Wesfarmers Ltd, an Australian retailer, announced today that total sales at its Coles superstores grew by 4.9% in the third quarter of the fiscal. Though the results did not meet the expectations of market analysts, the retailer said that sales figures are very satisfying as the Australian retailers are also facing tough sales comparisons with last year.

The company also reported that sales at its Kmart stores and its home improvement division grew in the third quarter. Wesfarmers said today that total sales at its flagship superstore Coles were reported of $A6.9 billion, increasing by 4.9%, comparing to the same quarter of last year.

The company reported that sales from its food and liquor stores open for at least a year were reported up by 3.8% in the third quarter.

This was reported below the expectations of the analysts as they were expecting a growth of 5-6% for the period. Wesfarmers said that the lower than expected sales were mainly attributable to the weaker liquor sales. Third quarter sales of its home improvement division grew by 7.9% to $A1.544 billion.

Sales at its Target and Kmart stores were also reported up in the third quarter. Kmart sales grew by 4% to $A824 million in the period. Despite the improving sales figures in the third quarter, Wesfarmers released a cautious outlook for the coming fourth quarter and full year saying that the increasing interest rates would impact the company.