HARRIS TEETER POSTS SALES GAINS

ELLIOT ZWIEBACH

MATTHEWS, N.C. -- Harris Teeter here, a division of Ruddick Corp., Charlotte, N.C., said continuing growth in same-store sales, and effective management of operational costs and promotional strategies, helped boost sales and earnings for the year and fourth quarter that ended Oct. 3.

Sales for the 53-week year rose 5.8% to $2.6 billion, and comps increased 3%. Operating profits climbed 11.5% to $104.4 million. For the 14-week fourth quarter, sales increased 14% to $689.9 million, and comps rose 4.9%. Operating profits rose 15.9% to $28.3 million.

The company said sales were impacted by an extra week in the year and the quarter, with the 53rd week in the year accounting for a sales increase of 2%, and the extra week in the quarter boosting sales 8%.

Thomas W. Dickson, president and chief executive officer of Ruddick, said the company was pleased "with our overall gains in market share within our primary markets. These gains are reflective of our focus on providing all customers with a superior shopping experience."

Dickson said the chain's Farmer's Market for produce, Fisherman's Market for seafood, and Reserve Angus beef "continue to experience sales increases at a greater rate than the company average."

Harris Teeter accounts for nearly 90% of Ruddick's sales, with the balance coming from American & Efird, a sewing thread subsidiary.

Total Ruddick sales rose 5.3% to $2.9 billion for the year and 14.3% to $772.7 million for the quarter. Net income rose 8% to $64.7 million for the year and 9.5% to $17.9 million for the quarter.