Core Insights - UNFI is on track to meet its full-year outlook for fiscal year 2026 despite a second consecutive quarter of declining net sales [3][8] - The natural segment saw an 11% increase in net sales, while conventional sales declined by 12% due to the closure of a distribution center [3][8] - The company is enhancing supply chain solutions and has implemented a daily management program in 34 distribution centers [4] Financial Performance - UNFI reported net sales of $7.8 billion for Q1 fiscal 2026, a slight decrease of less than half a percentage point year-over-year [8] - The operating expense rate improved to 12.7% of net sales from 12.9% the previous year, reflecting efficiency initiatives [5][8] - The full-year outlook projects net sales between $31.6 billion and $32 billion, net income up to $50 million, and adjusted EBITDA between $630 million and $700 million [6] Operational Efficiency - The number of cases moving through distribution centers increased by 2% year-over-year and nearly 10% over two years [6] - UNFI's effectiveness and efficiency initiatives, including network optimization and strategic automation investments, are contributing to improved operational metrics [5]

Vancouver, B.C., Nov. 25, 2025 (GLOBE NEWSWIRE) -- The Vancouver Fraser Port Authority has completed the final phase of its centralized scheduling system implementation, bringing the Fraser River, Roberts Bank, and the English Bay anchorage area into the system and achieving a full port-wide coverage. This milestone marks a significant step forward for the port authority-led Active Vessel Traffic Management Program and comes at a pivotal time for Canada’s supply chains as the country seeks to diversify mark ...

Financial Data and Key Metrics Changes - For fiscal 2025, the company reported revenue of $18.5 billion, a 6% increase compared to the prior year, with organic revenue growth of 7% [16][20] - Adjusted operating income for the fourth quarter was $289 million, growing 6% on a constant currency basis, while full-year adjusted operating income was $981 million, up 12% [17][18] - The adjusted EPS for the fourth quarter was $0.57, a 6% increase, and for the full year, it was $1.82, reflecting almost 20% growth [20][21] - The consolidated leverage ratio improved to 3.25 times, the lowest level in nearly 20 years, down from 3.4 times a year ago [21][22] Business Line Data and Key Metrics Changes - The FSS US segment grew organic revenue by 14% in the fourth quarter, driven by workplace experience and collegiate hospitality [8][16] - The international segment also reported consistent double-digit organic revenue growth of 14% in the fourth quarter, with strong contributions from the U.K., Canada, and Latin America [12][13] - The healthcare segment achieved its best performance in over two years, with significant new business wins contributing to growth [9][10] Market Data and Key Metrics Changes - The company experienced an industry-leading client retention rate of 96.3%, contributing to a net new business growth of 5.6% [6][7] - The collegiate sports business saw double-digit revenue growth, with per capita rates up 14% year over year [9][10] - The global supply chain added over $1 billion in new purchasing spend for the second consecutive year, primarily from various sectors including healthcare and education [13][14] Company Strategy and Development Direction - The company is focused on delivering exceptional hospitality services and maintaining high client retention rates, with a goal of achieving net new business growth of 4-5% in fiscal 2026 [7][23] - Strategic investments are being made in advanced technologies to enhance operational efficiencies and client service capabilities [19][22] - The company aims to leverage its strong new business pipeline and expand its presence in various sectors, including healthcare and collegiate sports [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth trajectory, citing strong new business wins and high retention rates as key drivers for future performance [4][25] - The company anticipates organic revenue growth of $19.45 billion to $19.85 billion for fiscal 2026, representing a growth of 7%-9% [22][23] - Management acknowledged the impact of inflation, estimating it around 3% as they continue to manage the macro environment effectively [14][21] Other Important Information - The company has taken decisive actions to reduce future medical expenses related to elective lifestyle prescriptions, which are expected to positively impact costs going forward [18][19] - The company is committed to optimizing capital allocation priorities, including increasing dividends and stock repurchases [22][23] Q&A Session Summary Question: Can you delve into the shift in timing for new account openings? - Management indicated that the shift occurred across multiple businesses, including corrections and healthcare, and was client-driven rather than company-driven [30][31] Question: What is the expected cadence for the UPenn contract in 2026? - The UPenn contract will begin operations in February and will be staged over several months, with expectations for significant new business contributions throughout the year [32][33] Question: Can you discuss the margin trajectory with new wins? - Management noted that while there may be some incremental startup costs associated with new contracts, these will be offset by productivity improvements and efficiency initiatives [37][41] Question: What is the outlook for retention rates moving forward? - Management expressed a strong commitment to maintaining a retention rate above 95%, with aspirations to achieve even higher levels [99][101] Question: Can you elaborate on the restructuring measures in the international business? - The restructuring is aimed at streamlining SG&A and optimizing operations, despite the international segment's strong growth performance [75][76]

