Wed, Mar 5, 10:13 PM (52 days ago)
Village Super Market, Inc. (NASDAQ: VLGEA) reported a strong quarterly performance for the period ending January 25, 2025. Sales increased by 4.2% year-over-year to $599,651, driven by a 2.3% rise in same-store sales and the opening of a new replacement store. Gross profit margins slightly declined to 28.35%, impacted by increased promotional spending and unfavorable product mix, though overall gross profit rose due to higher patronage dividends from Wakefern. Net income for the quarter reached $16,896, up from $14,480, with diluted earnings per share at $1.14. Operating expenses as a percentage of sales decreased, reflecting improved cost management. Cash flow from operations improved significantly to $60,952, aided by better working capital management. Liquidity remains robust, with cash and equivalents at $133,929, and the company maintains a strong credit facility with $67,664 available. Village plans $75,000 in capital expenditures for fiscal 2025, focusing on store renovations and technology upgrades. However, uncertainties persist in the competitive landscape and economic conditions, which could impact future performance. The effective tax rate is expected to remain stable between 31.0% and 32.0%.