Woolworths Group (ASX:WOW) disclosed their sales in the first eight weeks of the year have shown similar trends to Q4.

As anticipation builds for the remainder of the year, the food retail giant in Australia expressed cautious optimism.

For the upcoming F24, Woolworths expects the food inflation in Australia and New Zealand to continue moderating.

In addition, its Australian food retail sales growth for F24 to date has remained strong at approximately 6.5%.

The Company reported a decline in the BIG W sales for the first eight weeks of the year compared to the prior year.

Material wage increases and inflation in energy and transport will likely impact the costs in F24.

New Zealand food sales have shown a promising increase of approximately 4.5% in F24 to date.

Looking ahead, the outlook for BIG W remains uncertain.

The Group is particularly focused on addressing cost-of-living pressures experienced by their customers and team.

The F24 capital expenditure (CAPEX) budget is approximately A$2 billion.

Woolworths has plans to invest over A$40 million in safety enhancements including CCTV upgrades, team safety body-worn cameras, and wearable duress devices.

The New Zealand Store team can expect to have their wages increased by 7% starting from July 1.

The Group expects food inflation in Australia and New Zealand to remain elevated in some packaged categories, and also sees challenging consumer conditions continuing into F24.

Woolworths has observed careful spending patterns among its customers as economic conditions continue to fluctuate.

Woolworths Group is a major food retail company based in Australia and New Zealand.