Empire Company Limited released on Thursday its second quarter Fiscal 2026 financial results for the second quarter ended November 1, 2025. For the quarter, the company recorded net earnings of $159 million ($0.69 per share) compared to $173 million ($0.73 per share) last year.
“Our core business is performing well, with 2.5% same-store sales growth,” said Pierre St-Laurent, President & CEO, Empire. “This growth was supported by all our formats – with Full Service achieving more than 2% same-store sales growth and Discount maintaining its momentum and market share gains in its channel.”
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.
Key financial results:
- Earnings per share and adjusted EPS of $0.69
Prior year EPS and adjusted EPS of $0.73; - Sales of $7,995 million, an increase of 2.8%;
- Food sales increased by 3.4%; Same-store sales- food increased by 2.5%;
- Gross margin, excluding fuel, increased by 14 basis points
“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 key 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,” it said.
“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, which started in fiscal 2024 and continues through fiscal 2026. This capital investment includes important sustainability initiatives such as refrigeration system upgrades and other energy efficiency initiatives.”
For fiscal 2026, capital spend is expected to be approximately $850 million, with approximately half of this investment allocated to renovations and new store expansion (including a 1.5% increase in store footprint expansion from new stores), 25% allocated to IT and business development projects and the remainder allocated to logistics and sustainability. By the end of fiscal 2026, the company said it expects to complete the network renovations of approximately 20% to 25%, which began in fiscal 2024.
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