Safeway lowers full-year profit guidance
Sales down 6.5% on foreign exchange
Profit edges up on previous year
US retailer Safeway posted an increase in second-quarter net profit today (23 July) but cut its full-year profit expectations as trading continued to drop.
The supermarket chain said profits rose to US$238.6m for the period ended 20 June, from $234.3 million a year earlier.
Sales fell 6.5% to $9.5bn, primarily due to lower fuel sales, a decline in the Canadian exchange range and a 1.5% decline in identical-store sales.
Safeway said it expects to earn $1.70 to $1.90 per share this year, with a decline in identical-store sales, excluding fuel, of 1% to 1.7%.
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