Financial Performance - Wholesale segment net sales decreased by $209.9 million, or 3.0%, to $6.71 billion in 2024, primarily due to lower case volumes in national accounts and independent retailers [140]. - Retail segment net sales increased by $30.0 million, or 1.1%, to $2.84 billion in 2024, despite a 1.7% decrease in comparable store sales due to lower consumer demand trends [141]. - The Company reported adjusted EBITDA of $258.5 million for the fiscal year, a slight increase from $257.4 million in the prior year [137]. - Gross profit increased by $26.9 million, or 1.8%, to $1.51 billion, with the gross profit margin improving from 15.3% to 15.8% [143]. - Operating earnings decreased by $52.8 million, or 49.4%, to $54.0 million, driven by changes in net sales, gross profit, and operating expenses [148]. - Adjusted earnings from continuing operations for 2024 were $69,286,000, with an adjusted EPS of $2.03, down from $76,012,000 and $2.18 in 2023, indicating a decline of 8.3% [167]. - Net earnings for 2024 were $299,000, a significant decrease from $52,237,000 in 2023, representing a decline of approximately 99.43% [173]. - Adjusted EBITDA for 2024 was $258,486,000, slightly up from $257,401,000 in 2023, indicating a growth of about 0.42% [173]. Expenses and Impairments - Selling, general and administrative expenses rose by $15.1 million, or 1.1%, to $1.38 billion, increasing as a percentage of net sales from 14.0% to 14.5% [144]. - The Company incurred $45.7 million in goodwill impairment charges within the Retail segment due to competitive pressures impacting cash flow trends [146]. - Interest expense increased by $4.9 million, or 12.4%, to $44.8 million, attributed to a higher average debt balance, with total debt rising to $753.8 million [151]. - The effective income tax rate for 2024 was 97.3%, significantly higher than 25.5% in 2023, primarily due to non-deductible goodwill impairment and state taxes [152]. - Restructuring and goodwill/asset impairment costs increased to $74,107,000 in 2024 from $9,190,000 in 2023, indicating a substantial rise of 706.5% [162]. - The company recorded non-cash goodwill impairment charges of $45.7 million related to the retail reporting unit in 2024 [185]. - Impairments of long-lived assets were $8.2 million in 2024, compared to $11.7 million in 2023 and $5.1 million in 2022 [188]. Cash Flow and Investments - Net cash provided by operating activities increased by $116.6 million in 2024 compared to 2023, totaling $205.9 million [196]. - Net cash used in investing activities rose by $130.5 million in 2024, primarily due to acquisitions in the Retail segment and increased capital expenditures, totaling $247.0 million [197]. - Capital expenditures for 2024 were $132.4 million, with 50% allocated to both Wholesale and Retail segments, compared to $120.3 million in the prior year [198]. Debt and Dividends - Long-term debt and finance lease liabilities increased by $156.3 million to $753.8 million as of December 28, 2024, driven by additional borrowings for acquisitions and capital expenditures [200]. - The Company's current ratio was 1.57:1 at December 28, 2024, down from 1.63:1 at December 30, 2023 [202]. - Net long-term debt increased to $732.2 million as of December 28, 2024, compared to $579.5 million at December 30, 2023 [204]. - The Company declared quarterly cash dividends of $0.2175 per share in 2024, up from $0.215 in 2023 [206]. Segment Performance - The company’s adjusted operating earnings for the wholesale segment in 2024 were $120,966,000, an increase of 6.4% from $113,384,000 in 2023 [162]. - The retail segment reported adjusted operating earnings of $17,875,000 in 2024, a decrease of 37.6% from $28,589,000 in 2023, indicating challenges in retail operations [162]. - Operating earnings in the wholesale segment increased to $97,423,000 in 2024 from $87,701,000 in 2023, reflecting a growth of approximately 19.6% [173]. - The retail segment reported an operating loss of $43,462,000 in 2024, compared to a profit of $19,011,000 in 2023, marking a decline of 328.8% [173]. - The company’s adjusted EBITDA for the retail segment was $71,280,000 in 2024, down from $79,510,000 in 2023, a decrease of approximately 2.5% [173]. Other Financial Metrics - The company incurred LIFO expenses of $5,167,000 in 2024, down from $16,104,000 in 2023, showing a significant reduction of 67.8% [162]. - Depreciation and amortization expenses increased to $103,412,000 in 2024 from $98,639,000 in 2023, representing a rise of about 4.8% [173]. - The company’s income tax expense decreased to $10,726,000 in 2024 from $17,888,000 in 2023, a reduction of approximately 40.0% [173]. - The company’s total other expenses, net, increased to $42,936,000 in 2024 from $36,587,000 in 2023, indicating an increase of about 17.4% [173]. - A hypothetical 0.50% increase in interest rates would increase annual interest expense by approximately $3.1 million [209]. - The estimated fair value of the Company's fixed rate long-term debt was less than book value by approximately $2.1 million as of December 28, 2024 [211].

