PORTLAND, Ore. — Supervalu Inc.'s first-quarter net income fell 40 percent as shoppers kept a tight lid on spending and competition increased.
The national grocery chain said Tuesday that it was disappointed in the results but maintained its forecast for adjusted earnings for the year, saying its cost-cutting and other turnaround efforts will gain traction.
"This was a tough quarter for us but one that ushered in positive operational progress," CEO Craig Herkert said during a conference call with investors Tuesday.
The company, which operates Albertsons, Jewel-Osco, Shaw's and other grocery chains, reported net income of $67 million, or 31 cents a share, for the quarter that ended June 19. That's down from $113 million, or 53 cents per share, a year earlier.
Excluding the costs of closing stores in Connecticut and Ohio and a labor dispute, the company earned 43 cents per share — beating the average forecast for 42 cents per share from analysts surveyed by Thomson Reuters.
To read the rest of the story, please go to: Associated Press.
