Natural Grocers by Vitamin tage(NGVC) - 2025 Q4 - Annual Results

Financial Performance - Net sales for Q4 FY 2025 increased by $13.5 million, or 4.2%, to $336.1 million compared to Q4 FY 2024, driven by a $13.3 million increase in comparable store sales [4]. - Net income for Q4 FY 2025 rose 31.0% to $11.8 million, with diluted earnings per share of $0.51, compared to $9.0 million, or $0.39 diluted earnings per share, for Q4 FY 2024 [9]. - Adjusted EBITDA for Q4 FY 2025 increased 7.7% to $24.4 million, up from $22.6 million in Q4 FY 2024 [9]. - For FY 2025, net sales increased by $89.3 million, or 7.2%, to $1.33 billion, with a 7.3% increase in daily average comparable store sales [10]. - Gross profit for FY 2025 increased by $33.1 million, or 9.1%, to $397.9 million, with gross margin improving by 50 basis points to 29.9% [11]. - Operating income for FY 2025 increased 32.0% to $62.0 million, with an operating margin of 4.7% [13]. - Net income for the year ended September 30, 2025, was $46.4 million, up 37.0% from $33.9 million in 2024 [33]. - EBITDA for the fourth quarter of fiscal 2025 increased by 17.6% to $23.5 million compared to $20.0 million in the fourth quarter of fiscal 2024 [36]. - Adjusted EBITDA for the year ended September 30, 2025, rose 17.5% to $97.9 million from $83.3 million in 2024 [37]. Cash and Assets - As of September 30, 2025, the company had $17.1 million in cash and cash equivalents and no outstanding borrowings on its revolving credit facility [16]. - Cash and cash equivalents at the end of the year increased to $17.1 million from $8.9 million, a rise of 93.5% [33]. - Total assets increased to $670.5 million in 2025 from $655.5 million in 2024, representing a growth of 2.0% [31]. - Total current liabilities decreased to $158.8 million in 2025 from $164.1 million in 2024, a reduction of 3.0% [31]. - Total stockholders' equity increased to $212.4 million in 2025, up 22.0% from $174.3 million in 2024 [31]. Expenses and Dividends - Administrative expenses for FY 2025 increased 14.6% to $44.4 million, primarily due to higher compensation and technology expenses [13]. - A quarterly cash dividend of $0.15 per common share was announced, reflecting a 25% increase over the previous dividend [17]. - Dividends to shareholders decreased to $11.0 million in 2025 from $31.9 million in 2024, a decline of 65.5% [33]. Future Plans - The company plans to open 6 to 8 new stores in FY 2026, continuing its strategy of accelerated store growth [3]. Impairment and Cash Flow - The company reported a loss on impairment of long-lived assets of $81, significantly lower than $2.1 million in 2024 [33]. - Operating cash flow for the year was $55.3 million, compared to $73.8 million in the previous year, reflecting a decrease of 25.0% [33].