Group 1 - SpartanNash Company (NASDAQ: SPTN) experienced a significant positive impact on its share price on February 12th, benefiting shareholders [1] - The company specializes in food distribution, focusing on supplying food to a network of supermarkets and fuel stations [1] Group 2 - Crude Value Insights provides an investment service and community centered on the oil and natural gas sector, emphasizing cash flow and the companies that generate it [1] - The service aims to identify value and growth prospects within the industry [1]

Financial Data and Key Metrics Changes - Full year net sales decreased by less than 2% to $9.55 billion, but Q4 sales increased by more than 70 basis points compared to the prior year quarter [12][28] - Adjusted EBITDA for the year reached a record $258 million, with Q4 adjusted EBITDA increasing by more than 9% compared to the prior year quarter [16][31] - The company generated $206 million in cash from operating activities, representing a 130% increase compared to fiscal 2023 [24] Business Line Data and Key Metrics Changes - Retail net sales increased over 100 basis points to more than $2.84 billion, with incremental sales from acquired stores offsetting softer demand in existing stores [13] - Wholesale net sales were over $6.7 billion, with a 2.1% decrease in Q4 compared to the prior year quarter due to reduced case volumes [14][33] - Retail adjusted EBITDA increased to $14.8 million compared to $13 million in the prior year's quarter, while wholesale adjusted EBITDA was $43.8 million, an increase of 7.7% [36][35] Market Data and Key Metrics Changes - The grocery industry is expected to grow at around 1.5% in 2025, with inflation returning to pre-pandemic conditions at around low single digits [10][9] - The military sales channel has grown for 12 consecutive quarters, indicating a strong performance in this unique segment [15] Company Strategy and Development Direction - The company is focusing on capturing market share through its wholesale and retail segments, leveraging their complementary nature [10][11] - Key growth initiatives include expanding remodel capital deployment, enhancing convenience store operations, and growing the ethnic store footprint [19][65] - The company is actively pursuing M&A opportunities to improve the retail segment and maximize shareholder value [22][81] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strategic plan, highlighting a return to growth and the successful execution of their Master Action Plan [48] - The company anticipates a challenging market environment in 2025 but expects to achieve net sales of $9.8 billion to $10 billion, with adjusted EBITDA projected between $263 million and $278 million [40][42] Other Important Information - The company took a goodwill impairment charge in the quarter, which was attributed to underperformance in the legacy retail business [18][29] - The leverage ratio of net long-term debt to adjusted EBITDA increased to 2.8x due to recent acquisitions [38] Q&A Session Summary Question: Can you provide details on sales, volumes, and inflation perspectives? - Management noted that foot traffic was roughly flat, with positive trends in Michigan and overall stability in customer demand [52][54] Question: How does the 2025 guidance look when excluding acquisitions? - The guidance implies flattish organic growth, with expectations of modest inflation around 1% [57][60] Question: What are the growth opportunities in the ethnic store footprint? - The company plans to double its ethnic store footprint and sees significant long-term growth potential in this segment [63][65] Question: What is the sentiment in the M&A market? - Management indicated a mix of operators looking to exit and those wanting to continue running their businesses, with ongoing engagement in M&A discussions [79][81]

Fourth Quarter and Fiscal 2024 Supplemental Financial Information February 12, 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, obje ...

