![]() "Worsening shrink rates are putting significant pressure on our financial results," Target chairman and CEO Brian Cornell said in May. retailer Target says inventory shrinkage – mostly the theft of merchandise – would dent profits by $500 million in 2023. Dollarama said in June that retail shrink has been increasing over the past few quarters. ![]() Many retailers have been grappling with rising theft in the wake of stubbornly high inflation. Story continues Loss-prevention strategies As we are working to find the right balance, we welcome our customers' input and as always, appreciate their understanding." "We've had to make some changes in how our stores operate to stop this crime – adding locked cabinets, time-delay safes and security gates – while at the same time maintaining a welcoming and convenient customer experience. "High-value fragrances in our Shoppers stores have been a target, as well as cosmetics, baby formula and even carts full of thousands of dollars of products pushed right out the front door," Thomas said. ![]() Loblaw spokesperson Catherine Thomas says in an emailed statement that the comments were not regarding shoplifting, but "organized retail crime." As we put that (in), it will definitely help (with) shrink." Those are high-priced items, which when they go, it hurts the bottom line. You're going to see more of those over the coming months. That's where professional thieves have been focused on, so we've locked up many of these fragrances. "If you go in-store, you will see what we refer to as fragrance lockups. That's an area we have spent a lot of effort (on)," Dufresne said on the call following the release of second-quarter results. If shrink had been excluded from gross margins calculations at the company's Shoppers Drug Mart business, Loblaw's chief financial officer Richard Dufresne told analysts on a conference call Wednesday that gross margins would have been up at the drug retail business in the quarter. Shrink is when a company loses inventory due to factors including theft, product damage, and fraud, among others. Loblaw ( L.TO) says it is locking up certain items at Shoppers Drug Mart stores that have been targeted by "professional thieves" as it invests more money and labour to deal with inventory losses.Ĭanada's largest grocery retailer says retail gross margins – the amount of profit made on goods measured as a percentage – declined slightly in the second quarter of the year due to higher supplier costs and higher shrink. ![]() The BoC discussed the idea that the impact of monetary policy could have been delayed by the unusual circumstances of the pandemic and the recovery, but ultimately decided rates needed to be more restrictive to cool growth and lower inflation.Loblaw says it is locking up certain items at Shoppers Drug Mart stores that have been targeted by “professional thieves” as it invests more money and labour to deal with inventory losses. The governing council agreed earlier this month that "the data clearly indicated that excess demand and elevated core inflation were proving to be more persistent than expected," the minutes said. However, money markets still see a chance for another rate hike this year. On Monday, a BoC survey of market participants showed a median of the participants expect the bank to hold interest rates at 5.00% until the end of 2023, before starting to cut rates in March. ![]() Many analysts are beginning to bet that the overnight rate will not go up any further. But they did not want to do more than they had to." The governing council members also agreed they were prepared to raise rates further "if inflation pressures did not ease as projected and progress toward the 2% target stalled. The consensus was that "the cost of delaying action was larger than the benefit of waiting," the BoC said. Governor Tiff Macklem said at the time that the Bank of Canada (BoC) would base future policy decisions - the next one is due Sept 6 - on incoming data and the outlook for inflation.Īccording to the summary of deliberations, or minutes, the six governing council members discussed "whether it was appropriate to raise the rate in July or wait for more evidence". It also lifted its 2023 growth forecast and pushed back by six months to mid-2025 its expectations for getting inflation to its 2% target. The bank announced a 25 basis point increase in rates to a 22-year-high of 5.0% on July 12. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |