Market Overview

Grocery Outlet Shares Surge After Q2 Earnings

Share:

Grocery Outlet Holdings Corp (NASDAQ: GO) shares are soaring after reporting second-quarter earnings on Tuesday.

Net sales came in at $645.3 million, up from $575.1 million in the same quarter of last year. Earnings came in at 20 cents cents per share, which beat the analyst estimate by 7 cents.

"We are pleased with our second quarter financial performance which reflects consistent comparable sales growth, strong new store performance and gross margin expansion," said CEO Eric Lindberg. "Our comparable store sales growth was broad-based across product categories, regions, and store vintages. We attribute the consistency of our performance to our unique business model that provides customers unbeatable value in a fun, treasure hunt experience along with great customer service through our local independent operators.

"We remain focused on driving sales growth by delivering incredible savings on name-brand products and creating a WOW! experience for our customers. At the same time, we look to continue expanding our store base and reinvesting in our people, systems and infrastructure to support our long-term growth objectives."

Highlights

  • Net sales increased 12.2%
  • Comp store sales increased 5.8%
  • Adjusted EBITDA increased 15%
  • 8 new stores opened

Grocery Outlet shares traded higher by 13.7% at $42.75 in the after-hours session. The stock closed at $37.60.

 

Related Articles (GO)

View Comments and Join the Discussion!

Posted-In: Eric LindbergEarnings News After-Hours Center Movers

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com