Sunbury, Pa. Weis Markets will increase its capital-expenditure budget to $80 million this year, the company’s vice chairman Jonathan Weis said at the company’s annual shareholders meeting on Tuesday.
The 25% increase in funds will support approximately 18 planned projects, including the upcoming opening of a new store and the renovation of another location. A substantial portion of the budget, however, will go toward an upgrade of the chain’s information-technology systems, Weis said.
During the meeting, the company also reviewed its fiscal 2008 results. The chain reported its operating income was $55 million, a 3.0% increase from $53.4 million a year ago. The grocer sustained this momentum in its fiscal first quarter of 2009 when the chain increased its net income by 82.4% and operating income jumped 154%.
The chain credits these increases to an improvement in operating conditions and “a higher set of standards which has resulted in a better and more consistent shopping experience for our shoppers,” Weis’ CEO David J. Hepfinger said at the meeting.
The chain currently operates 154 stores across Pennsylvania, Maryland, New Jersey, New York and West Virginia.