Safeway has announced a net income of US$25.1m for the first quarter of 2011, taking into account a US$80.2m tax charge.
Excluding the charge, net income was up to US$105.3m from US$96m in 2010.
Total sales rose 4.8 per cent to US$9.8bn in Q1 2011, compared to US$9.3bn a year earlier.
Steve Burd, the company's chairman, president and CEO, said: 'Our first-quarter results are in line with our expectations and we are pleased with our improving sales trends.
'Identical-store sales, excluding fuel, improved for the fifth consecutive quarter and are now positive.'