Albertson's Inc. reports a 14 percent increase in fourth-quarter profits that prompted an increase in the quarterly dividend.
The food and drug chain cited its cost-control program in reporting fourth-quarter earnings of $144.5 million, or 57 cents a share, and announcing an 18 percent increase in the quarterly dividend.The Boise-based company also said it will repurchase 5 million shares of the 250 million shares of its stock that are outstanding.
The earnings report compared to earnings of $127 million, or 50 cents a share, a year earlier.
Sales increased slightly to $3.07 billion from $3.06 billion.
For the entire year, corporate profits rose 18 percent to $400.4 million, or $1.58 a share. That compared to $339.7 million, or $1.34 a share, a year earlier.
Earnings were reduced by 7 cents a share due because of expenses associated with a change in its method of accounting.
Sales increased 5.4 percent to $11.89 billion from $11.28 billion a year earlier.
Albertson's new dividend of 13 cents a share will be paid May 25 to stockholders on the company's books as of the close of business May 5. That is up from a quarterly payout of 11 cents a share.
Albertson's has 720 stores in 19 Western, Midwestern and Southern states.