TORONTO -- Reflecting the sale of its U.S. retail assets in mid-1995, Loblaw Cos. here said sales for the year ended Dec. 28 were flat, while fourth-quarter sales rose 7%.
during the second quarter of the prior year.
For the 12-week fourth quarter, net income rose 21.5% to $43.7 million, while sales rose 7% to $1.7 billion.
Fourth-quarter earnings included a one-time charge of $14.6 million, representing a store labor restructuring. The company said it also received approximately $11.5 million from Wal-Mart Corp. related to cessation of an agreement to develop and source products in the United States for the Bentonville, Ark.-based company.
Loblaw does not release same-store sales results.
The company said sales in Western Canada rose 10% for the year to $2.4 billion, which securities analysts attributed to strong same-store sales growth. Loblaw said sales in Eastern Canada rose 6% to $4.8 billion, with business in Ontario maintaining steady market-share improvements -- due to new square footage, analysts said -- and investments in the Atlantic provinces yielding increasing returns of double-digit growth.
Qtr Ended 12/28/96 12/30/95
Sales $1.7 billion $1.6 billion
Change + 7%
Net Income $43.7 million $36 million
Change + 21.5%
Inc/Share 18 cents 15 cents
52 Weeks 1996 1995
Sales $7.18 billion $7.19 billion
Change - 0.06%
Net Income $126.8 million $107.1 million
Change + 18.4%
Inc/Share 53 cents 44 cents