Core Insights - Spartan Stores reported quarterly earnings of $0.42 per share, exceeding the Zacks Consensus Estimate of $0.29 per share, and showing an increase from $0.35 per share a year ago, resulting in an earnings surprise of 44.83% [1] - The company posted revenues of $2.26 billion for the quarter ended December 2024, slightly missing the Zacks Consensus Estimate by 0.09%, and showing a year-over-year increase from $2.25 billion [2] - The stock has gained approximately 2.8% since the beginning of the year, underperforming compared to the S&P 500's gain of 3.2% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.52 on revenues of $2.85 billion, and for the current fiscal year, the estimate is $2 on revenues of $9.82 billion [7] - The estimate revisions trend for Spartan Stores is mixed, leading to a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Food - Natural Foods Products industry, to which Spartan Stores belongs, is currently ranked in the top 37% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Another company in the same industry, Sprouts Farmers, is expected to report quarterly earnings of $0.71 per share, reflecting a year-over-year change of +44.9%, with revenues anticipated to be $1.95 billion, up 14.8% from the previous year [9][10]

Financial Performance - Net sales for Q4 2024 increased by 0.7% to $2.26 billion, with Retail segment sales up 7.7% to $697.1 million, while Wholesale segment sales decreased by 2.1% to $1.56 billion[5]. - The company reported a net loss of $1.04 per diluted share, a decrease from net earnings of $0.30 per diluted share in the previous year, impacted by a $45.7 million goodwill write-off[5]. - Adjusted EBITDA for Q4 2024 was $58.6 million, up from $53.6 million, driven by higher gross margin rates and contributions from recently acquired retail stores[5]. - Fiscal 2024 total net sales decreased by 1.9% to $9.55 billion, with Wholesale segment sales down 3.0% to $6.71 billion, while Retail segment sales increased by 1.1% to $2.84 billion[5]. - For the 12 weeks ended December 28, 2024, the company reported a net loss of $35,081,000 compared to net earnings of $10,305,000 for the same period in 2023[30]. - For the 52 weeks ended December 28, 2024, adjusted earnings from continuing operations were $69,286,000, or $2.03 per diluted share, compared to $76,012,000, or $2.18 per diluted share, for the previous year[35]. Cash Flow and Debt - Cash generated from operating activities increased by 130.5% to $205.9 million, primarily due to working capital improvements[5]. - The net long-term debt to adjusted EBITDA ratio increased to 2.8x from 2.4x, reflecting investments in inorganic growth during Q4[5]. - The company’s total debt as of December 28, 2024, was $753,807,000, with net long-term debt amounting to $732,237,000, resulting in a net long-term debt to adjusted EBITDA ratio of 2.8[38]. - Long-term debt and finance lease liabilities increased to $740,969, up from $588,667, representing a 25.9% increase[17]. Future Projections - For fiscal 2025, the company projects total net sales between $9.8 billion and $10.0 billion, with adjusted EBITDA expected to range from $263 million to $278 million[6]. - Adjusted EPS guidance for fiscal 2025 is projected between $1.60 and $1.85, reflecting an approximate $0.30 impact from increased non-cash expenses[6]. - Capital expenditures for fiscal 2025 are expected to be between $150 million and $165 million, incorporating investments from the company's strategic initiatives[6]. Segment Performance - Wholesale segment net sales for the 52 weeks ended December 28, 2024, were $6,709,305, a decrease of 3.0% from $6,919,217 in the prior year[21]. - Retail segment net sales increased to $2,840,019, up 1.1% from $2,810,002 year-over-year[21]. - Operating loss for the total segment was $27,700 compared to operating earnings of $23,542 in the prior year, indicating a significant decline[21]. - Operating earnings in the wholesale segment for the 12 weeks ended December 28, 2024, were $18,300,000, down from $21,681,000 in the same period last year[30]. - The retail segment reported an operating loss of $46,000,000 for the 12 weeks ended December 28, 2024, compared to operating earnings of $1,861,000 in the prior year[30]. Asset and Liability Management - Total assets increased to $2,602,296, up from $2,355,575, representing a growth of 10.5% year-over-year[17]. - Total liabilities rose to $1,858,806, an increase of 20.5% from $1,576,393 in the previous year[17]. - Cash and cash equivalents at the end of the period increased to $21,570 from $17,964, reflecting a 20.5% rise[19]. - The company’s cash and cash equivalents were $21,570,000 as of December 28, 2024, indicating a slight increase from $17,510,000 on October 5, 2024[38]. Capital Expenditures - Capital expenditures and IT capital for the 52 weeks ended December 28, 2024, totaled $144,444,000, an increase from $127,370,000 for the same period in 2023, representing a growth of approximately 13.4%[41]. - Purchases of property and equipment increased to $132,394,000 in 2024 from $120,330,000 in 2023, reflecting a rise of about 10.0%[41]. - Cloud computing spend rose significantly to $12,050,000 in 2024, compared to $7,040,000 in 2023, marking an increase of approximately 71.5%[41]. Adjustments and Impairments - The company incurred restructuring and goodwill/asset impairment costs of $56,835,000 for the 12 weeks ended December 28, 2024, compared to $7,819,000 in the same period last year[30]. - The company reported a total of $83,207,000 in adjustments for the 52 weeks ended December 28, 2024, which included various non-cash items and restructuring costs[35]. - The company anticipates potential adjustments in fiscal 2025 related to restructuring and acquisition costs, which may significantly impact GAAP financial results[27]. Performance Metrics - Adjusted EBITDA measures are used to assess overall performance and are important for resource allocation and peer comparison[22]. - Adjusted EBITDA for the 12 weeks ended December 28, 2024, was $58,598,000, an increase from $53,649,000 in the prior year, reflecting a growth of approximately 1.76%[30]. - The company’s adjusted EBITDA for the rolling 52 weeks ended December 28, 2024, was $258,486,000, compared to $253,537,000 for the previous period, showing a modest increase[38].

