10.55 billion, with a 3.5% lift in supermarket revenue to $9.5 billion.
Notably, e-commerce in the supermarket division surged by 22.4%, a key area of growth as consumer shopping habits evolve.
Beyond sales, Coles has focused on brand development, with its "Exclusive to Coles" range growing in appeal.
The supermarket also announced a major investment in automated distribution centres (ADCs) in Victoria. More on this a bit later.
These highlights will likely receive attention at the AGM as management reiterates its strategic roadmap. But it is not certain that they will directly impact Coles shares.
Insights into FY25
For investors, the AGM will be an opportunity to hear how Coles has fared so far in FY25. Early trading data indicates that Supermarkets sales growth has kept pace with Q1.
Management says this was supported by seasonal promotions and various campaigns.
Its liquor division, on the other hand, faced a sales revenue slowdown, with comparable sales dipping by 4.4%.
Management may provide more details on cost control measures and efficiency initiatives that are in place to counter rising operational costs.
The focus on cost-of-living pressures, which remain a concern for many consumers, will likely be reinforced with updates on pricing strategies and promotional activities.
Given where it and its rival supermarket peers have been in the news cycle lately, this could be received well and impact Coles shares.
Updates on growth plans
Coles' investment in its supply chain transformation is one of the more significant developments shareholders might be interested in hearing more about.
The company committed $880 million to a new automated distribution centre in Truganina, Victoria.
It is being designed in partnership with WITRON Australia and is expected to handle 4.6 million cartons weekly.
That's 920,000 cartons every single workday.
The AGM is also a chance for Coles to elaborate on its environmental, social and governance (ESG) initiatives, such as its drive for more sustainable packaging and reducing food waste.
It mightn't be the appeal of all, but there will be many owners of Coles shares seeking out this information.
Coles shares takeout
Coles shares have been weak leading into the company's annual meeting next week. After a big year, shareholders will undoubtedly have plenty to look forward to from management.
In the last 12 months, the stock is up 14%.