Financial Data and Key Metrics Changes - Total revenues grew 8% year over year to $272 million, driven by increased market recognition and growth of the Giga Cloud Marketplace [18][24] - Service revenue increased by approximately 23% year over year to $94 million, while product revenue grew by approximately 2% year over year to $178 million [19][20] - Net income for the first quarter was $27 million, a decrease from 10.8% in the prior year period [24] Business Line Data and Key Metrics Changes - Giga Cloud Marketplace GMV grew more than 56% to $1.4 billion, with active 3P seller base increasing over 33% to 1,154 [11][12] - GMV from 3P sellers increased 50% year over year to $734 million, accounting for about 52% of total marketplace GMV [11] - The fulfillment center opened in Bremen, Germany supports growth initiatives across continental markets, with European GMV growing over 80% [12][13] Market Data and Key Metrics Changes - Domestic U.S. product revenue saw a 17% year over year decrease due to the controlled contraction associated with refreshing the Noble House product catalog [21] - International markets, particularly Europe, experienced robust growth, with product revenue growth in this region exceeding 70% year over year [20][21] Company Strategy and Development Direction - The company is focused on disciplined and sustainable growth, with ongoing integration of Noble House and introduction of new SKUs [5][6] - The launch of the Wonder app aims to enhance retail store efficiency and supplier engagement [15][16] - The company is exploring strategic M&A opportunities, particularly in Europe, to support growth and better service the brick-and-mortar space [42][44] Management's Comments on Operating Environment and Future Outlook - Management acknowledges short-term headwinds due to tariff developments and supply chain disruptions but remains confident in the company's ability to adapt [7][9] - The company expects total revenue for the second quarter to be between $275 million and $305 million, anticipating challenges from the ongoing integration of Noble House [24][25] Other Important Information - The company repurchased approximately 3.7 million shares for about $61.8 million as part of its stock repurchase program [24] - The gross margin improved to 23.4% for Q1 2025, a sequential improvement of 1.4% from the previous quarter [23] Q&A Session Summary Question: What drove the results ahead of expectations? - Management noted strong growth in service and European markets as key factors [27] Question: What to expect for gross margin in Q2? - Management indicated uncertainty regarding Q2 gross margin due to the evolving environment and SKU rationalization [28][29] Question: How can the marketplace empower buyers and sellers in Europe? - The marketplace offers flexibility and reach, allowing sellers to enter new markets without significant capital investment [34][35] Question: How do tariffs translate into higher prices? - Management clarified that tariffs do not directly translate to a dollar-for-dollar price increase for consumers [36] Question: What are the current thoughts on strategic M&A? - The company is interested in opportunities that align with its growth strategy, particularly in Europe [42][44] Question: Did the company reclassify some product revenues into service revenue? - Yes, the company has begun reporting product and service revenues separately for better transparency [46][48] Question: What causes the expected deceleration in year-over-year growth in Q2? - The deceleration is primarily due to the integration phase of Noble House, which traditionally has strong summer sales [51][52] Question: Will the pause in U.S.-China tariffs impact Q2 financials? - Management expects limited impact from the pause in Q2, with most effects anticipated in Q3 [54]

