ASX 200 Stocks Showing Strength in Uncertain Times
ASX 200 Stocks Showing Strength in Uncertain Times
Blog Article
In recent weeks, consumer staples and wholesale distributors within theASX 200 have proven their mettle as defensive plays. Coles Group (ASX: COL) has maintained solid momentum in Q3 FY25, with total revenue rising 3.4% year-over-year to $10.38 billion. Its core supermarket operations grew 3.7% to $9.4 billion, while liquor sales contributed $813 million—up 3.4%. These gains were supported by cost-saving initiatives, the “Great Value, Hands Down” campaign, and an expanded private-label portfolio aimed at affordability and differentiation. Digital channels also flourished, with online supermarket sales surging by 22.6% and eCommerce liquor up 9.2%. The rollout of a third automated distribution centre, along with the “Simplify and Save to Invest” program (yielding $157 million in savings), underscores Coles’s operational discipline. The company’s interim dividend of 37 cents per share, fully franked, further enhances its appeal to income-seeking investors.
Meanwhile, Metcash Limited (ASX: MTS) posted a 6.3% increase in group revenue, reaching $9.6 billion in H1 FY25. Underlying EBIT remained steady at $246.1 million, while reported profit after tax edged up marginally. Its diversified approach—spanning food, liquor, and hardware distribution—has helped cushion the company from macroeconomic headwinds. Growth in the food segment, bolstered by acquisitions like Superior Foods, and sustained performance in liquor distribution, have offset challenges posed by weaker hardware trade.
In conclusion, Coles and Metcash exemplify how select ASX 200 stockscan combine steady growth, shareholder returns, and operational resilience—even amid market uncertainty. Their strategic priorities, including cost efficiencies, digital expansion, and portfolio diversification, position them well for continued stability and moderate upside. Investors seeking both income and defense may find these names particularly attractive in the current environment.