MINNEAPOLIS -- Supervalu here said sales and earnings reached record levels for the second quarter ended Sept. 6.
is., rose 148.8% to $89.1 million for the 12-week quarter and 69.7% to $138.9 million for the first half.
Excluding the gain and equity earnings from ShopKo, net income for the quarter was up 4.1% to $35.5 million. The company said the second quarter was the first that did not include equity earnings from ShopKo, a discount chain in which Supervalu sold the remainder of its equity early in the quarter.
Sales rose 2.3% for the quarter to $3.9 billion and 1.6% for the half to $8.9 billion.
Sales in Supervalu's food distribution segment increased 2.3% to $3.4 billion for the quarter and 1.4% to $7.8 billion for the half. The company said the increases came from the addition of two new Southeastern customers -- Schwegmann, New Orleans, and Bruno's, Birmingham, Ala. -- and continuing sales growth in its Save-A-Lot limited-assortment stores.
Operating earnings in food distribution dipped 0.4% to $70.4 million for the quarter -- the best quarterly comparison in seven quarters, the company said -- and 1.2% to $157.2 million for the half. Sales in Supervalu's retail food segment dropped 0.4% to $1.1 billion for the quarter -- which the company said was due to the closing or sale of nine corporate Cub Foods stores over the past 12 months -- and rose 1.5% to $2.5 billion for the half, while operating income increased 6.9% to $20.3 million for the quarter.
2ND-QUARTER RESULTS
Qtr Ended 9/6/97 9/7/96
Sales $3.9 billion $3.8 billion
Change + 2.3%
Net Income $89.1 million $35.9 million
Change + 148.8%
Inc/Share $1.44 53 cents
28 Weeks 1997 1996
Sales $8.9 billion $8.8 billion
Change + 1.6%
Net Income $138.9 million $81.8 million
Change + 69.7%
Inc/Share $2.14 $1.21
Includes a nonrecurring net gain of $54 million from the sale of Supervalu's investment in ShopKo Stores, Green Bay, Wis.