Financial Data and Key Metrics Changes - Total revenues grew 8% year over year to $272 million, driven by increased market recognition and growth in the data cloud marketplace [18][20] - Service revenue increased approximately 23% year over year to $94 million, while product revenue grew by about 2% year over year to $178 million [19][20] - Net income for the first quarter was $27 million, a decrease from 10.8% in the prior year period [24] Business Line Data and Key Metrics Changes - The Giga Cloud marketplace GMV grew more than 56% to $1.4 billion, with active 3P seller base increasing over 33% to 1,154 [11][12] - GMV from 3P sellers increased 50% year over year to $734 million, accounting for about 52% of total marketplace GMV [11] - The fulfillment center opened in Bremen, Germany supports growth initiatives across continental markets, contributing to strong performance in Europe with over 80% GMV growth [12][13] Market Data and Key Metrics Changes - Europe saw robust growth, with GMV increasing by over 70% year over year, while domestic U.S. markets experienced a 17% year over year decrease [20][21] - The buyer base grew more than 81% year over year, reaching nearly 10,000 for the first time [12] Company Strategy and Development Direction - The company is focused on disciplined and sustainable growth, with ongoing integration of Noble House and introduction of new SKUs while optimizing procurement costs [5][6] - The launch of the Wonder app aims to enhance efficiency in retail management and improve supplier engagement [15][16] - The company is exploring strategic M&A opportunities, particularly in Europe, to support growth and better service the brick-and-mortar space [40][41] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges from recent tariff developments and the high level of uncertainty in global trade but expressed confidence in the company's ability to adapt [7][8] - The company expects near-term disruptions due to macro and industry headwinds but believes its platform positions it to capture long-term opportunities [9][10] - For Q2, the company anticipates total revenue between $275 million and $305 million, with expectations of a sequential deceleration in revenue growth [25] Other Important Information - The company repurchased approximately 3.7 million shares for about $61.8 million as part of its stock repurchase program [24] - The integration of Noble House is in Phase three, focusing on refreshing the product catalog and retiring underperforming SKUs [13][21] Q&A Session Summary Question: What drove results ahead of expectations? - Management noted strong growth in service and European markets as key factors [28] Question: What to expect for gross margin in Q2? - Management indicated uncertainty due to the dynamic environment and the time required for new SKUs to ramp up sales [29][30] Question: How does the marketplace empower buyers and sellers in Europe? - The marketplace offers flexibility and reach, allowing sellers to enter new markets without significant capital investment [34][35] Question: How do tariffs translate into higher prices? - Management clarified that tariffs do not directly translate to a dollar-for-dollar price increase for consumers [36] Question: Current thoughts on strategic M&A? - The company is interested in opportunities that support growth in Europe and enhance service to brick-and-mortar customers [40][41] Question: Clarification on product revenue reclassification? - Management confirmed that product revenues were reclassified into service revenues for better transparency [44][45] Question: Guidance for Q2 and expected deceleration in revenue growth? - The deceleration is primarily due to the integration of Noble House and softness in certain U.S. channels [49][50]

Financial Data and Key Metrics Changes - The company reported a 3% revenue growth in Q4 2024, with adjusted EBITDA of $18 million, up 41% from Q4 2023 [10][11][48] - Gross margin improved by 410 basis points year-over-year, reaching 40.9% in Q4 2024 [10][46] - For the full year 2024, adjusted EBITDA grew by 34%, and gross margin expanded by 540 basis points [12][43] Business Line Data and Key Metrics Changes - Grill revenues increased by 30% year-over-year to $78 million in Q4 2024, driven by strong sell-through during the holiday season and the launch of the Woodridge series [44][23] - Consumables revenue grew by 25% to $31 million, supported by increased replenishment and new distribution at Walmart [27][44] - Accessories revenue declined by 24% to $60 million, primarily due to underperformance at Meater [30][44] Market Data and Key Metrics Changes - North America revenues increased by 11%, while revenues from the rest of the world declined by 39%, largely influenced by Meater's performance [45][109] - The company noted that the grill market is expected to grow modestly by 1% to 2% in 2025, following three years of decline [70][71] Company Strategy and Development Direction - The company aims to increase brand awareness and market share, with household penetration currently at 3.6% [14][39] - Strategic initiatives include enhancing social media engagement and partnerships with culinary brands to drive brand activation [15][17] - The company plans to focus on boots-on-the-ground sales activation efforts in 2025, including a roadshow program at Costco [25][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the brand's health and consumer demand for grills, despite an uncertain macroeconomic environment [38][39] - The company is guiding for revenues of $595 to $615 million in 2025, reflecting a potential decline of 2% to growth of 2% compared to 2024 [35][51] - Management acknowledged challenges related to tariffs and their impact on the business, emphasizing proactive strategies to mitigate potential effects [36][37] Other Important Information - Dom Blosil, the CFO, announced his transition out of the role, with Joey