Continuing its strong overall performance which began in 2014, Weis Markets posted solid earnings and revenue gains in its second quarter ended July 1.
In the 13-week period, Weis’ operating income increased 15.2 percent to $27.7 million compared to $24.1 million for the same period in 2016. The retailer’s second quarter net income increased 21.0 percent to $18.5 million while earnings per share totaled $0.69 compared to $0.57 in 2016.
Aided by the acquisition of 38 former Food Lion units and five Mars Super Markets last year, the Sunbury, PA-based regional chain saw overall sales climb 20 percent $876.6 million compared to $730.4 million for the same period in 2016. Weis second quarter comparable store sales, adjusted down for the Easter holiday shift, increased 2.7 percent.
“Our comparable stores have now increased for the 13th consecutive quarter,” said Weis Markets chairman and CEO Jonathan Weis. “During this period our sales and net income benefited from the strong performance of our pharmacy and deli-food service departments, sustained and varied promotions throughout our seven-state market area and increased store level efficiencies and expense controls.”
For the 26-week period ended July 1, 2017, sales increased 17.7 percent to $1.7 billion compared to the same period in 2016 while comparable store sales were up 1.7 percent. Operating income totaled $48.0 million compared to $55.3 million in 2016.
“They’re on a good run right now,” said an executive with a large supermarket chain that competes with Weis. “Jonathan and Kurt (Schertle) are providing strong leadership. They’ve modernized their stores, made some strategic acquisitions which they could integrate into their base of stores, are aggressive marketers, and perhaps most importantly, have created a positive atmosphere for the associates.”