Endeavour Group, the owner of Dan Murphy’s and BWS, has reported a significant $25 million loss in sales due to a 17-day strike at Woolworths distribution centers, which led to stock shortages.

This industrial action, which affected Woolworths-operated distribution centers in Victoria, has left Endeavour grappling with the financial fallout.

The disruption has severely impacted Endeavour's supply chain, particularly in replenishing stores across Victoria, Tasmania, and southern New South Wales.

Endeavour's CEO, Steve Donohue, emphasized that efforts are ongoing to replenish affected stores as quickly as possible.

The timing of these stock shortages is particularly critical, given the importance of December trading for sales results in the first half of the financial year.

This unexpected disruption was not accounted for in Endeavour's previous financial guidance, raising concerns about meeting their forecasts.

In a related development, Woolworths has also reported a substantial $140 million loss in food sales, with $90 million of that loss occurring since their last update.

The strike, which began on November 21, involved warehouse workers at four distribution centers in Victoria and New South Wales demanding better pay and safety conditions.

Endeavour Group was spun off from Woolworths' liquor division and has been listed on the Australian Securities Exchange since June 2021.

Woolworths provides warehouse services to Endeavour at two distribution centers located in Victoria.

The full financial consequences of the stock shortages remain uncertain and will depend on how quickly inventory levels can be restored.

Endeavour Group has indicated that the sales impact will persist as they continue to work on replenishing their inventory.