Hord set to take over [40][41] - The company ended 2024 with $15 million in cash and cash equivalents and $409 million in total debt [48][49] Q&A Session Summary Question: Expectations for the accessories business in 2025 - Management is conservatively forecasting Meater's performance and believes there are opportunities for improvement through retail expansion [60] Question: Impact of advertising spend on Meater's performance - Management noted that Q1 insights may not be indicative of future performance due to the seasonal nature of Meater's business [62] Question: Overall grill market outlook for 2025 - Management expects modest growth in the grill market, with Traeger gaining market share in 2024 [70][72] Question: Strategy for lower price point grills - The company plans to continue leveraging successful promotions at lower price points while introducing the Woodridge series at a premium price [76] Question: Inventory levels and tariff anticipation - The increase in inventory was primarily tied to the Woodridge launch rather than anticipatory tariffs [79] Question: Long-term leverage goals - The company aims to maintain leverage at or below three turns, with a focus on debt paydown and EBITDA growth [90][93] Question: Update on manufacturing partners in Vietnam - The company is progressing with its second global manufacturing partner in Vietnam and expects to be in mass production soon [97][98] Question: Recent trends in international sales - The decline in international sales is largely due to Meater's performance, which significantly impacts the overall numbers [109]

Financial Data and Key Metrics Changes - The company reported a 5.1% revenue growth for the full year, with constant currency revenue growth of 4.8%, slightly below guidance due to sluggish category growth [34] - Adjusted EBITDA for the fourth quarter was a loss of CHF 6.1 million, and for the full year, it was a loss of CHF 35.3 million, which was at the favorable end of the guidance range [34][35] - Gross margin expanded by 9.3 percentage points year-over-year, reaching 28.7% for the full year [34][70] Business Line Data and Key Metrics Changes - Each of the three operating segments reported profitable growth for the second consecutive quarter, with solid volume growth in both the fourth quarter and full year [37] - The Barista portfolio remains the largest business and growth driver, with North America reporting 10% growth and Europe and International reporting 13% growth in 2024 [15][18] Market Data and Key Metrics Changes - North America experienced double-digit revenue growth in retail and 8% growth in foodservice, with foodservice sales growing by 22% when excluding the largest customer [16][19] - Greater China posted strong double-digit growth in the second half of the year after a strategic reset, driven by an expanded presence in the foodservice channel [16][87] Company Strategy and Development Direction - The company aims to ignite category momentum by increasing relevance and attacking barriers to conversion from dairy, while also driving efficiencies [13][14] - A focus on supply chain simplification has been emphasized, with the closure of the Singapore facility and discontinuation of a second Chinese facility, maintaining five global manufacturing plants [9][30] Management's Comments on Operating Environment and Future Outlook - Management expects to enter a profitable growth era in 2025, with constant currency revenue growth projected between 2% to 4% [7][41] - The company anticipates a 300 basis point headwind to growth from sourcing changes at its largest U.S. customer, but underlying growth remains healthy [7][41] Other Important Information - The company achieved a 99% customer fill rate in 2024, indicating improved operational efficiency [9] - Free cash flow improved significantly, with a $156 million use of cash for the year, marking the best performance since the IPO [39] Q&A Session Summary Question: What are the drivers within gross margin improvement? - Management highlighted optimizing production footprint, maximizing global sourcing resources, and managing product mix as key drivers for gross margin improvement [50][51] Question: What is the outlook for promotional activity in the U.S.? - Management acknowledged recent volatility in promotional activity but emphasized solid consistent velocities in core portfolio products and expected steady growth trajectory [52][55] Question: What is the risk associated with the largest customer in the U.S.? - Management noted that the largest customer represents only 20% of U.S. sales and 7% of total company sales, indicating a reduced exposure and ongoing efforts to drive growth outside this customer [58][83] Question: How has the outlook for the Chinese market changed? - Management confirmed that the business in Greater China is showing positive trends, with profitable growth reported since Q3 2024, and plans to enter the club channel in 2025 [86][87] Question: How confident is the company in achieving the low end of EBITDA guidance for 2025? - Management expressed confidence in the plans being fully resourced and emphasized a disciplined approach to cost and capital allocation to achieve the guidance [92][96]