NEW YORK, NY - Fairway Markets has announced its Q1 2016 financial results, and with sales falling by $4.5 million from Q1 2015, CEO Jack Murphy took to a conference call with investors to respond to some analyst’s hesitancies.
“If you focus on short-term results and you focus just on the short-term of this quarter, you obviously will have some questions which we will be happy to answer,” said Murphy in a call to investors. “But I am seeking and asking people to take a look now at the long-term opportunity of Fairway. We’ve talked a lot about the iconic brand that demonstrated the ability for us to run successful profitable stores in a very difficult, competitive market.”
In the company’s financial report, Fairway made it a point to highlight both its $2.8 million investments in advertising and promotional campaigns, as well as its future growth strategies.
“The Fairway team is also engaged in development and design activities for new Fairway locations, and we expect many of these elements will be reflected in our new store in the Mill Basin area of Brooklyn, which is scheduled to open in mid-2016,” Murphy said in the report. “The new store format improved gross margin and labor performance and the strategic actions to build our customer base are all important efforts in our long-term improvement plan for Fairway.”
For the future of Fairway, Murphy said the company is focusing on both monitoring and measuring to identify strategies to increase revenue.
“We’re not saying that we have all of the answers we’re not saying that we’re omniscient,” Murphy continued on the call. “What we are basically saying is that we are going to now start on some strategic initiatives that are going to help to build the top line.”
Other highlights from Fairway’s Q1 2016 Financial report include:
- Net sales of $193.8 million compared to $198.3 million in Q1 2015.
- Adjusted EBITDA of $9.1 million compared to $11.1 million in Q1 2015.
- Gross margin of 31.5%, up from 31.0% in 2015.
Stay tuned as we continue to report on financial news all across the industry.
