Loblaw Companies Continues Gains Into Q4

Canadian retailer Loblaw Companies Limited has shared its fourth quarter 2022 fiscal results, which showed retail sales grew nearly 10%, fueled in part by strong private label sales.

Revenue for the most recent quarter, ended Dec. 31, 2022 was $14 billion, an increase of $1.250 billion, or 9.8% year-over-year. E-commerce sales increased by 8.3% in Q4.

Retail segment sales were $13.69 billion, an increase of $1.2 billion, or 9.7%. Food retail (Loblaw) same-stores sales increased by 8.4%, drug retail (Shoppers Drug Mart) same-store sales increased by 8.7%, with front store same-store sales growth of 11.5% and pharmacy same-store sales growth of 5.4%. 

Operating income was $871 million, an increase of $166 million, or 23.5%. Adjusted EBITDA was $1,493 million, an increase of $169 million, or 12.8%.

"Loblaw used its assets to provide value to customers in a period of continued inflation," said Galen G. Weston, chairman and president of Loblaw Companies Limited. "Consumers responded favorably to those efforts and continued to benefit from our extensive private label offering, leading loyalty program and targeted promotions."

In 2023, Loblaw Companies Limited said it expects to invest $1.6 billion in its store and distribution network. Loblaw Companies Limited operates more than 2,400 locations throughout Canada, and employs almost 200,000 people.