Strength across its retail business and ongoing price increases led Loblaw to report another quarter of revenue growth in Q4.

Total retail revenues rose 9.7% year-over-year in the three months ended Dec. 31, with 8.8% growth in food retail and 11.6% growth in drug store.

In grocery, same-store sales grew by 8.4%, with store traffic up but basket size slightly lower than the previous year. In Shoppers Drug Mart, same-store sales grew 8.7%, with 5.4% growth in pharmacy and 11.5% growth in front of store.

The company’s adjusted retail EBITDA margin was 10.4% in Q4 (up from 10% the year prior), with adjusted gross retail margin of 30.6% (down slightly from 30.9% the year prior).

Loblaw said in its management discussion that retail sales growth over the last year has been due to higher inflation, as well as continued strength in cosmetics and OTC sales.

For the full year, Loblaw’s capital investments increased by 32.8%. The company said that its three main priority areas for investment into future growth are improving the customer experience in online retail; continuing to expand the Loblaw Media retail media offering and the advertising opportunities available there; and the PC Optimum loyalty program, which the company says is a key brand differentiator – and increasing engaged strengthens the “loyalty loop” and increases share of customer wallet.

The company’s financial result will likely not help growing consumer sentiment that Loblaw and Canada’s other major grocery companies are unfairly benefiting from raising food prices and contributing to higher costs of living. Last week, a House of Commons committee investigating increases in food prices voted to summon Loblaw’s Galen Weston to testify, along with Metro’s Éric R. La Flèche and Empire’s Michael Medline.