Same-stores Q1 sales up 6.3% across Shoppers Drug Mart

BRAMPTON, Ontario - Loblaw Companies on Wednesday posted $8.1 billion, an increase of 3.3%, for its first quarter ended March 26, 2016. Retail segment sales were $7.9 billion. 

 

Drug retail (Shoppers Drug Mart) same-store sales growth was 6.3%, with same-store pharmacy sales increasing by 4.2% and same-store front store sales increasing by 8.2%. The timing of Easter had a positive impact on front store same-store sales of approximately 1.9%.

 

"We continued to execute against our financial plan in the first quarter of 2016, achieving positive same-stores sales, stable gross margins and higher operating earnings," said Galen Weston, executive chairman and president, Loblaw Companies. "Positive same-store sales reflected very strong performance in Drug Retail and slightly disappointing results in Food Retail. Looking ahead, we are confident that our continued focus on earnings growth along with the strength of our company's balance sheet, will enable us to fund growth initiatives and return capital to shareholders, amidst a highly competitive retail environment and the continued pressure of healthcare reform."

 

Net earnings available to common shareholders of the company were $150.3 million, an increase of 32.2% as compared to the first quarter of 2015.