HARRISBURG, Pa. -- Super Rite here said a continued strong performance in its wholesale segment and a decrease in interest expense raised earnings for the first quarter ended June 3.
For the quarter, the company -- which is merging with Richfood Holdings, Mechanicsville, Va., as reported -- had a 15.6% increase in net income to $3.6 million. Revenues for the 13-week period advanced 6.4% to $373.5 million. Same-store sales rose 4% in the period.
Super Rite said operating income in its wholesale segment rose 6.3%, while interest expense dropped 16%, reflecting reduced borrowings.
The company also said it opened its ninth Metro superstore in South Baltimore last month and expects to open its tenth at the end of next quarter in Towson, Md.
The Metro chain had a 28% sales increase in the first quarter, reflecting revenues from two new stores opened during the period, the company said.
Super Rite supplies 238 supermarkets in Pennsylvania, New Jersey, Maryland, Delaware, Virginia and West Virginia. It also operates nine Metro superstores in the Baltimore market and Dover, Del., as well as six Basics supermarkets in metropolitan Baltimore.
When the merger with Richfood is completed, the combined company will have annual revenues of more than $3 billion, making it the nation's fourth-largest wholesaler.
