Canada's Metro Q2 sales slightly beat estimates; says Laval strike to impact Q3

Metro

22/04/2026 12:12

Overview

Canada grocery and pharmacy retailer's fiscal Q2 sales rose 4.1%, slightly beating analyst expectations

Adjusted EPS for fiscal Q2 met analyst expectations

Company returned C$222.5 mln to shareholders via share repurchases

Outlook

Company says strike at Laval produce centre will impact Q3 results; further details to come

Metro plans about a dozen new or converted discount stores in fiscal 2026

Company remains focused on efficiency gains in supply chain and store network

Result Drivers

SAME-STORE SALES GROWTH - Food and pharmacy same-store sales rose, with food up 1.8% and pharmacy up 5.1%, driven by prescription drugs and health and beauty products

DISCOUNT STORE EXPANSION - Co said expansion of its discount store network continued to fuel food sales growth

ASSET DISPOSALS - Gains from the disposal of out-of-service warehouses boosted operating income

Company press release: ID:nCNWVFlyHa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Slight Beat*
C$5.11 bln
C$5.08 bln (7 Analysts)
Q2 Adjusted EPS
Meet
C$1.11
C$1.11 (8 Analysts)
Q2 EPS
C$1.16
Q2 Adjusted Net Income
C$236.50 mln
Q2 Net Income
C$246.60 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", 8 "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$103.50, about 11.4% above its April 21 closing price of C$92.88

The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 18 three months ago

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.)