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Critics accuse Loblaws of profiting from inflation as profits surge by 40%

The Star: 'Canada’s largest food retailer has just had a banner quarter and critics say it’s yet another example of a company profiting from inflation.


'Loblaw Companies Ltd. said Wednesday its first-quarter profit was up almost 40 per cent compared to the same period last year. Taking into account a tax ruling that went in its favour as well as other adjustments, its net earnings were up 17.1 per cent to $459 million...


'...The company’s drugstore sales were up 5.4 per cent to $3.4 billion overall.


'However, food sales revenue also increased, by 2.4 per cent to $8.7 billion, and adjusted gross profit for the retail division as a whole increased by 5.9 per cent to $3.7 billion.'

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