George Weston revealed today (10 May) that its first-quarter profits more than doubled thanks to an improved operating performance from its Weston Foods and Loblaw businesses.
The baked goods and grocery group reported profits of C$105m (US$109.2m), compared to a profit of C$37m in the same period a year ago. Sales for the quarter to 27 March were slightly down, dipping to C$7.15bn from C$7.16bn.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
In the group’s bakery business, Weston Foods, sales in period increased by 6.5% to C$410m, on volumes that were up 8%. The result was boosted by the company’s recent acquisition Keystone Bakery and ACE Bakery. Excluding acquisitions and currency exchange, sales decreased by 1.4% due to a decrease in volume of 1.1% and lower pricing. Weston Foods’ adjusted operating income rose 21.3% to $57m, the company added.
Meanwhile, the group said its Loblaw supermarket unit continues to “progress” with its renewal programme. Operating income at the supermarket chain climbed to C$323m, from C$298m, on sales that were down just 0.6%.
George Weston also hinted that it remains on the lookout for further acquisition opportunities, adding that it “continues to assess opportunities” for the deployment of its “significant holdings of cash and short term investments”.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData
