Perishables, Private Label Boost Weis Q2 Earnings 18.5%
Improved perishables and private label sales helped Weis Markets, Inc. post an 18.5 percent increase in its second-quarter net income vs. the same period a year ago, while its basic and diluted earnings per share increased eight cents to 56 cents per share. During the 13-week period ended June 27, 2009, the Sunbury, Pa.-based regional retailer saw same-store sales gain 2.4 points alongside a 2 percent sales increase of $615.4 million from 603.4 million a year ago, and higher net income of $15.2 million vs. $12.8 million for the same period a year ago.
“We made significant investments in our sales programs during the second quarter which helped drive the increases in our sales and net income,” said David J. Hepfinger, president and CEO of the 154-store chain. “In addition, our best-of-class private label program continues to generate strong sales, exceeding the national average, due to the depth and variety of our program and the value-driven needs of our customers. Our second-quarter results were also positively impacted by the improved sales performance of our perishable departments, particularly in meat, and the continued improvement in our store-level operating performance.”
For the 26-week period, the company’s year-to-date net income increased 45 percent to $31.7 million compared with $22 million a year ago while earnings per share increased 37 cents to $1.18 per share. Year-to-date sales increased 1.9 percent to $1.2 billion, and comp sales were up 2 percent.
As previously announced, Weis will complete its acquisition of t 12-store, Binghamton, N.Y.-based Giant Markets as scheduled on Aug. 23, 2009.
“We made significant investments in our sales programs during the second quarter which helped drive the increases in our sales and net income,” said David J. Hepfinger, president and CEO of the 154-store chain. “In addition, our best-of-class private label program continues to generate strong sales, exceeding the national average, due to the depth and variety of our program and the value-driven needs of our customers. Our second-quarter results were also positively impacted by the improved sales performance of our perishable departments, particularly in meat, and the continued improvement in our store-level operating performance.”
For the 26-week period, the company’s year-to-date net income increased 45 percent to $31.7 million compared with $22 million a year ago while earnings per share increased 37 cents to $1.18 per share. Year-to-date sales increased 1.9 percent to $1.2 billion, and comp sales were up 2 percent.
As previously announced, Weis will complete its acquisition of t 12-store, Binghamton, N.Y.-based Giant Markets as scheduled on Aug. 23, 2009.