Empire Company Limited announced Thursday its financial results for the fourth quarter and full year ended May 3, 2025, saying it delivered positive results across all major financial measures.
For the quarter, the company recorded net earnings of $173 million ($0.74 per share) compared to $149 million ($0.61 per share) last year. For the quarter, the company recorded adjusted net earnings of $173 million ($0.74 per share) compared to $154 million ($0.63 per share) last year, an increase of 12.3% (or 17.5% per share).
Empire is a Canadian company headquartered in Stellarton, Nova Scotia. Empire’s key businesses are food retailing, through wholly-owned subsidiary Sobeys Inc., and related real estate. With approximately $31 billion in annual sales and $17 billion in assets, Empire and its subsidiaries, franchisees and affiliates employ approximately 129,000 people.
“This was a very strong quarter for Empire and I am pleased with the way our team finished the year, delivering positive results across all major financial measures,” said Michael Medline, President & CEO, Empire.
“Our momentum continued to build throughout fiscal 2025 resulting in fourth quarter market share gains and our adjusted EPS growth of 8.8% was within our financial framework.”
The Company declared a quarterly dividend of $0.22 per share on both Non-Voting Class A shares and Class B common shares, that will be payable on July 31, 2025 to shareholders of record on July 15, 2025.
“This reflects an increase in the annualized dividend rate of 10.0%. These dividends are eligible dividends as defined for the purposes of the Income Tax Act (Canada) and applicable provincial legislation,” said Empire.
Key financial results
- Earnings per share (“EPS”) and adjusted EPS of $0.74
- Prior year EPS and adjusted EPS of $0.61 and $0.63, respectively
- Delivered adjusted EPS growth of 8.8% in fiscal 2025; within the financial framework
- Sales of $7,637 million, an increase of 3.0%
- Same-store sales – food increased by 3.8%
- Repurchased $400 million of shares in fiscal 2025
- Capital allocation outlook for fiscal 2026:
- Declared a dividend increase of 10.0%; 30th consecutive year of dividend increase
- Renewed NCIB with the intention to repurchase up to $400 million of shares
- Capital investment program expected to be approximately $850 million
“Over recent years, the Company has accelerated investments in renovations, conversions, and new stores along with store processes, communications, training, technology and tools. Investing in the store network will remain a priority, demonstrated by a sustained emphasis on renovations and continued new store expansion. The Own Brands program enhancement will remain a priority through increased distribution, product innovation and supporting Canadian suppliers,” explained Empire.
“The Company intends to invest capital in its store network and is on track with its plan to renovate approximately 20% to 25% of the network between fiscal 2024 and fiscal 2026. This capital investment includes important sustainability initiatives such as refrigeration system upgrades and other energy efficiency initiatives.”
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Interesting that Empire just closed a Sobeys store near my home in Kanata, Ontario. Rumour is it’s being converted to a Farm Boy but there are already three Farm Boy locations 10 minute or less away from the closed store.
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