Empire is committed to maximizing sustainable long-term shareholder value by supporting Sobeys’ purpose – We are a family nurturing families – to nurture our customers and the communities we serve, while also strengthening our related real estate investments.
Empire’s key businesses and financial results are segmented into two reportable segments: (i) Food retailing; and (ii) Investments and other operations.
In fiscal 2020, the Company successfully completed its three-year transformation, named Project Sunrise. The project was intended to simplify organizational structures and reduce costs through: organizational design, strategic sourcing cost reductions, improvements in store operations, category rests and operational improvements. The Company achieved a cumulative benefit of more than $550 million.
In the first quarter of fiscal 2021, the Company launched Project Horizon, a three-year strategy focused on core business expansion and the acceleration of e-commerce. The Company remains on track to achieve an incremental $500 million in annualized EBITDA and an improvement in EBITDA margin of 100 basis points by fiscal 2023 by growing market share and building on cost and margin discipline. The Company is on track to generate a compound average growth rate in earnings per share of 15% over Project Horizon’s three-year timeframe.
While Project Horizon is on track to achieve its targets by the end of fiscal 2023, the benefits will not stop then. Certain initiatives launching in fiscal 2023 that are largely focused on store optimization and customer experience will primarily benefit fiscal 2024 and beyond. These benefits will be incremental to those realized from the ongoing program of store renovations, conversions and new builds.
Empire’s Food retailing segment is carried out through Sobeys, a wholly-owned subsidiary. Sobeys Inc. will continue to go to market primarily through distinct food store formats enabling Sobeys to better tailor its offering to the various customer segments it serves. Sobeys’ goal is to satisfy its shoppers’ requirements for food and related merchandise, while thrilling customers, resulting in higher sales and profit per square foot. Sobeys remains focused on improving the product, service and merchandising offering within each format by expanding and renovating its current store base. In addition to its focus on the store network, the Company continues to expand its grocery e-commerce platform to Canadians through its Voilà online grocery home delivery and curbside pickup services.
Our core values are the foundation of who we are: Customer-Driven, People-Powered, Community-Engaged and Results-Oriented. These values drive our commitment to People — the customers we serve, the teammates who power our business, the communities we live in and the investors who place their trust in us. They drive our commitment to protect the Planet and reduce our impacts. And they drive our pursuit of sustainable and ethical Products that nourish all of us.
Always place the customer first
Our people make the difference
Proudly serve our communities
Get it done with passion and integrity