Monday, July 28th22.2°C
21450
21755

Supermarket chain Metro reports Q2 profit of $96.9 million, sales rise 1.7%

MONTREAL - Supermarket chain Metro Inc. (TSX:MRU) reports it had $96.9 million in net earnings in the second quarter ended March 15, down 73.3 per cent from an unusually high profit in the same quarter of 2013.

Last year's second quarter had $362.7 million of net income, which included a gain from the sale of Metro's investment in Alimentation Couche-Tard as (TSX:ATD.B).

Excluding certain items, Metro's latest results were slightly above last year's second-quarter adjusted net earnings, which were $96.4 million.

Adjusted earnings from continuing operations in the latest quarter improved to $1.07 per share from 98 cents per share last year. Overall sales were up 1.7 per cent year-year, rising to $2.55 billion from $2.51 billion.

The company's adjusted earnings were five cents per share above analyst estimates after excluding unusual items.

Metro faces heightened competition, particularly in Ontario, from supermarket rivals such as Loblaws (TSX:L) and Sobeys (TSX:EMP), while its discount banner Food Basics is fending off expansion by Walmart (NYSE:TGT) and the first wave of openings by U.S. retailer Target.

The grocery chain also faces pressure to expand its reach following recent deals by Loblaw to purchase Shoppers Drug Mart (TSX:SC) and Sobeys to buy Safeway Canada based in Western Canada.

Metro is Quebec's leading grocery chain with a nearly 34 per cent market share. It has more than 65,000 employees in Quebec and Ontario, with more than 600 food stores under several banners including Metro, Metro Plus, GP,

Super C and Food Basics, as well as over 250 drugstores under the Brunet, Brunet Plus, Clini Plus, The Pharmacy and Drug Basics banners.

Metro had been expected to have $1.02 per share of adjusted net income with $2.5 billion of revenue, according to analysts polled by Thomson Reuters.

The Canadian Press


Read more Business News




Recent Trending




Today's Market
S&P TSX15433.78-21.26
S&P CDNX1013.81-3.63
DJIA16928.95-31.62
Nasdaq4431.11-18.454
S&P 5001973.68-4.66
CDN Dollar0.9256+0.001
Gold1305.20+2.10
Oil101.66-0.43
Lumber322.10-3.40
Natural Gas3.753-0.028

 
Okanagan Companies
Pacific Safety0.195+0.01
Knighthawk0.01-0.005
QHR Technologies Inc1.150.00
Cantex0.065-0.005
Anavex Life Sciences0.274-0.001
Metalex Ventures0.08+0.01
Russel Metals35.23-0.13
Copper Mountain Mining2.820.00
Colorado Resources0.22+0.01
ReliaBrand Inc0.10+0.019
Sunrise Resources Ltd0.05+0.025
Mission Ready Services0.19+0.01

 



22315

FEATURED Property
18327191425 Camp Road
3 bedrooms 2 baths
$599,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


Take charge of your debt

Photo: Thinkstock.comWays to reduce your Debt:Make a budget and get budget counselingA basic first step for debt reduction is to prepare a budget and plan your spending. Once you have a budget, you mu...


Geopolitical tensions rattle markets

The Big Picture Geopolitical tensions rattle markets The spectre of rising geopolitical tensions in Ukraine and Gaza cast a shadow over an otherwise positive week in the markets. News that a passenger...


Labour shortage in BC

The mainstream media are finally waking up to something unusual in British Columbia – a labour shortage. If the experience of Alberta is a guide to our own future, the highly skilled labour will...

_








Member of BC Press Council


22581