George Weston Q2 revenue meets estimate on retail growth

George Weston

31/07/2026 12:10

Overview
Canada food and real estate conglomerate's Q2 revenue rose 4.1%, meeting analyst estimate
Adjusted diluted EPS up 12.9% but missed analyst expectations
Company repurchased 3.1 mln shares for C$300 mln in Q2

Outlook
Company expects 2026 adjusted net earnings to increase, outlook unchanged
Loblaw expects 2026 adjusted net earnings per share growth in high single-digits
Company plans to use excess cash for share repurchases in 2026

Result Drivers
RETAIL SALES GROWTH - Loblaw's higher food and drug retail sales, supported by increased customer traffic, larger basket sizes, and e-commerce, drove segment results
DISCOUNT BANNERS - Loblaw's discount banners outperformed as consumers sought value and gained greater access to Maxi and No Frills stores
RENTAL INCOME - Choice Properties' revenue rose due to higher rental rates in retail and industrial portfolios, lease surrender revenue, and new developments

Company press release: ID:nGNX8mQPcG

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Meet
C$15.20 bln
C$15.20 bln (1 Analyst)
Q2 Adjusted EPS
Miss
C$1.14
C$1.24 (3 Analysts)
Q2 EPS
 
C$0.34
 
Q2 Adjusted EBITDA
 
C$1.94 bln
 
Q2 Adjusted EBITDA Margin
 
12.80%
 
Q2 Operating Income
 
C$1.37 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the food retail & distribution peer group is "buy"
Wall Street's median 12-month price target for George Weston Ltd is C$114.50, about 9.6% above its July 30 closing price of C$104.51
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 20 three months ago

Reuters Recommended Reads
July 30 - Canada's Loblaw Q2 profit beats on e-commerce sales growth, customer traffic
July 29 - Canada's Primaris REIT Q2 AFFO per unit falls on vacant HBC space and portfolio changes
July 29 - Jeronimo Martins misses profit estimates as consumers remain cautious

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)