Grocery Outlet Reports First Quarter Results; RJ Sheedy Comments

Grocery Outlet is using every opportunity it is presented with to attract new shoppers, and its fiscal first quarter 2023 results show the success of its efforts. For the quarter ended April 1, 2023, the retailer revealed that its net sales increased 16.1 percent to $965.5 million.

"Our first quarter performance exceeded expectations driven by strong same-store sales results, gross margin expansion, and bottom-line leverage," said RJ Sheedy, President and Chief Executive Officer. "We are encouraged by the growth in transactions as we are attracting new customers and our existing customers are shopping with us more often. We are delivering on our mission of Touching Lives for the Better, and we continue to execute our strategic growth initiatives to maximize long-term shareholder value."

According to a press release, comparable store sales for the first quarter increased by 12.1 percent, driven by a 7.9 percent increase in the number of transactions combined with a 3.9 percent increase in average transaction size.

Other highlights from the report include:

• The company opened three new stores, ending the quarter with 444 stores in eight states
• Net income increased 18.5 percent to $13.7 million, or $0.14 per diluted share
• Adjusted EBITDA increased by 36.9 percent to $63.1 million
• Adjusted net income increased by 40.7 percent to $27.0 million, or $0.27 per adjusted diluted share

For more details from the report, click here.

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