Business
Village Super Market, Inc. Reports Results for the First Quarter Ended October 26, 2019
SPRINGFIELD, N.J., Dec. 03, 2019 (GLOBE NEWSWIRE) -- Village Super Market, Inc. (NASDAQ:VLGEA) today reported its results of operations for the first quarter
About this update from Village Super Market, Inc.
[{"type":"text","content":"SPRINGFIELD, N.J., Dec. 03, 2019 (GLOBE NEWSWIRE) -- Village Super Market, Inc. (NASDAQ:VLGEA) today reported its results of operations for the first quarter ended October 26, 2019.\n Net income was $2,567,000 in the 13 weeks ended October 26, 2019 compared to $6,269,000 in the 13 weeks ended October 27, 2018. The 13 weeks ended October 26, 2019 includes pre-opening costs related to the Stroudsburg, Pennsylvania replacement store of $594,000 (net of tax) and charges to write off the lease asset related to the old Stroudsburg store of $191,000 (net of tax). The opening of the Stroudsburg, Pennsylvania replacement store occurred on November 1, 2019. The 13 weeks ended October 27, 2018 includes a $290,000 (net of tax) gain for Superstorm Sandy insurance proceeds received. Excluding these items from both periods, net income decreased 44% in the 13 weeks ended October 26, 2019 compared to the prior year due primarily to decreased gross profit margins and increased operating and administrative expenses. Sales were $407,402,000 in the 13 weeks ended October 26, 2019, an increase of 1.5% compared to the 13 weeks ended October 27, 2018. Sales increased due to the acquisition of Gourmet Garage on June 24, 2019 and a 0.1% increase in same store sales. Same store sales increased due to continued sales growth in the Bronx, New York City store opened on June 28, 2018, recently remodeled or replaced stores and continued growth of ShopRite from Home including expansion to four additional stores. These increases were partially offset by the impact of two competitor store openings, decreased promotional spending in Maryland and reduced sales in our existing store in Stroudsburg, Pennsylvania leading up to its closure. The Company expects same store sales in fiscal 2020 to range from a 2.0% decrease to flat. New stores and replacement stores are included in same store sales in the quarter after the store has been in operation for four full quarters. Store renovations and expansions are included in same store sales immediately. Gross profit as a percentage of sales decreased to 27.87% in the 13 weeks ended October 26, 2019 compared to 27.92% in the 13 weeks ended October 27, 2018. Excluding the impact of the addition of Gourmet Garage, gross profit as a percentage of sales decreased .26% in the 13 weeks ended October 26, 2019 compared to the 13 wee...