Stater Bros. has reported its sales and earnings results for its fourth quarter and fiscal 2013 year ended Sept. 29.
Fourth quarter fiscal 2013 sales were $960.4 million, an increase of $3.2 million, or 0.33 percent, compared to normalized 13-week 2012 fourth quarter sales. Fiscal 2013 sales were $3.9 billion, an increase of $54.4 million, or 1.43 percent, over normalized 52-week fiscal 2012 sales. Same store sales increased 0.58 percent in the fourth quarter and 1.53 percent in fiscal 2013 over the same periods of the prior year.
The company reported net income of $3.4 million in the fourth quarter of fiscal 2013 and $5.0 million in the fourth quarter of fiscal 2012. Net income was $30.4 million and $37.7 million for fiscal 2013 and fiscal 2012, respectively.
The comparison of sales and earnings for fiscal 2013 compared to fiscal 2012 is affected by fiscal 2012 having an extra week of sales for both the fourth quarter and the fiscal year, according to the San Bernardino, Calif.-based company. The fourth quarter of fiscal 2013 was a 13-week quarter while fiscal 2012 was a 14-week quarter. The 2013 fiscal year was a 52-week year while 2012 was a 53-week year. The extra week in the prior year added approximately $67.8 million to the prior year’s fourth quarter and fiscal year.
“We are pleased with our increase in sales in fiscal 2013,” said Jack H. Brown, chairman and CEO of Stater Bros. “We’ve increased sales and customer counts as our valued customers have responded favorably to our marketing strategy of keeping our prices low during these continued challenging economic times. During the prolonged economic downturn, we have intentionally sacrificed some gross margin, which has affected our current year earnings. Over the past three years, we have reduced our debt by approximately $176.5 million and by Dec. 31, 2013, we will make an additional $13.9 million reduction in our term loan. This has allowed us to lower our interest costs and invest more in our customers. During these times, low prices and value are even more important as our customers continue to face challenges to their home budgets.”
