Metro Posts Higher Q4 Profit

Metro MTRAF reported a rise in its earnings for the fourth quarter. The Canadian company posted quarterly net income of C$115.6 million ($101.8 million), or C$1.32 per share, compared to C$79.5 million, or 83 Canadian cents per share, in the year-ago period. The year-ago quarter included a C$29.4 million charge related to the reorganization of Ontario store network. Its revenue climbed 3.9% to C$2.71 billion. However, analysts were projecting a profit of C$1.27 per share on revenue of C$2.66 billion. Metro's same-store sales increased 3.1% in the quarter. Gross margin on sales widened to 19.3% in the quarter from 19.2%. Operating income before depreciation and amortization and associate's earnings rose to C$188.4 million in the quarter, up from C$143.7 million. "We delivered strong fourth quarter results which confirms that our customer-first strategies are gaining traction in our very competitive industry. We are encouraged by the improved sales performance across all banners. We completed the acquisition of Première Moisson in the fourth quarter and we will continue to invest in our network and execute our business plans to pursue our growth", stated Eric R. La Flèche, President and Chief Executive Officer.