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Fourth quarter sales, profits beat expectations at Safeway
February 21st, 2013
PLEASANTON, Calif. – Fourth quarter net profit rose 13.2% to $244 million, or $1.02 per share, at Safeway Inc. as sales gained 1.2% to $13.77 billion. The bottom line for the 2012 fiscal year grew 15.4% to $596.5 million on a 1.3% rise in sales to $44.21 billion.
Net results for the fourth quarter benefited from legal settlements totaling around $28.5 million, or 12 cents per share, after tax. Excluding that benefit, adjusted net income was nearly flat at $215.5 million. Adjusted earnings totaled 90 cents per share, still well ahead of the average estimate of 76 cents per share among analysts surveyed by FactSet.
Earnings per share were boosted by share repurchases totaling $1.24 billion that reduced the average number of shares outstanding by more than 26% year over year.