Updates with further details throughout, analyst note in paragraphs 4-5

By Shivangi Lahiri

Feb 28 (Reuters) - Shares of Australia's Endeavour Group EDV.AX fell 6.5% on Friday, set for their biggest one-day drop since August, after the alcohol retailer's half-year profit took a beating as supply chain issues disrupted sales in the peak end-of-year period.

The stock dropped as much as 8% to A$4.13, a three-week low before recouping some losses. Still, it was among the top losers on the benchmark S&P/ASX 200 .AXJO index.

The company, which also operates pubs, said its profit after tax slid 15.1% to A$298 million ($185.3 million) for the July-to-December period.

Citigroup analysts said the biggest hit to the supply chain, according to Endeavour, was to its stores in Victoria that were collocated with Woolworths WOW.AX supermarkets.

Endeavour said sales dropped 0.6% to A$6.6 billion in the first half, also affected by premiumisation trends reversing in some cases, as consumers traded down from French champagne to sparkling wines.

Liquor store Dan Murphy's record sales in the week before Christmas and overall healthy sales in December were not enough to salvage the first half, and sales has slowed by 0.8% in the first seven weeks of the second half, the company said.

Citigroup said a potential decline in demand or slower-than-expected sales growth were risks.

Separately, Endeavour said CEO Steve Donohue would step down. ($1 = 1.6082 Australian dollars)

(Reporting by Shivangi Lahiri in Bengaluru; Editing by Rashmi Aich and Savio D'Souza)

((Shivangi.Lahiri@thomsonreuters.com;))