Equity Analysis /

AU : Retail - Australian Retail Sales - February 2022 retail sales: Avant le déluge

    Alexander Mees
    Alexander Mees

    Research Analyst

    29 March 2022
    Published byCGS-CIMB

    A recovery in discretionary expenditure drove a 1.8% month-on-month increase in Australian retail sales in February 2022, according to preliminary data from the ABS. February sales were the second highest monthly sales ever and were up 9.1% year-on-year. Retail sales were 19.0% higher than in February 2020, just before the emergence of COVID. Clothing and Footwear and Department Stores were the two best performing categories on a month-on-month basis. Food sales declined month-on-month. The outlook for March 2022 retail sales looks weak, however, given the likely impact of the floods in eastern Australia and the effect of rising living costs on consumer sentiment.