Log in
Forgot password ?
Become a member for free
Sign up
Sign up
Dynamic quotes 

4-Traders Homepage  >  Equities  >  Nyse  >  SUPERVALU INC.    SVU

News SummaryMost relevantAll newsSector newsTweets 
The feature you requested does not exist. However, we suggest the following feature:

SUPERVALU INC. : Post Earnings Coverage as SUPERVALU's Sales and Earnings Declined Y-o-Y

share with twitter share with LinkedIn share with facebook
share via e-mail
01/13/2017 | 02:16pm CET

Upcoming AWS Coverage on Whole Foods Market

LONDON, UK / ACCESSWIRE / January 13, 2017 / Active Wall St. announces its post-earnings coverage on SUPERVALU Inc. (NYSE: SVU). The Company disclosed its third quarter fiscal 2017 results on January 11, 2017. The grocery store operator's top- and bottom-line numbers lagged behind market estimates. Register with us now for your free membership at: http://www.activewallst.com/register/.

One of SUPERVALU's competitors within the Grocery Stores space, Whole Foods Market, Inc. (NASDAQ: WFM), is estimated to report earnings on February 08, 2017. AWS will be initiating a research report on Whole Foods Market following the release of the Company's earnings results.

Today, AWS is promoting its earnings coverage on SVU; touching on WFM. Get our free coverage by signing up to:



Earnings Reviewed

For the three months ended November 30, 2016, SUPERVALU reported net sales of $3.00 billion compared to $3.05 billion in the same period a year ago, representing a decrease of $42 million or 1.4%. Fees earned under transition services agreements (TSA) in Q3 FY17 were $37 million compared to $46 million on Q3 FY16.

For Q3 FY17, SUPERVALU recorded gross profit of $407 million, or 13.6% of net sales, compared to gross profit of $436 million, or 14.3% of net sales, in Q3 FY16. The Company stated that the gross profit rate decrease compared to last year was primarily due to lower TSA fees and higher employee costs. Pro-forma adjusted EBITDA from continuing operations for the reported quarter was $114 million compared to $132 million in the year earlier comparable quarter.

For Q3 FY17, SUPERVALU reported a net loss from continuing operations of $11 million, or $0.04 per diluted share, which included $25 million of after-tax non-cash charges comprised of a pension settlement charge, a goodwill impairment charge, and store closure charges and costs, which was partially offset by a deferred income tax benefit. When adjusted for these items, the ompany's Q3 FY17 net earnings from continuing operations were $14 million, or $0.05 per diluted share. SUPERVALU's net earnings from continuing operations for Q3 FY16 were $16 million, or $0.05 per diluted share, which included $6 million in after-tax costs related to asset impairment charges, employee severance, and store closure charges and costs. When adjusted for these items, the year earlier quarter net earnings from continuing operations were $22 million, or $0.08 per diluted share. The Company's adjusted earnings result fell short of Wall Street's expectations of $0.13 per share on revenue of $3.79 billion.

Segment Results

Wholesale: During Q3 FY17, SUPERVALU's Wholesale net sales totaled $1.91 billion compared to $1.90 billion last year, an increase of 0.2%. Wholesale net sales benefitted from sales to new customers and increased sales to new stores operated by existing customers, which was partially offset by stores from the prior year no longer supplied by the Company. Wholesale operating earnings in the reported quarter were $52 million, or 2.7% of net sales, compared to Wholesale operating earnings in the year earlier quarter of $54 million, or 2.8% of net sales.

Retail: During the reported quarter, SUPERVALU's Retail segment generated net sales of $1.06 billion compared to $1.10 billion in Q3 FY16, a decrease of 3.4%, the decline in net sales was attributed to identical store sales of negative 5.7% and closed stores, which was partially offset by sales from acquired and new stores. The Company's retail operating loss in Q3 FY17 was $14 million, or negative 1.3% of net sales, compared to Q3 FY16 retail operating earnings of $21 million, or 2.0% of net sales.

Corporate: Q3 FY17, fees earned under the TSAs were $37 million compared to $46 million in Q3 FY16. Corporate segment's operating loss in Q3 FY17 was $37 million and included a $41 million pension settlement charge. When adjusted for this item, net corporate operating earnings were $4 million. The Company's net corporate operating loss for Q3 FY16 was $9 million and included $2 million of employee severance costs. When adjusted for this item, Q3 FY16's net corporate operating loss was $7 million.

Balance Sheet

SUPERVALU's year-to-date net cash flows provided by operating activities of continuing operations were $147 million for FY17 compared to $154 million for last year. At the end of Q3 FY17, the Company's outstanding debt, including capital lease obligations, totaled $2.55 billion, a net increase of approximately $160 million in the reported quarter. SUPERVALU ended Q3 FY17 with approximately $260 million of ABL borrowing, leaving $675 million of available capacity under this facility.

