Metro posts third-quarter profit of $275 million

Metro Inc. reported a third-quarter profit of $275 million, up from $252.4 million a year earlier, as sales gained 2.5%.

The Montreal-based grocery and drug store retailer says the profit amounted to $1.14 per diluted share for the period ended July 2, up from $1.03 cents per diluted share a year earlier.

Sales totalled $5.87 billion, up from $5.72 billion, as food same-store sales gained 1.1% and pharmacy same-store sales rose 7.2%.

On an adjusted basis, Metro says it earned $1.18 cents per diluted share for the quarter, up from $1.06 per diluted share a year earlier.

In its outlook, Metro says it continues to face higher than normal inflationary pressures and labour shortages, which it anticipates could put pressure on margins going forward if prolonged.

Metro also says it expects same-store food sales to grow at a higher rate than in recent quarters and for growth in prescriptions on the pharmacy side of the business to moderate.