By Maria Armental
Fairway Group Holdings Inc.'s (FWM) fiscal first-quarter loss
narrowed on higher sales and lower costs, despite weaker same-store
sales.
The niche supermarket chain, which traces its roots to a produce
stand founded in 1933 on New York's Upper West Side, said last
quarter it was working with Google Express to launch an online
shopping platform that would offer same-day delivery in
Manhattan.
For the fiscal period that ended June 30, Fairway reported a net
loss of $9.7 million, or 22 cents a share, compared to $27.9
million, or $2.11 cents a share, a year earlier.
Sales rose 6.2% to $198.3 million, largely driven by two stores
that opened after June 30 last year.
Analysts polled by Thomson Reuters recently expected revenue of
$196.9 million.
Same-store sales, a key metric for retailers that winnows out
stores that closed or opened during the year, fell 1.7%.
Gross margin narrowed to 31% from 32.9%.
Store-opening costs dropped 44%.
Through Thursday's closing, the company's stock was down nearly
69% for the year.
Fairway's shares went public at $13 a share in April 2013.
Write to Maria Armental at maria.armental@wsj.com
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