Woolworths has lifted its quarterly sales by 2.5 per cent to $14.4 billion despite challenging retail conditions.

Its core Australian food and liquor operations, which includes the Woolworths supermarket chain, increased third quarter sales by 5.6 per cent to $9.9 billion.

Woolworths chief executive Grant O’Brien said while the quarterly result was pleasing there was still more work to be done to ensure future growth.

“The momentum of the first half has continued into this quarter as a result of a sharpened focus on our core businesses and early results from work on our strategic priorities,” he said.

The retailer’s Australian food and liquor division increased in market share, customer numbers, basket size and items sold during the quarter.

Woolworths plans to open another 13 Australian supermarkets and two Dan Murphy’s liquor outlets in the final quarter of its financial year.

Hotel sales rose 19.7 per cent, driven by acquisitions during the first half as well as changes to the Victorian gaming regulations which came into effect last August.

The group’s home improvement division also lifted sales by 37.4 per cent, aided by the addition of four Masters stores.

The Big W discount chain lifted sales 3.4 per cent, while petrol sales through the Woolworths/Caltex sites were up 1.5 per cent.

The retailer also increased its online sales by 36 per cent.