Wm Morrison Supermarkets (WMS) Q2 2026 earnings summary

Executive summary

• Achieved 14th consecutive quarter of like-for-like sales growth, with Q2 sales up 2.2% year-over-year.

• Total sales increased 1.7% to £4 billion for the quarter.

• Market share improved in Q2, with further robust trends in Q3 to date.

• Maintained strong customer experience, with Net Promoter Score (NPS) improvements across all channels.

• Continued focus on value, price, promotions, and loyalty, with 8 million active loyalty card users.

Financial highlights

• Group sales reached GBP 4 billion in Q2, with like-for-like growth of 2.2%.

• Underlying EBITDA for H1 rose 5.7% to £323 million; Q2 underlying EBITDA was GBP 172 million, up 4.2% year-over-year (adjusted for ERP tax timing).

• Delivered £48 million in cost savings in Q2, totaling £942 million since FY23, nearing the £1 billion target.

• Operating cash inflow was GBP 99 million; free cash flow was GBP 128 million, up GBP 15 million year-over-year.

Outlook and guidance

• Market remains highly competitive with persistent input inflation and low consumer confidence.

• Q3 has started well, with strong trading momentum and robust plans for seasonal events such as the World Cup and Father's Day.

• CapEx guidance for FY26 remains at GBP 330 million.

• Continued focus on cost savings, working capital improvements, and profitable growth.

• Ongoing monitoring of input inflation and commitment to keeping prices down for customers.