Loblaw Companies Limited Shares Q2 2022 Results

The Canadian grocery company saw increased sales and revenue, but decreased e-commerce sales, in the quarter compared to last year.
Zachary Russell
Associate Editor
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Canadian grocer Loblaw Companies Limited has shared its financial results from Q2 period ended June 18, highlighted by increased revenue and retail sales compared to last year.

"Loblaw delivered consistent operating and financial results, as customers recognized the value, quality and convenience delivered through our diverse store formats, control brand products, and our PC Optimum loyalty program," said Galen G. Weston, Chairman and President, Loblaw Companies Limited. "In the quarter we also continued to pursue our strategic growth agenda, with the completion of our acquisition of Lifemark Health Group, bolstering our healthcare services offering and furthering our purpose to help Canadians Live Life Well."

For the second quarter of 2022, revenue increased 2.9%, or $356 million, compared to the same period in 2021. Retail segment sales were $12.6 billion, an increase of $341 million, or 2.8%. Grocery same-stores sales increased by 0.9% and drug retail (Shoppers Drug Mart) same-store sales increased by 5.6%. Loblaw Company Limited reported that food retail basket size decreased and traffic increased. 

Retail segment adjusted gross profit percentage was 31.4%, an increase of 50 basis points. In the quarter, e-commerce sales decreased by 17.5%, decreasing compared to elevated online sales due to lockdowns last year.

Loblaw operates more than 2,400 locations throughout Canada, and employs almost 200,000 people.