This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Spartan Stores Announces Third Quarter Fiscal 2012 Financial Results

Spartan Stores, Inc. (Nasdaq:SPTN), a leading regional grocery distributor and retailer, today reported financial results for its 16-week third quarter ended December 31, 2011.

Third Quarter Results

Consolidated net sales for the 16-week third quarter increased 1.9 percent to $797.2 million compared to $782.3 million in the same period last year. Both the distribution and retail segments reported increased sales during the quarter.

Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) for the quarter increased 1.1 percent to $26.0 million, or 3.3 percent of net sales, compared to $25.7 million, or 3.3 percent of net sales last year.

“We are pleased with our ability to generate third quarter earnings in line with our expectations and to consistently increase sales in our Distribution segment for the fifth consecutive quarter, despite a more challenging sales environment than anticipated,” stated Dennis Eidson, Spartan’s President and Chief Executive Officer. “Our Retail team continues to find ways to provide the consumer with value and a quality shopping experience. Our most recent effort, the Yes loyalty program, provides many benefits including free groceries and the best prescription drug program in our markets. In addition, our expanded Speedway fuel rewards partnership allows us to offer fuel rewards to the majority of our consumers in Michigan and provides existing distribution customers an opportunity to offer similar services. We remain confident that our consumer centric focus will continue to resonate well with both existing distribution customers and the end consumer as we position Spartan Stores for increased long-term growth.”

Third quarter gross profit margin decreased 70 basis points to 20.4 percent from 21.1 percent in the same period last year. The decline was primarily due to a higher mix of fuel sales, an increased LIFO expense of approximately $1.8 million, and a slightly lower fuel gross margin rate this year versus last year. The increased LIFO expense was due to higher inflation in this year’s third quarter and the cycling of a $0.7 million LIFO inventory credit provision from lower inventory levels generated in last year’s third quarter as a result of warehouse operational improvements.

1 of 7

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs