Empire Shares Fall on Lower 4Q Profit, Rocky Near-Term Sales Expectations

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By Adriano Marchese


Shares of Empire opened lower Thursday after it reported lower profit in its second quarter and said that it expects sales to fluctuate.

At 9:39 a.m. ET, shares were trading 5.4% lower at 36.85 Canadian dollars ($27.26).

The Stellarton, Nova Scotia-based retail grocer said it expects same-store sales to fluctuate over the short term, given the negative sales effect in the prior-year caused by a cybersecurity attack.

Empire said that the continued effects of inflation on consumer behavior, which will weigh on sales, are also a factor.

In the quarter, net income fell to C$181.1 million, or C$0.72 a share in the period ended Nov. 4, from C$189.9 million, or C$0.73 a share, in the comparable quarter a year ago.

Adjusted earnings of C$0.71 a share missed FactSet-polled analyst expectations of C$0.76 a share.


Write to Adriano Marchese at [email protected]


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