Coles chief executive Leah Weckert has played down the grocer’s $1.1 billion full-year profit.

The supermarket giant is balancing returns to shareholders while customers are hurting from the high cost of living.

In response to political and consumer heat over alleged price gouging, Ms Weckhert said Coles’ profit has remained modest despite a painful period of high inflation.

“We know that cost of living is very challenging for many families right now,” she told the World Today.

“So it’s an important national conversation to be discussing how do we all play a part in impacting and reducing that impact on families all around the country.”

The ABC’s senior business correspondent Peter Ryan has done a deep dive on the results as well as on BHP, which reported its half-year profits earlier today.

The miner has issued a warning on softening demand for iron ore from Chinese steel mills.

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