SpartanNash Company (SPTN) Q1 2025 Earnings Call May 29, 2025 08:30 AM ET Company Participants Kayleigh Campbell - Head - Investor RelationsTony Sarsam - President and CEOJason Monaco - EVP & CFOBenjamin Wood - VP - Equity ResearchPeter Saleh - MD - RestaurantsScott Mushkin - Founder, CEO, Managing Partner & Director of Research Conference Call Participants Chuck Cerankosky - Managing Director & Research AnalystAlexander Slagle - Stock AnalystAndrew Wolf - SVP & Senior Research Analyst Operator Thank you fo ...

Financial Data and Key Metrics Changes - The company reported a record adjusted EBITDA of nearly $77 million for Q1 2025, a 2.6% increase compared to Q1 2024's adjusted EBITDA of $74.9 million [6][21] - Consolidated net sales increased by 3.7% to over $2.9 billion compared to $2.8 billion in Q1 2024 [7][20] - Gross profit for the quarter rose to $481 million, representing 16.5% of net sales, up from 15.7% in the prior year [20] Business Line Data and Key Metrics Changes - Retail segment sales grew by 19.6% to $947.2 million, driven by recent acquisitions and a 1.6% increase in comparable store sales [23] - Wholesale segment net sales were nearly $2 billion, with military channel sales growing for 13 consecutive quarters, although there was softness in national accounts [9][22] - Retail adjusted EBITDA decreased to $15.1 million from $17.3 million in the prior year due to higher labor and occupancy costs [23] Market Data and Key Metrics Changes - The company experienced an 80 basis point headwind in comparable store sales due to temporary store closures from an ice storm [8][50] - Food at home inflation expectations were revised to 2% for the fiscal year, up from a previous expectation of 1% [28][72] Company Strategy and Development Direction - The company is focusing on a cost leadership program expected to deliver $50 million in annual benefits, with $20 million anticipated in the current year [11][19] - The strategic plan aims to unlock the potential of the retail business, with initiatives improving execution and enhancing the shopper experience [12][30] - Expansion plans include increasing capital deployment into store remodels, convenience store sector growth, and expanding the Hispanic food market footprint [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving 2025 targets despite challenging market conditions, reaffirming yearly guidance [16][25] - The company noted that inflationary pressures are stable, with a slight upward trend in food prices [72] - Management highlighted the importance of adapting to consumer trends, including a focus on health and value [80][82] Other Important Information - The company generated $25.8 million in cash from operating activities during the quarter, down from $36.5 million in Q1 2024 [24] - Liquidity at the end of the quarter was approximately $270 million, providing capacity for strategic growth plans [25] Q&A Session Summary Question: Expansion of Hispanic store format - The company currently has four Super Mercado stores in Omaha and plans to open two to three more in the Midwest this year [33][34] Question: Performance of newly acquired stores - Newly acquired Hispanic stores have shown strong performance, leading in both top and bottom line metrics [38] Question: Cost leadership program details - The cost leadership program is expected to deliver $20 million in benefits this year, with most impacts seen in the second half [45][46] Question: Retail profitability pressures in Q1 - The ice storm and pharmacy-related pressures significantly impacted profitability, with losses estimated between $1 million to $2 million due to spoilage [52][54] Question: Competitive environment differences - The company noted similar promotional activities in both wholesale and retail segments, with a strong military business performance [58][61] Question: Food at home inflation expectations - The increase to a 2% inflation expectation reflects a gradual upward trend in the marketplace [72][73] Question: Impact of food stamp changes - The impact from changes in food stamps was slightly negative in Q1, but not significantly amplified due to a low proportion of shoppers using SNAP [85] Question: M&A activity outlook - The company remains open to acquisition opportunities, actively seeking both smaller tuck-in acquisitions and larger opportunities [87]

Spartan Stores (SPTN) came out with quarterly earnings of $0.35 per share, missing the Zacks Consensus Estimate of $0.46 per share. This compares to earnings of $0.53 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -23.91%. A quarter ago, it was expected that this grocery store operator and grocery distributor would post earnings of $0.29 per share when it actually produced earnings of $0.42, delivering a surprise of 44.83%.Ov ...

First Quarter 2025 Supplemental Financial Information May 29, 2025 1 General Disclaimer Forward-Looking Statements The matters discussed in this presentation, in the Company's press releases, and in the Company's website-accessible conference calls with analysts include "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended ("Exchange Act"), about the plans, strategies, objectives, goals or ...

FOR IMMEDIATE RELEASE SpartanNash Announces First Quarter Fiscal 2025 Results Sales Growth of 3.7%, Included a 1.6% Increase in Retail Comparable Store Sales Reaffirms Fiscal 2025 Guidance GRAND RAPIDS, Mich. – May 29, 2025 – Food solutions company SpartanNash® (the "Company") (Nasdaq: SPTN) today reported financial results for its 16-week first quarter ended April 19, 2025. "We continue to execute on our strategic initiatives and deliver on our commitments. SpartanNash hit the ground running in 2025, posti ...

Sales Growth of 3.7%, Included a 1.6% Increase in Retail Comparable Store SalesReaffirms Fiscal 2025 GuidanceGRAND RAPIDS, Mich., May 29, 2025 /PRNewswire/ -- Food solutions company SpartanNash® (the "Company") (Nasdaq: SPTN) today reported financial results for its 16-week first quarter ended April 19, 2025."We continue to execute on our strategic initiatives and deliver on our commitments. SpartanNash hit the ground running in 2025, posting another quarter of growth and achieving record adjusted EBITDA in ...

In newly created role, Plumb will define brand architecture and differentiated shopper experience for Family Fare, D&W Fresh Market, Martin's Super Markets and other Company bannersGRAND RAPIDS, Mich., May 19, 2025 /PRNewswire/ -- Food solutions company SpartanNash® (the "Company") (Nasdaq: SPTN) today announced Matt Plumb has been named Vice President, Marketing, Retail Banners, effective immediately. In the newly created role for the food solutions company, Plumb will lead shopper-focused marketing strate ...

Family Fare, D&W Fresh Market and Martin's Super Markets are ready for brat summer 2.0 with new in-store destination devoted to all things bratwurstGRAND RAPIDS, Mich., May 15, 2025 /PRNewswire/ -- Food solutions company SpartanNash® (the "Company") (Nasdaq: SPTN) is heating up summer grilling season with the launch of its new Brat Shop at all Family Fare®, D&W® Fresh Market and Martin's Super Market stores. The limited-time, in-store destination offers a taste of summer in a bun – featuring classic flavs a ...

Kayleigh Campbell Head of Investor Relations [email protected] MEDIA CONTACT: GRAND RAPIDS, Mich., May 15, 2025 /PRNewswire/ -- Food solutions company SpartanNash® (the "Company") (Nasdaq: SPTN) will announce its financial results before the stock market opens on Thursday, May 29, 2025, for the 16-week first quarter ended April 19, 2025. The Company will host a conference call to discuss its quarterly results with additional comments and details on Thursday, May 29, 2025, at 8:30 a.m. ET. There will also be ...

Third annual scholarship program launches today and will award $5,000 scholarships to 15 students making a difference in their communitiesGRAND RAPIDS, Mich., May 1, 2025 /PRNewswire/ -- Food solutions company SpartanNash® (the "Company") (Nasdaq: SPTN) today announced the launch of its third annual Our Family® Scholarship program. This year, 15 students who are making a positive impact in their communities will each receive a $5,000 scholarship to support their educational journeys. Open to shoppers an ...