Ingles Markets Inc., owner of 200 grocery stores across the Southeast, announced first quarter earnings on Thursday that were 6.2 percent stronger than earnings this time last year.

The Asheville-based company’s earnings reached $13.8 million.

The company expects to spend between $100 million and $140 million in capital expenditures during 2017. The boost comes after a 27.8 percent expenditure decline in 2016 to $29.3 million from $40.6 million due to building two new stores in 2016 that sites were purchased for in 2015.

Chairman Robert Ingle said in a release the company’s moves toward store growth are plans “that we believe our customers will appreciate.”

In preparation for increased spending, Ingles grew its cash and equivalents 166.9 percent to $15.2 million in the first quarter from $5.7 million after the three months ended September 2016. The company is funding that largely with increased long term debt, rising $23.6 million, or 2.7 percent in the first quarter.

Sales increased 3.3 percent from the prior year, reaching $982.8 million and beating analyst expectations of 2 percent growth.

Excluding sales from the company’s gasoline stations, comparable-store sales increased 1.8 percent along with a 2.2 percent rise in number of customer transactions.

Ingles operates stores in six Southeastern states and approximates to own the land of about two-thirds of those stores, according to the company website. Along with grocery products gas stations, some stores include pharmacy, cafe and car wash services.

The company’s shares rose $1.95, or 4.3 percent, to $47.45 in Thursday trading.

The company’s first quarter earnings report can found here.