Loblaw Companies Limited — which recently announced its plans to acquire Shoppers Drug Mart — reported higher earnings and revenue in the second quarter of fiscal 2013 as compared to the same period in fiscal 2012.
Lolbaw’s net earnings for the quarter totaled USD $173.2 million, up 14% from $151.8 million. The retailer reported revenues of $7.31 billion, a 2% increase from $7.18 billion a year earlier. Same-store sales improved 1.1%.
“The investments we have made to advance our customer proposition once again translated into improved same-store sales performance in an intense competitive environment," said Galen G. Weston, executive chairman of Loblaw. "At the same time, better mix and good expense management delivered improved earnings.”
Galen also said that the IPO of the company’s Choice Properties real estate investment trust and merger with Shoppers Drug Mart, combined with strong quarterly results, should produce positive results moving forward. The company is raising its outlook to expect mid-single digit operating income growth for fiscal 2013.