Negative idents drive Supervalu sales down
MINNEAPOLIS -- Supervalu reported net sales of $8.7 billion for the fiscal 2011 fourth quarter, compared with sales of $9.2 billion for the same period last year. Supervalu's fourth-quarter net earnings were $95 million, or 44 cents per diluted share, compared with net earning of $97 million, or 46 cents per diluted share the company reported last year.
“In the fourth quarter, our transformation initiatives helped us execute more effective promotions that contributed to stronger than anticipated results,” said Craig Herkert, Supervalu's CEO and president. “This provides us a foundation to continue to deliver upon our business transformation plan as we move into fiscal 2012.”
The company reported that fourth-quarter retail net sales were $6.7 billion compared with $7.2 billion last year. According to Safeway, the retail sales decline was due to a 5% decrease in identical-store sales, store closures and market exits.
For the fiscal year 2011, Safeway reported net sales of $37.5 billion and a net loss of $1.51 billion, or $7.13 per diluted share. In fiscal 2010, the company reported net sales of $40.6 billion and net earnings of $393 million, or $1.85 per diluted share.
For fiscal 2012, Supervalu said it expects net sales of approximately $37.5 billion and identical-store sales, excluding fuel, to be down between 1.5% and 2.5%.