Loblaw to close 52 stores over next 1 year

Thu Jul 23, 2015 6:56am EDT
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July 23 (Reuters) - Loblaw Companies Ltd, Canada's largest grocer, said it would close 52 unprofitable stores over the next year.

The closures would reduce sales by about C$300 million ($231.25 million), but will add about C$35 million-C$40 million to its operating income annually.

The company's revenue rose to C$10.54 billion in the second quarter ended June 20 from C$10.3 billion a year earlier, helped by strong sales in its food retail business.

Loblaw posted a profit of C$186 million, or 44 Canadian cents per share, compared with a loss of C$456 million, or C$1.13 per share. The year-earlier quarter included costs related to the acquisition of Shoppers Drug Mart. ($1 = C$1.2973) (Reporting By Manya Venkatesh in Bengaluru; Editing by Joyjeet Das)