Canada's Metro misses Q3 sales estimates

Metro

13/08/2025 12:15

Overview

Metro fiscal Q3 sales rise 3.3% yr/yr, but miss analysts' expectations, per LSEG data

Adjusted EPS for fiscal Q3 misses consensus, despite 12.6% yr/yr growth

Company opened 5 new food stores, continuing expansion of discount banners

Outlook

Metro Inc focuses on realizing efficiency gains after supply chain investments

Company faces uncertain economic environment impacting operations

Metro Inc plans retail network expansion in coming years

Company emphasizes value delivery through merchandising and loyalty offers

Result Drivers

RETAIL NETWORK - Higher sales in retail network drove a 3.3% increase in Q3 sales

PHARMACY SALES - Pharmacy same-store sales rose 5.5%, driven by prescription drugs and over-the-counter products

STORE EXPANSION - Opened 5 new food stores, continuing discount banner expansion

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Miss
C$6.87 bln
C$6.92 bln (8 Analysts)
Q3 Adjusted EPS
Miss
C$1.52
C$1.53 (8 Analysts)
Q3 EPS
C$1.48
Q3 Adjusted Net Income
C$331.80 mln
Q3 Net Income
C$323 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "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$105.50, about 0.5% below its August 12 closing price of C$106.03

The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 21 three months ago

Press Release: ID:nCNWcQQ28a

(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.)