Canada's Metro Inc Q1 sales slightly beat expectations

Metro

27/01/2026 12:10

Overview

Canada grocery and pharmacy retailer's fiscal Q1 sales slightly beat analyst expectations

Adjusted EPS for fiscal Q1 missed analyst expectations

Net earnings declined due to temporary shutdown of Toronto frozen food distribution center

Outlook

Metro plans to open about a dozen new or converted discount stores this fiscal year

Company aims to realize efficiency gains in supply chain and store network

Metro remains committed to delivering best value through merchandising programs and private labels

Result Drivers

FROZEN FOOD CENTRE SHUTDOWN - Temporary shutdown of Toronto frozen food distribution centre impacted net earnings due to direct costs

ONLINE FOOD SALES GROWTH - Online food sales increased by 25.8%, contributing to overall sales growth

PHARMACY SALES INCREASE - Pharmacy same-store sales rose 3.9%, driven by prescription drugs and health and beauty products

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Slight Beat*
C$5.29 bln
C$5.27 bln (7 Analysts)
Q1 Adjusted EPS
Miss
C$1.16
C$1.20 (8 Analysts)
Q1 EPS
C$1.05
Q1 Adjusted Net Income
C$248.70 mln
Q1 Net Income
C$226.30 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 7 "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 Metro Inc is C$107.00, about 8.8% above its January 26 closing price of C$98.32

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nCNWWdvmSa

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(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.)