Canadian retailer Loblaw warned today (4 May) that its operating performance will come under increasing pressure as the year progresses despite posting a jump in first-quarter profits.
The company said that net profit for the three months to the end of March increased to C$137m (US$133.9m), up from $109m in the first quarter of last year.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
Sales were boosted by the group’s acquisition of T&T Supermarkets, rising 3.1% to C$6.9bn, the company said.
However, Loblaw warned that investments in a new information technology platform and logistics would likely weigh on its profits during the year.
“Our major investment in information technology and supply chain will now start to ramp up,” executive chairman, Galen Weston Jr., said. “As previously announced, we expect these investments to negatively impact 2010 operating income.”
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
