The food and pharmacy company Metro suffered a 1.1% decline in its net profit in the first quarter of the 2024 financial year, which fell from 231.1 million to 228.5 million in one year.
During the same period, a 1.1% decline in adjusted net profit was also observed; this year it stood at 235 million. Diluted net earnings per share increased 2.1% to $0.99, while adjusted diluted net earnings per share increased 2% to $1.02.
The Quebec giant reports that its turnover stood at 4.974 billion in the first quarter of this year, up 6.5% compared to the corresponding period of 2023.
In a brief outlook statement, Metro said it expects to face significant headwinds in fiscal 2024, notably due to a temporary doubling of costs.
Metro is opening a new automated distribution center in Terrebonne, Lanaudière, and will launch the final phase of its automated fresh fruit and vegetable plant in Toronto next spring. The company warns that it will not fully absorb these additional expenses.
Furthermore, the board of directors declared a quarterly dividend of $0.3350 per share on January 29, an increase of 10.7% compared to last year’s quarterly dividend.
Company cited in this report: Metro (TSX: MRU)