Grocery industry profit margins fall to pre-pandemic levels

By Catherine Douglas Moran
Source: Grocery Dive

After spiking during the pandemic, profit margins and same-store sales growth have fallen back to pre-pandemic levels for the grocery industry, FMI — The Food Industry Association said in a report released last week.
Only 38% of surveyed food retailers said they expect their same-store sales to grow in 2024 while just 13% predict net profits will increase, according to the trade group’s The Food Retailing Industry Speaks 2024 report.
Food retailers are focusing on improving cost controls and cutting unnecessary expenses that do not drive value, FMI found.