Ingles Markets(IMKTA) - 2025 Q2 - Quarterly Results

Press Release Details This section provides essential contact information and details the announcement of Ingles Markets' Q2 and H1 fiscal 2025 financial results Contact Information This section provides the contact details for media and investor inquiries regarding the press release - Contact Person: Pat Jackson, Chief Financial Officer[1] - Email: pjackson@ingles-markets.com[1] - Phone: (828) 669-2941 (Ext. 223)[1] Announcement Date and Title The press release, issued on May 8, 2025, announces Ingles Markets, Incorporated's financial results for the second quarter and first six months of fiscal year 2025 - Date of Release: May 8, 2025[1] - Announcement: Ingles Markets, Incorporated Reports Results for Second Quarter and First Six Months of Fiscal 2025[1] Management Statement This section presents remarks from the Chairman of the Board regarding the company's performance and commitment Chairman's Remarks Robert P. Ingle II, Chairman of the Board, expressed appreciation for the associates' hard work in delivering value to customers and reiterated the company's commitment to supporting its stores - Chairman Robert P. Ingle II thanked associates for their hard work in delivering value to customers[2] - The company continues to support its stores[2] Summary of Financial Performance This section summarizes Ingles Markets' financial results for the second quarter and first half of fiscal 2025, highlighting key performance indicators Second Quarter Fiscal 2025 Performance Ingles Markets reported a decrease in net sales and a significant decline in net income for the second quarter of fiscal 2025 compared to the prior year, despite a slight increase in operating expenses and a stable gross profit margin Second Quarter Fiscal 2025 Key Financials (YoY Comparison) | Metric | Q2 Fiscal 2025 (Ended Mar 29, 2025) (Millions USD) | Q2 Fiscal 2024 (Ended Mar 30, 2024) (Millions USD) | Change (%) | | :-------------------------------- | :---------------------------------- | :---------------------------------- | :--------- | | Net Sales | $1,331.273 million | $1,367.480 million | -2.7% | | Gross Profit | $310.977 million | $321.885 million | -3.4% | | Gross Profit % of Sales | 23.4% | 23.5% | -0.1 pp | | Operating & Administrative Expenses | $289.144 million | $284.762 million | +1.5% | | Income from Operations | $21.641 million | $44.809 million | -51.7% | | Interest Expense | $4.879 million | $5.587 million | -12.7% | | Net Income | $15.106 million | $31.899 million | -52.7% | | Basic EPS (Class A) | $0.81 | $1.72 | -52.9% | | Diluted EPS (Class A) | $0.80 | $1.68 | -52.4% | - Net sales decreased by 2.7% to $1.33 billion[2] - Net income fell by 52.7% to $15.1 million[4] First Half Fiscal 2025 Performance For the first six months of fiscal 2025, Ingles Markets experienced an 8.0% decline in net sales and a 57.9% decrease in net income compared to the previous year. The company also reduced capital expenditures and total debt First Half Fiscal 2025 Key Financials (YoY Comparison) | Metric | H1 Fiscal 2025 (Ended Mar 29, 2025) (Millions USD) | H1 Fiscal 2024 (Ended Mar 30, 2024) (Millions USD) | Change (%) | | :-------------------------------- | :---------------------------------- | :---------------------------------- | :--------- | | Net Sales | $2,619.388 million | $2,848.542 million | -8.0% | | Gross Profit | $612.111 million | $670.686 million | -8.7% | | Gross Profit % of Sales | 23.4% | 23.5% | -0.1 pp | | Operating & Administrative Expenses | $569.853 million | $574.589 million | -0.8% | | Income from Operations | $45.212 million | $104.436 million | -56.7% | | Interest Expense | $9.890 million | $11.294 million | -12.5% | | Net Income | $31.694 million | $75.292 million | -57.9% | | Basic EPS (Class A) | $1.70 | $4.05 | -58.0% | | Diluted EPS (Class A) | $1.67 | $3.96 | -57.8% | | Capital Expenditures | $62.0 million | $98.4 million | -37.0% | | Total Debt (as of period end) | $521.6 million (Mar 29, 2025) | $539.1 million (Mar 30, 2024) | -3.2% | - Net sales for the first half decreased by 8.0% to $2.62 billion[5] - Net income for the first half decreased by 57.9% to $31.7 million[9] - Total debt decreased to $521.6 million as of March 29, 2025, from $539.1 million as of March 30, 2024[8] - Capital expenditures for the first half of fiscal 2025 were $62.0 million, down from $98.4 million in the prior year[10] - The Company believes its financial resources are sufficient to meet planned capital expenditures, debt service, and working capital requirements for the foreseeable future[10] Company Information This section provides an overview of Ingles Markets' operations and a cautionary note regarding forward-looking statements About Ingles Markets, Incorporated Ingles Markets is a prominent grocer operating 197 supermarkets across six southeastern states, headquartered in Asheville, North Carolina. The company also manages neighborhood shopping centers and a fluid dairy facility, with plans to reopen three hurricane-damaged stores in 2025 or 2026 - Ingles Markets operates 197 supermarkets in six southeastern states[11] - The company is headquartered in Asheville, North Carolina[11] - Operations include neighborhood shopping centers and a fluid dairy facility[11] - Three stores temporarily closed due to Hurricane Helene damage are expected to reopen in 2025 or 2026[11] Cautionary Note Regarding Forward-Looking Statements This section highlights that the press release contains forward-looking statements, which are subject to various risks and uncertainties, including economic conditions, inflation, competition, and operational factors. Actual results may differ materially, and the company does not commit to updating these statements unless legally required - The press release includes forward-looking statements regarding financial and operational results[12] - These statements are subject to uncertainty and changes in circumstances, with actual results potentially differing materially due to factors like economic conditions, inflation, labor shortages, and competition[12] - The company does not undertake an obligation to update forward-looking information, except as required by applicable law[12] Unaudited Financial Highlights This section presents the unaudited condensed consolidated statements of income and balance sheets for the specified periods Condensed Consolidated Statements of Income (Unaudited) This table presents the unaudited condensed consolidated statements of income for the three and six months ended March 29, 2025, and March 30, 2024, providing a detailed breakdown of revenues, expenses, and net income Condensed Consolidated Statements of Income (Unaudited) | | | | Three Months Ended (Thousands USD) | | | | Six Months Ended (Thousands USD) | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | March 29, | | | March 30, | March 29, | | | March 30, | | | 2025 | | | 2024 | 2025 | | | 2024 | | Net sales | $ 1,331,273 | | | $ 1,367,480 | $ 2,619,388 | | | $