Loblaw Cos. Ltd. L-T +2.41%increase is increasing the number of new stores it plans to open this year.
The company behind Loblaws and Shoppers Drug Mart said Tuesday it now expects to open about 75 new locations this year, up from earlier plans for about 70.
Loblaw chief executive Per Bank says Canadians are being thoughtful about every dollar they spend.
“We see that in how they shop our stores, the brands they choose, and how they use our loyalty and e-commerce solutions,” Bank said in a statement.
“We have a significant investment program underway, and we’re putting that capital behind the parts of our business that meets the needs of Canadians. That includes accelerating our network expansion efforts to reach more customers, faster.”
Loblaw has opened 38 new grocery stores and pharmacies in Canada, including 21 grocery stores and 17 Shoppers Drug Mart locations, so far this year.
The new stores are part of $2.4-billion in planned capital spending for 2026, the second year of the company’s five-year plan to invest $10-billion in Canada by 2030.
Loblaw said it has spent about half of the total for 2026 so far, with plans for the remaining money to include accelerating the opening of new stores, renovating existing locations and continuing to develop new store formats and concepts.
Bank said the company has been happy with how its new stores are performing.
“As they mature, we’re seeing strong double-digit same- store sales growth. That gives us confidence in our expansion strategy and in continuing to invest behind the formats customers are choosing,” he said.
Loblaw’s grocery expansion has been focused on its No Frills and Maxi banners.
Grocers have been expanding their discount footprint across Canada since 2023 as shoppers have been grappling with food inflation coming out of the pandemic.
Meanwhile, pharmacy and health-care services have been projected to grow significantly, partly led by sales of generic weight-loss drugs.
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