Roundy’s net income doubles in Q4; new stores on the horizon

MILWAUKEE — Roundy’s reported net income of $7.5 million in the fourth quarter of fiscal 2014, more than double $3.5 million in the same quarter the prior fiscal year. A shift from net after-tax loss to net after-tax income from 27 Rainbow stores that were closed or sold drove net income growth.

Roundy’s plans to open five new stores in fiscal 2015, including one in the first quarter.

Net sales were $1.07 billion, an increase of 26% from $853 million for fourth quarter 2013. The increase primarily reflects the benefit of new and acquired stores in Illinois and the impact of an additional week in 2014, partially offset by a 2.3% decrease in same-store sales.

“While the current operating environment still presents challenges near-term, we remain confident in our ability to implement our strategic operational initiatives designed to optimize our long-term performance,” said Robert A. Mariano, president and CEO Roundy’s.

For the full fiscal year, Roundy’s reported a net loss of $252.9 million, compared to net income of $25.8 million the previous fiscal year. Net sales were $3.85 billion, a 15% increase from $3.35 billion. Same-store sales fell 2.9%.