Publix Drives Q3 Sales Gain Despite Lapping Irma Effects

Publix Super Markets grew sales by 3.2% and earnings by 42.7% in its fiscal third quarter, although comparable-store sales were relatively light at 0.6%, reflecting a boost in last year’s third quarter due to sales effects related to Hurricane Irma.

For the quarter, which ended Sept. 29, the Lakeland, Fla.-based retailer posted earnings of $677.7 million on sales of $8.8 billion. Earnings were positively impacted by a lower federal tax rate and by the adoption of new accounting standards. Excluding the impact of the new accounting standard, net earnings would have been $582 million, an increase of 22.6%.

Excluding the effects of last year’s hurricane-related sales, Publix would have posted sales growth of 6.1% and comps of 3.7%, the company said in a release. The chain realized sales benefits related to the storm—which hit South Florida on Aug. 30—due to customers stocking up before the event and restocking afterward, despite the storm knocking out power in some areas of the state for days.

Publix’s stock price increased from $42.55 per share to $42.70 per share, effective Nov. 1. Publix stock is not publicly traded and is made available for sale only to current Publix associates and members of its board of directors.

“In the last six weeks, many of our associates and customers have faced difficult times with Hurricanes Florence and Michael,” Publix CEO and President Todd Jones said in a statement. “I’m proud of our associates for their extra efforts and pleased with our team’s results.”

For the nine months of the fiscal year to date, Publix sales are up 4.7% to $26.8 billion, and earnings were up 29.4% to $2 billion.