Sponsored By

Publix turns in strong Q2 performance

New stores, holiday calendar shift provide sales lift

Russell Redman

August 5, 2019

2 Min Read
Supermarket News logo in a gray background | Supermarket News

Publix Super Markets saw robust gains at the top and bottom lines for its fiscal 2019 second quarter.

For the quarter ended June 29, sales climbed 6.8% to $9.35 billion from $8.75 billion a year earlier, with same-store sales up 4.8%. Helping to fuel the increased sales were new-supermarket sales and a 1.2% sales lift from the Easter holiday, which in 2019 occurred in the second quarter versus the first quarter last year, according to Publix.

Meanwhile, second-quarter net income rose to $661.1 million, or 92 cents per share, from $616.2 million, or 84 cents per share, a year ago. Publix said earnings results got a boost from net unrealized gains on equity securities.

Excluding the impact of net unrealized gains, net earnings would have totaled $637 million, or 89 cents per share, compared with $571 million, or 78 cents per share, in the 2018 quarter.

As of Aug. 1, Publix’s stock price was $44.10 per share, down from $44.75 in the first quarter. The employee-owned company’s stock isn’t publicly traded and is sold only to Publix associates and board members.

“I’m pleased that our Publix associates delivered good operating results,” Publix CEO Todd Jones said in a statement. “We continue to provide premier service to help offset the challenges in the stock market.”

Related:Publix taps Tampa for GreenWise Market

For the fiscal 2019 first half, Publix’s sales totaled $19.02 billion, up 5.5% from $18.03 billion in the prior-year period. Comparable-store sales grew 3.3% year over year.

Net income for the six months came in at $1.64 billion, or $2.29 per share, compared with nearly $1.3 billion, or $1.77 per share, in the 2018 first half. Backing out the impact of net unrealized gains in both periods, net earnings would have been $1.38 billion, or $1.92 per share, for the 2019 first half versus $1.28 billion, or $1.74 per share, in the year-ago period. Publix added that the adoption of a new accounting standard of operating leases in the 2019 first quarter resulted in the recognition of $2.9 billion of operating lease rights and obligations as assets and liabilities on the balance sheet.

During the first half, Publix opened 13 supermarkets (including four replacement locations), remodeled 78 stores and closed three stores. One of the supermarkets opened in the period replaced a closed location, and the other two closed stores will be replaced on-site later on, Publix reported.

Currently, Lakeland, Fla.-based Publix operates 1,222 stores in Florida, Georgia, Alabama, Tennessee, South Carolina, North Carolina and Virginia. First-half openings included a 28,000-square-foot GreenWise Market on June 27 in Mountain Brook, Ala. So far, three of 11 announced locations for the specialty format have opened. The other two GreenWise outlets are in Tallahassee, Fla., and Mount Pleasant, S.C.

Related:Publix promotes seafood transparency

About the Author

Russell Redman

Senior Editor
Supermarket News

Russell Redman has served as senior editor at Supermarket News since April 2018, his second tour with the publication. In his current role, he handles daily news coverage for the SN website and contributes news and features for the print magazine, as well as participates in special projects, podcasts and webinars and attends industry events. Russ joined SN from Racher Press Inc.’s Chain Drug Review and Mass Market Retailers magazines, where he served as desk/online editor for more than nine years, covering the food/drug/mass retail sector. 

Russell Redman’s more than 30 years of experience in journalism span a range of editorial manager, editor, reporter/writer and digital roles at a variety of publications and websites covering a breadth of industries, including retailing, pharmacy/health care, IT, digital home, financial technology, financial services, real estate/commercial property, pro audio/video and film. He started his career in 1989 as a local news reporter and editor, covering community news and politics in Long Island, N.Y. His background also includes an earlier stint at Supermarket News as center store editor and then financial editor in the mid-1990s. Russ holds a B.A. in journalism (minor in political science) from Hofstra University, where he also earned a certificate in digital/social media marketing in November 2016.

Russell Redman’s experience:

Supermarket News - Informa
Senior Editor 
April 2018 - present

Chain Drug Review/Mass Market Retailers - Racher Press
Desk/Online Editor 
Sept. 2008 - March 2018

CRN magazine - CMP Media
Managing Editor
May 2000 - June 2007

Bank Systems & Technology - Miller Freeman
Executive Editor/Managing Editor
Dec. 1996 - May 2000

Supermarket News - Fairchild Publications
Financial Editor/Associate Editor
April 1995 - Dec. 1996 

Shopping Centers Today Magazine - ICSC 
Desk Editor/Assistant Editor
Dec. 1992 - April 1995

Testa Communications
Assistant Editor/Contributing Editor (Music & Sound Retailer, Post, Producer, Sound & Communications and DJ Times magazines)
Jan. 1991 - Dec. 1992 

American Banker/Bond Buyer
Copy Editor
Oct. 1990 - Jan. 1991 

This Week newspaper - Chanry Communications
Reporter/Editor
May 1989 - July 1990

Stay up-to-date on the latest food retail news and trends
Subscribe to free eNewsletters from Supermarket News

You May Also Like