Roundy’s swings to loss in Q3 on impairment, expenses

Milwaukee –- Roundy’s Inc. swung to a net loss of $249.9 million in the third quarter of fiscal 2014 from net income of $3.2 million the same quarter a year earlier. A variety of impairment charges, including charges related to closing a distribution center, taxes and disposal of obsolete assets, drove Roundy’s into the red, along with higher operating and administrative expenses.



Net sales were $973.8 million, an increase of 16% from $836.6 million. The increase primarily reflects the benefit of new and acquired stores, partially offset by a decrease in same-store sales of 2.7%.



Roundy’s plans to open two stores in the fourth quarter of fiscal 2014, including one new store and one acquired store. The company expects negative same-store sales growth in the fourth quarter and full fiscal year 2014, and varying net income performance that could range from a profit to a loss in the fourth quarter and a net loss for the full year.