Spartan Stores down slightly
Spartan Stores Inc reported financial results for its 12-week second quarter ended Sept.12.
Consolidated net sales were $610.2 million compared with $626.8 million in the same period last year. Sales were negatively affected by price deflation in certain primary product categories, significantly lower retail fuel prices, a shift in the mix towards more private label products and the general economic environment.
Earnings before interest, taxes, depreciation and amortization for the quarter were $30 million, or 4.9 percent of net sales, compared with $31.5 million, or 5 percent of net sales in the same period last year. Second-quarter operating earnings were $21.0 million compared with last year's record $22.5 million.
The change in operating earnings was the result of lower sales and procurement related gains, reduced fuel margins and the incremental costs associated with the acquired retail stores. These items were partially offset by lower LIFO inventory valuation expense and incentive compensation costs, as well as the benefits from general cost saving initiatives.