Canada's Metro slightly misses Q4 sales estimates

Metro

19/11/2025 12:10

Overview

Metro Q4 sales rose 3.4% but slightly missed analyst expectations

Adjusted EPS for Q4 beats consensus, rising 10.8%

Net earnings impacted by $22.5 mln due to Toronto distribution centre shutdown

Outlook

Metro expects $15-20 mln impact on Q1 2026 net earnings from distribution center shutdown

Company plans to open about a dozen new or converted stores next fiscal year

Metro aims for efficiency gains in supply chain and store network

Result Drivers

DISCOUNT AND PHARMACY SALES - Higher sales in discount and pharmacy retail networks drove Q4 revenue growth

DISTRIBUTION CENTRE SHUTDOWN - Temporary shutdown of Toronto frozen food distribution centre negatively impacted net earnings by $22.5 mln

PRODUCTIVITY GAINS - Productivity improvements at food distribution centres and shrink improvement in stores contributed to margin growth

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Slight Miss*
C$5.11 bln
C$5.12 bln (8 Analysts)
Q4 Adjusted EPS
Beat
C$1.13
C$1.10 (8 Analysts)
Q4 EPS
C$1
Q4 Adjusted Net Income
C$246 mln
Q4 Net Income
C$217 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$106.00, about 7.7% above its November 18 closing price of C$97.85

The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 20 three months ago

Press Release: ID:nCNWGN9p5a

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