Woolworths Research

Woolworths (WHL) Trading update – Initial views

Following the release of WHL’s trading update for the year ended 30 June 2016, we highlight the dramatic decline in sales growth in the clothing business over the last 20 weeks. We do not think the slowdown was mainly caused by unseasonal warm weather, as we find that the average daily temperature in Johannesburg and Cape Town in May and June were not much different from those months in 2015.