Official reports have confirmed that the largest supermarket operator in Canada, Loblaw Cos. Ltd., has managed to record a 25.7% jump in earnings. Profits rose to $137 Million, or 50 cents per share, in the three months up-to March 28.

Sales managed to grow by 3.1% to $6.926 Billion, mainly on the back of the takeover of the Asian-Canadian supermarket chain T&T Supermarkets Inc.

Sales at outlets which had been open and operational for over a year, considered the most important measure of retail performance, managed to grow by a mere 0.3%, as has been shared by the operator of Loblaws, Real Canadian Superstore, No Frills and Zehrs.

"The company remains on track with its renewal program. Our major investment in information technology and supply chain will now start to ramp up. As previously announced, we expect these investments to negatively impact 2010 operating income", said Executive Chairman of Loblaw Galen Weston.

Sales growth contribution of T&T was 2%.

T&T was purchased by Loblaw in 2009's third quarter.