Springfield, N.J. – Village Super Market reported net income of $6.2 million during fourth quarter 2013 and $25.8 million during the full fiscal year. These figures were respectively down 31% from $9 million and 18% from $31.4 million year-over-year.
The retailer cited the negative impact of higher expenses and lower gross profits as contributing to its drop in net income.
Sales were $376.3 million in the fourth quarter of fiscal 2013, an increase of 1.7% from $369.5 million the fourth quarter of the prior year. Same-store sales also increased 1.7%. Full-year sales totaled $1.48 billion, up 4% from $1.42 billion. Economic weakness, high gas prices and high unemployment have resulted in increased item penetration and customers trading down. Same-store sales grew 1.7% in the fourth quarter and the company expects same-store sales in fiscal 2014 to increase from 1.5% to 3.5%.
Village Super Market operates a chain of 29 supermarkets under the ShopRite name in New Jersey, Maryland and Eastern Pennsylvania.