Retail drinks giant Endeavour Group has reported a profit dip as cost-of-living pressures hit Dan Murphy’s and BWS sales, though strong hotel and digital performance helped soften the impact.

In full-year results released, the ASX-listed group reported a net profit of $426 million, down 15.8 per cent on a comparable 52-week basis. Total sales came in at $12.1 billion, broadly flat year-on-year.

Endeavour’s core retail liquor business, home to Dan Murphy’s, BWS, and an expansive e-commerce network, saw sales slip 1.2 per cent to $9.95 billion. The decline was driven by softer consumer demand and supply challenges in the all-important holiday trading period.

“Consumer spending in the retail liquor market remains subdued; however, H1 provides the opportunity to reinforce our position as the market leader for value, range, service and convenience, as we lean into the increased occasions to socialise and celebrate during the spring/summer event season,” the company said. 

Despite broader retail softness, Endeavour’s digital channels remained resilient. Online sales grew 7 per cent year-on-year and now make up 8.7 per cent of total retail revenue.

Customer loyalty also remained a strong point. The My Dan’s program has grown to 5.5 million active members, while BWS’ Appy Deals continues to appeal to budget-conscious shoppers. 

Both brands received high Voice of Customer scores, 81 for Dan Murphy’s and 76 for BWS,  thanks to personalised offers, promotions, and enhanced app features that kept customers engaged.

Endeavour’s hotels division proved the standout performer, notching up a 4.1 per cent increase in sales to $2.1 billion, with EBIT climbing 4.5 per cent to $463 million, citing a strong demand for food, drinks, gaming and accommodation. 

For FY26, Endeavour plans to open two new Dan Murphy’s stores and eight new BWS stores in H1. A leadership change will occur in January, when incoming CEO Jayne Hrdlicka takes the helm.