* Year net profit at A$1.835 bln vs estimates for A$1.8 bln
* Key Australia food and liquor earnings rise 15.1 percent
* Woolworths sees 8-11 percent growth in 2010 (Adds details)
MELBOURNE, Aug 27 (Reuters) - Woolworths Ltd
The retailer, which this week said it would take on main
rival Wesfarmers Ltd
Woolworths said government spending had helped buoy consumers through global economic turmoil but without continued stimulus consumer confidence and spending were now difficult to predict.
"Discretionary spending will continue to be influenced by macro-economic factors, such as interest rates, petrol prices and confidence around employment," Woolworths said in a statement.
The group forecast 8-11 percent profit growth in 2009/10.
Before the results, analysts were expecting 11.5 percent profit growth in 2009/10, according to Thomson Reuters I/B/E/
Woolworths core Australian food and liquor operations saw earnings rise 15.1 percent in 2008/09, while consumer electronics fell 19.5 percent, feeling the pinch of the slower economy.
The group, which also owns Big W discount stores and the Dick Smith electronics chain, made a net profit of A$1.835 billion, compared with analysts' average forecast for A$1.8 billion.
Woolworths on Tuesday announced plans to expand into Australia's A$24 billion hardware market, giving it a new avenue of growth after years of looking for suitable acquisitions.
Supermarket sales have held up for both Woolworths and Wesfarmers' Coles chain this year, but their discount department stores and Woolworths' home electronics unit have felt the pinch of more frugal consumers as the economy slowed.
Woolworths shares have gained about 8 percent this year, trailing a 20 percent increase in the broader market <.AXJO>. (Reporting by Victoria Thieberger and Simone Giuliani; Editing by Dhara Ranasinghe and Mark Bendeich)