Two days after the quarter ended, SUPERVALU closed on the sale of Save-A-Lot, which generated approximately $1.3 billion of cash proceeds, after customary closing adjustments. In addition to transaction fees and expenses, the Company utilized the proceeds towards paying down its term loan by $750 million as required, and paid off the $260 million ABL balance. SUPERVALU stated that it then made a second payment against its term loan for approximately $82 million, as was required within 10 days of closing on the sale of Save-A-Lot, which brought the Company's net secured leverage ratio down to the required 1.5 times. As a result of the Save-A-Lot sale, SUPERVALU has reduced outstanding debt by approximately $1.1 billion. The remaining proceeds of approximately $180 million are being held as cash on the balance sheet.

Stock Performance

At the close of trading session on January 12, 2017, SUPERVALU's stock price fell 4.51% to end the day at $4.23. A total volume of 11.26 million shares were exchanged during the session, which was above the 3-month average volume of 3.67 million shares. The stock currently has a market cap of $1.14 billion. Shares of the company have a PE ratio of 7.26.

Active Wall Street:

Active Wall Street (AWS) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and micro-cap stocks. AWS has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

AWS has not been compensated; directly or indirectly; for producing or publishing this document.


The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst, for further information on analyst credentials, please email info@activewallst.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by AWS. AWS is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.


AWS, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. AWS, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, AWS, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.


This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither AWS nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://www.activewallst.com/disclaimer/.


For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: info@activewallst.com

Phone number: 1-858-257-3144

Office Address: 3rd floor, 207 Regent Street, London, W1B 3HH, United Kingdom

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Active Wall Street

© Accesswire 2017
share with twitter share with LinkedIn share with facebook
share via e-mail
Latest news on SUPERVALU INC.
01/13 SUPERVALU INC. : Post Earnings Coverage as SUPERVALU's Sales and Earnings Declin..
01/12 SUPERVALU : Pressure on Cub Foods, other grocery operations, send Supervalu into..
01/11 Merck and United jump while Signet and SuperValu fall
01/11 SUPERVALU : sees uptick in wholesale sales; retail sales down
01/11 SUPERVALU : SVU) Tumbles Before Earniings
01/11 SUPERVALU INC. (NYSE : SVU) Files An 8-K Results of Operations and Financial Con..
01/11 SUPERVALU INC : Results of Operations and Financial Condition (form 8-K)
01/11 SUPERVALU : reports 3Q loss
01/11 SUPERVALU : Reports Third Quarter Fiscal 2017 Results
More news
Sector news : Food Retail & Distribution - NEC
01/17 Bayer, Monsanto confirm spending plans after meeting Trump
01/17 General Motors says to invest additional $1 billion in U.S.
01/17DJWAL MART STORES : Mart Touts Plan to Create U.S. Jobs, in Nod to Trump--Update
01/17DJWAL MART STORES : Mart to Create 10,000 U.S. Jobs in Nod to Trump
01/17DJCASINO GUICHARD : Says Profit Surpassed Target for 2016 After Strong 4Q
More sector news : Food Retail & Distribution - NEC
News from SeekingAlpha
01/17 Grocery store sector lifted by pricing read
01/15 The Dirt Cheap Value Portfolio - 'Let's Put On Our Activist Hats'
01/11 SUPERVALU's (SVU) CEO Mark Gross on Q3 2017 Results - Earnings Call Transcrip..
01/11 Margins disappoint at Supervalu
01/11 More on Supervalu's FQ3
Financials ($)
Sales 2017 15 435 M
EBIT 2017 339 M
Net income 2017 67,3 M
Debt 2017 1 401 M
Yield 2017 -
P/E ratio 2017 12,29
P/E ratio 2018 10,18
EV / Sales 2017 0,16x
EV / Sales 2018 0,19x
Capitalization 1 135 M
More Financials
Duration : Period :
SUPERVALU INC. Technical Analysis Chart | SVU | US8685361037 | 4-Traders
Full-screen chart
Technical analysis trends SUPERVALU INC.
Short TermMid-TermLong Term
Technical analysis
Income Statement Evolution
More Financials
Mean consensus HOLD
Number of Analysts 11
Average target price 5,04 $
Spread / Average Target 19%
Consensus details
EPS Revisions
More Estimates Revisions
Mark Gross President, Chief Executive Officer & Director
Gerald L. Storch Non-Executive Chairman
Bruce H. Besanko EVP, Chief Operating & Financial Officer
Randy G. Burdick Chief Information Officer & Executive VP
Irwin S. Cohen Independent Director
More about the company
Sector and Competitors
1st jan.Capitalization (M$)
SUPERVALU INC.-9.21%1 135
SEVEN & I HOLDINGS CO...4.58%37 117
KROGER CO-1.19%31 990
AHOLD DELHAIZE-2.05%26 782
More Results