Home / Knowledge / News / Textiles / Ruddick improves sales by 1.9% in Q1 of fiscal 2009
Ruddick improves sales by 1.9% in Q1 of fiscal 2009
10
Feb '09
Ruddick Corporation reported that consolidated sales for the first quarter of fiscal 2009 ended December 28, 2008 increased by 1.9% to $995 million from $977 million in the first quarter of fiscal 2008. The increase in consolidated sales for the quarter was attributable to sales increases of 3.6% at Harris Teeter, the Company's supermarket subsidiary, that were partially offset by sales declines of 17.6% at American & Efird (“A&E”), the Company's sewing thread and technical textiles subsidiary.

In the first quarter of fiscal 2009, consolidated net income was $22.9 million, or $0.47 per diluted share, compared to $23.3 million, or $0.48 per diluted share, in the prior year's first quarter. The slight decrease in net earnings over the prior year was driven by an operating loss at A&E that was partially offset by operating profit improvement at Harris Teeter.

Harris Teeter's sales increased by 3.6% to $928.9 million in the first quarter of fiscal 2009, compared to sales of $896.6 million in the first quarter of fiscal 2008. The increase in sales was attributable to incremental new stores and was partially offset by a comparable store sales decline of 2.12% for the quarter. Comparable store sales were negatively impacted by the timing of the New Year's holiday which will be included in Harris Teeter's second fiscal quarter of 2009.

In the prior year, the New Year's holiday was included in the first fiscal quarter. Management estimates that this shift in the holiday accounted for approximately 0.76% of the comparable store sales decline. Comparable store sales were also negatively impacted by changes in consumer buying habits created by the current economic environment.

During the first quarter of fiscal 2009, Harris Teeter realized a higher percentage of sales of its lower priced store branded products and sales declines in more discretionary items such as floral and certain general merchandise.

During the first quarter of fiscal 2009, Harris Teeter did not open any new stores or close any existing stores, but completed the remodeling of 2 stores. Since the end of the first quarter of fiscal 2008, Harris Teeter has opened 13 new stores, closed 3 older stores (2 of which were replaced by new stores) and completed the major remodeling of 8 stores (3 of which were expanded in size). Harris Teeter operated 176 stores at December 28, 2008.

Operating profit at Harris Teeter in the first quarter of fiscal 2009 increased by 0.2% to $44.3 million (4.77% of sales), from $44.2 million (4.93% of sales) in the first quarter of fiscal 2008.

Operating profit was impacted by new store pre-opening costs of $4.0 million (0.43% of sales) and $3.7 million (0.41% of sales) in the first quarter of fiscal 2009 and fiscal 2008, respectively. New store pre-opening costs fluctuate between reporting periods depending on the new store opening schedule.

Harris Teeter's operating profit improved in spite of the comparable sales decline. Management was effective in initiating additional expense reduction programs to offset the incremental promotional activity designed to drive sales and respond to the changing consumer buying habits.

Must ReadView All

Apparel/Garments | On 1st Mar 2017

CMAI's Apparel Index for Q3 shows lowest growth at 1.4 pts

CMAI’s Apparel Index for the third quarter FY 2016-17 shows that the...

Courtesy: Carter

Apparel/Garments | On 1st Mar 2017

Kidswear retailer Carter’s acquires Skip Hop Holdings

US headquartered kidswear retailer Carter’s said it has acquired Skip ...

Courtesy: Lectra

Information Technology | On 1st Mar 2017

Lectra makes new strategy for fashion in Industry 4.0 era

Lectra, the world leader in integrated technology solutions, has...

Interviews View All

Smith Vaghasia
Sanado India

Online remains the best destination for shopping

Smita Murarka
Amanté

‘There is huge demand in the Indian lingerie market for non-wired styles.’

Priyanka
Studio Priyanka Rajiv

‘To reinvent the age-old tradition of embroidery to suit demographics and...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
February 2017

February 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search