Weis Markets Embarks on $109M Cap Ex Plan
Weis Markets has revealed plans to invest $109 million in capital expenditures during 2019. The plan encompasses new stores, remodels, supply chain improvements and continued information technology upgrades.
“As part of our company’s commitment to long-term growth, we will invest roughly $109 million in our store base and support areas,” noted Chairman and CEO Jonathan H. Weis at the company’s annual shareholder meeting in its hometown of Sunbury, Pa., on April 25. “This includes a new store in Bedminster, Pa., as well as 14 store remodels, six fuel centers, supply chain and information technology investments.”
Also during the meeting, Weis said that the company’s sales rose to a record $3.5 billion in 2018, with comparable-store sales having gone up 18 of the past 19 quarters. Weis Markets’ income from operations also grew by 9.4 percent year over year.
Weis attributed the grocer’s success to its store base and IT investments, adding that its sales and operating income had benefited from targeted holiday promotions through its loyalty marketing program, price optimization improvements and more efficient store-level inventory management.
The executive went on to update shareholders on the company’s ecommerce initiatives and the expansion of its Weis 2 Go Curbside Pick-Up Service.
“Our ecommerce investments helped generate a 33.2 percent increase in our online sales,” observed Weis. “Today, we offer online ordering with curbside pickup in 125 stores, while 174 of our stores offer home delivery via Shipt, a leading online delivery service. Online ordering is a growing segment of our business that we expect to grow exponentially in the coming years.”
Further, marking a decade since the company debuted its award-winning sustainability program, the CEO noted: “Over the past 10 years, our team has made considerable progress … far exceeding our initial expectations. In 2015, we met our 2020 goal of reducing our total carbon emissions by 20 percent compared to 2008, five years ahead of schedule; we look forward to building on our progress in the years ahead.”
At the 2018 shareholder meeting, the company shared that it was investing $101 million in new stores, remodels, supply chain improvements and continued IT upgrades.
Weis Markets operates 200 stores in Pennsylvania, Delaware, Maryland, New Jersey, New York, Virginia and West Virginia. The company is No. 27 on Progressive Grocer’s 2018 Super 50 list of the top grocers in the United States.