Core Insights - SpartanNash reported significant growth in adjusted EBITDA for the fourth quarter of fiscal 2024, marking the third consecutive year of record performance, driven by margin-enhancing programs and strategic acquisitions [2][3][4] - The company is optimistic about its fiscal 2025 outlook, projecting total net sales between $9.8 billion and $10 billion, with adjusted EBITDA expected to range from $263 million to $278 million [7][9] Fiscal 2024 Highlights - Total net sales for fiscal 2024 decreased by 1.9% to $9.55 billion, with the wholesale segment net sales down 3.0% to $6.71 billion, while retail segment net sales increased by 1.1% to $2.84 billion [8][19] - The company reported a net loss of $35.1 million, or $1.04 per diluted share, compared to net earnings of $10.3 million, or $0.30 per diluted share in the previous year [15][28] - Adjusted EPS for fiscal 2024 was $2.03, down from $2.18 in fiscal 2023, while adjusted EBITDA increased slightly to $258.5 million from $257.4 million [8][28] Fourth Quarter Fiscal 2024 Highlights - In the fourth quarter, net sales increased by 0.7% to $2.26 billion, with retail segment sales rising by 7.7% to $697.1 million, despite a 0.7% decline in comparable store sales [8][19] - The wholesale segment experienced a 2.1% decline in net sales, primarily due to reduced case volumes [8][19] - Adjusted EBITDA for the fourth quarter was $58.6 million, up from $53.6 million, attributed to higher gross margin rates and contributions from recently acquired retail stores [8][19] Cash Flow and Capital Expenditures - Cash generated from operating activities increased by 130.5% to $205.9 million, primarily due to working capital improvements [8][18] - Capital expenditures and IT capital for the year totaled $144.4 million, compared to $127.4 million in the previous year [8][34] Debt and Shareholder Returns - The net long-term debt to adjusted EBITDA ratio increased to 2.8x from 2.4x, reflecting investments in inorganic growth [8][32] - The company returned $45 million to shareholders through share repurchases and dividends [8][18]

GRAND RAPIDS, Mich., Jan. 29, 2025 /PRNewswire/ -- Food solutions company SpartanNash (the "Company") (Nasdaq: SPTN) will announce its financial results before the stock market opens on Wednesday, Feb. 12, 2025, for the 12-week fourth quarter and 52-week fiscal year ended Dec. 28, 2024.  The Company will host a conference call to discuss its quarterly results with additional comments and details on Wednesday, Feb. 12, 2025, at 8:30 a.m. ET. There will also be a simultaneous, live webcast made available on S ...

Food solutions company sends six truckloads of donated product and launches fundraiser for the American Red CrossGRAND RAPIDS, Mich., Jan. 13, 2025 /PRNewswire/ -- Food solutions company SpartanNash® (the "Company") (Nasdaq: SPTN) today announced its latest disaster relief efforts to support residents of Greater Los Angeles affected by the devastating wildfires. As part of its response, SpartanNash has already donated six truckloads of essential products, including bottled water, ready-to-eat snacks and per ...

Community members teamed with SpartanNash Foundation to donate $565,000—or about 204,000 meals—this holiday seasonGRAND RAPIDS, Mich., Dec. 18, 2024 /PRNewswire/ -- Food solutions company SpartanNash® (the "Company") (Nasdaq: SPTN) and the SpartanNash Foundation® achieved a record-breaking donation following their eighth annual in-store fundraiser supporting food pantries across the Midwest. The SpartanNash Foundation® was able to support multiple food pantries across the Midwest, including Kids Food Ba ...