Loblaw increases earnings, revenue in Q2
Brampton, Ontario — Loblaw Companies Limited 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 announced this month, 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.
Men’s Wearhouse to repurchase $100 million in stock
Houston – The Men’s Wearhouse, Inc. has reached an agreement to repurchase $100 million worth of common stock from JPMorgan Chase Bank, NA under an accelerated share repurchase program. The retailer will buy the shares as part of an ongoing $200 million share repurchase program announced in March of this year. Men’s Wearhouse expects to close the transaction by the end of fourth quarter 2013.
Initially, the retailer will get nearly 2,197,000 shares from JPMorgan, approximately 85% of the total number of shares projected to be repurchased. The price at which Men’s Wearhouse will acquire these shares will be calculated on the basis of volume-weighted average share price. The company intends to fund this accelerated share repurchase program with cash in hand and/or by utilizing its existing credit facility.
Lumber Liquidators grows Q2 income, sales
Toano, Va. – Lumber Liquidators reported impressive gains in net income and sales during the second quarter of fiscal 2013. Net income rose almost 68% to $20.4 million from $12.2 million in the second quarter of the previous year, while net sales grew 22% to $257.1 million from $210.3 million.
Same-store sales increased 14.9%, driven by a 9.1% increase in the number of customers invoiced and a 5.4% increase in the average sale.
"The team focused on our key strategic initiatives and achieved outstanding results through the important spring remodeling season,” said Robert M. Lynch, president and CEO of Lumber Liquidators. “Our value proposition of price, selection, quality, availability and expertise continues to be recognized by a growing customer base, and our commitment to continuous improvement drove strong performance throughout the organization."
Based on these results, Lumber Liquidators forecasts net sales for the full year in the range of $940 million to $963 million, up from a previous range of $913 million to $942 million; same-store sale increasing in the high-single to low double-digits; and the opening of a total of 16 to 20 new store locations in the second half of the year, for a total of 28 to 32 new store locations in 2013, narrowing the previous range of 25 to 35 new store locations.