One of Canada’s largest grocery chains is under fire again, this time for apparently laughing all the way to the bank.
Loblaw Companies Limited is reporting a profit of $508 million for its second quarter that ended on June 17. This marks an increase of $121 million or 31.3 per cent compared to last year.
READ MORE: Galen Weston Jr. to step down as Loblaw president next year
“Loblaw delivered another quarter of strong operational and financial results as it continued to execute on retail excellence. The quarter was characterized by increased sales, a focus on value, and lower gross margins,” the company said in a statement issued on Wednesday.
However, many people are unimpressed with the grocery chain profiting so heavily, while many Canadians struggle to put food on the table.
“Tell me why Loblaws is the most hated corporation in Canada? Their greed is insatiable,” one Twitter user said.
“But tell me again how it’s all inflation. Canada has an oligopoly problem, across multiple industries,” another user said.
Finance and Treasury Board Critic for Ontario’s New Democratic Party and MPP for Waterloo Ontario, Catherine Fife, also took a jab at Loblaw.
“Greedy Gouging. Did you know that 1 in 4 food bank clients are children in Ontario? And a record number of Seniors,” she tweeted on Wednesday. “People have every right to feel frustrated. Especially if they have been paying attention.”
Loblaw is no stranger to making headlines and has been called out by Canadians and politicians alike for price gouging.
Earlier this year, multiple heads of grocery chains testified in Parliament and said they are not price-gouging and have not profited from inflation.
And that tune has not budged.
“Our businesses remain focused on providing Canadians with the selection, freshness, care and value they need today,” Chairman and President of Loblaw Companies Limited Galen G. Weston stated in the press release.
“We will build on this strength and continue to take meaningful steps to fight back against inflation. Our discount offering, best-in-class control brand products and PC OptimumTM Program are resonating with customers who are looking for value without sacrificing quality.”
