Safeway’s profit climbs in first quarter on tax benefit; key sales figure rises

NEW YORK, N.Y. – Safeway Inc. reported a higher profit for the first quarter as the grocery store operator benefited from lower tax charges.

The company, which operates more than 1,600 locations under names including Safeway and Vons, stood by its forecast for the year.

Sales at stores open at least a year, a key indicator of health, rose 1.5 per cent.

For the quarter, Safeway earned $118.9 million, or 49 cents per share. That’s up from $72.9 million, or 27 cents per share, a year ago. Tax benefits contributed 14 cents per share to the latest quarter.

Net sales dipped to $9.99 billion, from $10 billion a year ago, as the company sold its Genuardi’s stores.

Analysts on average expect a profit of 35 cents per share on revenue of $10.15 billion.

News from © The Associated Press, . All rights reserved.
This material may not be published, broadcast, rewritten or redistributed.

Join the Conversation!

Want to share your thoughts, add context, or connect with others in your community?

Create a free account

The Associated Press

The Associated Press is an independent global news organization dedicated to factual reporting. Founded in 1846, AP today remains the most trusted source of fast, accurate, unbiased news in all formats and the essential provider of the technology and services vital to the news business. More than half the world’s population sees AP journalism every day.

Related Articles