Empire Company (EMP-A.TO), the parent of grocery chain Sobeys, reported Q1 earnings of CA$1.04 per share, compared with CA$0.91 per share in the prior-year period. The result matched the FactSet consensus estimate.
Sales for the period ended Aug. 31 were CA$8.48 billion, up from CA$8.26 billion in the same period last year. The FactSet consensus estimate was CA$8.54 billion.
Empire also declared a quarterly dividend of CA$0.2425 per share on both its Class A shares and Class B common shares, payable Oct. 30 to shareholders of record on Oct. 15.
Empire said its e-commerce review is expected to improve its overall financial performance with improvements in annualized operating income of approximately CA$95 million. The review started in Q4 of fiscal 2026.
For fiscal 2027, capital spend is expected to be approximately CA$850 million, with half allocated to renovations and new store expansion. Also in the fiscal year, the IGA and Safeway brands parent expects pre-tax earnings from other income plus share of earnings from investments to be in the range of CA$90 million to CA$110 million, compared with CA$129 million in fiscal 2026.