Business
Village Super Market, Inc. Reports Results for the Second Quarter Ended January 25, 2020
SPRINGFIELD, N.J., March 05, 2020 (GLOBE NEWSWIRE) -- Village Super Market, Inc. (NASDAQ:VLGEA) today reported its results of operations for the second
About this update from Village Super Market, Inc.
[{"type":"text","content":"SPRINGFIELD, N.J., March 05, 2020 (GLOBE NEWSWIRE) -- Village Super Market, Inc. (NASDAQ:VLGEA) today reported its results of operations for the second quarter ended January 25, 2020.\n Net income was $2,005,000 in the 13 weeks ended January 25, 2020 compared to $7,571,000 in the 13 weeks ended January 26, 2019. The 13 weeks ended January 25, 2020 includes a non-cash pension charge related to the termination of a company-sponsored pension plan and other pension settlement charges of $871,000 (net of tax), pre-opening costs related to the Stroudsburg, Pennsylvania replacement store that opened on November 1, 2019 of $304,000 (net of tax) and store closure costs and charges to write off the variable lease obligations related to the old Stroudsburg store of $365,000 (net of tax). Excluding these items, net income decreased 53% in the 13 weeks ended January 25, 2020 compared to the prior year due primarily to decreased gross profit margins due to price investments and increased operating and administrative expenses. Sales were $437,422,000 in the 13 weeks ended January 25, 2020, an increase of 2.2% compared to the 13 weeks ended January 26, 2019. Sales increased due to the opening of the Stroudsburg replacement store on November 1, 2019, the acquisition of Gourmet Garage on June 24, 2019 and a same store sales increase of 0.1%. 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 five additional stores. These increases were partially offset by the impact of one competitor store opening, decreased promotional spending in Maryland and the early release of Supplemental Nutrition Assistance Program (\"SNAP\") benefits in January 2019. The Company expects same store sales in fiscal 2020 to range from a .5% decrease to an increase of 1.0%. 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 26.96% in the 13 weeks ended January 25, 2020 compared to 27.50% in the 13 weeks ended January 26, 2019. Excluding the impact of the addition of Gourmet Garage, gross pr...