Loblaw Profit, Sales Climb on Strong Demand for Discount Stores
By Adriano Marchese
Loblaw reported higher first-quarter profit as budget-conscious Canadians continued choosing its discount grocery banners, lifting traffic and sales across the retailer's food business.
The Canadian grocer posted on Wednesday a higher net income of 594 million Canadian dollars ($436.1 million), or C$0.50 a share, up from C$503 million, or C$0.42 a share, in the comparable quarter a year ago.
Adjusted earnings were C$0.52 a share, in line with consensus expectations, according to FactSet.
Revenue rose to C$14.48 billion from C$13.9 billion, but missed analyst forecasts of a greater rise to C$14.57 billion.
Loblaw saw more people shopping in its food stores, and spending more per trip compared with a year earlier, driving same-store sales at its grocery stores up by 2.4%.
Loblaw's discount banners continued to beat its conventional stores in the quarter. Maxi and NoFrills have consistently outperformed Loblaw's conventional grocery chains in recent quarters, with the company itself repeatedly attributing that strength to Canadians shifting toward value formats because of higher living costs and economic pressure.
At its pharmacy segment, drug retail same-store sales rose by 4.1%.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
May 06, 2026 07:33 ET (11:33 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.The articles, information, and content displayed on this webpage may include materials prepared and provided by third parties. Such third-party content is offered for informational purposes only and is not endorsed, reviewed, or verified by Morningstar.
Morningstar makes no representations or warranties regarding the accuracy, completeness, timeliness, or reliability of any third-party content displayed on this site. The views and opinions expressed in third-party content are those of the respective authors and do not necessarily reflect the views of Morningstar, its affiliates, or employees.
Morningstar is not responsible for any errors, omissions, or delays in this content, nor for any actions taken in reliance thereon. Users are advised to exercise their own judgment and seek independent financial advice before making any decisions based on such content. The third-party providers of this content are not affiliated with Morningstar, and their inclusion on this site does not imply any form of partnership, agency, or endorsement.
Popular
4 Stocks to Buy Before They Rise Further
2 Undervalued Stocks to Buy Before They Rebound
The 10 Best Companies to Invest in Now
The 10 Best Dividend Stocks
United States