Retail group Woolworths says it expects profits to rise by at least a fifth in its year to end-June 2021, as it benefits from a better cost structure for its Australian operations and a recovery from the implementation of strict lockdown conditions in 2020.

Headline earnings per share (HEPS) for the group’s year to end-June 27 is expected to be at least 20% higher than the 119.8c per share reported previously, Woolworths said in a trading update...