{"id":379323,"date":"2020-11-12T06:33:34","date_gmt":"2020-11-12T11:33:34","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=379323"},"modified":"2020-11-12T06:33:34","modified_gmt":"2020-11-12T11:33:34","slug":"loblaw-reports-2020-third-quarter-results1","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/loblaw-reports-2020-third-quarter-results1\/","title":{"rendered":"Loblaw Reports 2020 Third Quarter Results(1)"},"content":{"rendered":"
\n

Canada NewsWire<\/p>\n<\/p><\/div>\n

\n

\n BRAMPTON, ON<\/span>, Nov.\u00a012, 2020 \/CNW\/ – Loblaw Companies Limited (TSX: L) (“Loblaw” or the “Company”) announced today its unaudited financial results for the third quarter ended October 3, 2020<\/span>. The Company’s 2020 Third Quarter Report to Shareholders will be available in the Investors section of the Company’s website at loblaw.ca and will be filed on SEDAR and available at sedar.com.<\/p>\n

“Loblaw delivered strong operating performance in the quarter, while investing in providing exceptional value, safety and convenience,” said Galen Weston<\/span>, Executive Chairman, Loblaw Companies Limited. “We continued to build for the future, expanding our digital network and leveraging our PC Optimum<\/i>TM<\/sup> loyalty program to create even more value for Canadian families.” <\/p>\n

The COVID-19 pandemic continued to impact the Company’s operations in the quarter, positively impacting sales in the Food Retail business, supported by significant investments to ensure the safety and security of customers and colleagues. Loblaw continued to make investments to enhance the overall value proposition for consumers, maintaining its promotional intensity through the pandemic to retain its share gains in conventional banners and further improve its positioning in discount banners.<\/p>\n

Food Retail same-store sales continued at elevated levels, growing by 6.9% in the quarter, with the Company’s Market division delivering strong growth of 9.7% and the Discount division delivering 4.7% growth. Drug Retail same-store sales also experienced growth in the quarter, growing by 6.1%, with pharmacy delivering strong growth of 10.3% and front store sales growing by 2.4%. The Company invested approximately $85 million<\/span> in COVID-19 related costs in the quarter primarily to ensure the safety and security of customers and colleagues.<\/p>\n

The COVID-19 pandemic has accelerated certain longer-term trends, enabling the Company to advance its strategic growth areas of Everyday Digital, Connected Healthcare, and Payments and Rewards. The Company’s investments in its Everyday Digital platforms enable it to offer Canadians a choice of shopping in-store or online with either home delivery or convenient pickup locations. The Company’s e-commerce sales grew by 175% in the third quarter, across the Company’s grocery, pharmacy, and apparel e-commerce platforms. The platform was expanded in the quarter to include front-store items from Shoppers Drug Mart and Pharmaprix pharmacies.<\/p>\n

In September, the Company made two important announcements in its strategic growth areas of Payments and Rewards and Connected Health. The Company launched the PC Money<\/i>TM <\/sup>Account, a simple no-fee way to do everyday banking, turning the act of paying bills and shopping into a way to receive PC Optimum<\/i> rewards. As it continues to build out its Connected Health strategy, the Company also announced an investment in Maple Corporation and the launch of a PC Health<\/i> app. Together, these two initiatives form part of the Company’s next generation digital health platform that will provide Canadians with a new, personalized healthcare experience by leveraging the power of Loblaw’s existing national healthcare network, extensive professional care services and world-class loyalty program to deliver a personalized healthcare solution for Canadians.<\/p>\n

\n 2020 THIRD QUARTER HIGHLIGHTS<\/b>\n <\/p>\n

Unless otherwise indicated, the following highlights include the impacts of the consolidation of franchises and COVID-19.<\/p>\n