United Natural Foods ( (UNFI) ) has released its Q2 earnings. Here is a breakdown of the information United Natural Foods presented to its investors.
United Natural Foods, Inc. (UNFI) is a leading grocery wholesaler in North America, providing a wide array of fresh, branded, and owned brand products to a diverse range of customers including natural product superstores, independent retailers, and conventional supermarket chains.
In its second quarter fiscal 2025 earnings report, United Natural Foods, Inc. announced a 4.9% increase in net sales compared to the same period last year, reaching $8.2 billion. Despite reporting a net loss of $3 million, the company showed significant improvements in adjusted EBITDA and free cash flow.
Key financial highlights from the report include a 13.3% increase in adjusted EBITDA to $145 million and a notable rise in adjusted EPS to $0.22. The company also reported a substantial improvement in free cash flow, which increased by approximately $77 million compared to the prior year quarter. UNFI’s strategic focus on stakeholder value creation and lean management contributed to these positive outcomes.
The company continues to execute its multi-year strategy, which includes strengthening partnerships with customers and suppliers, completing the closure of its Fort Wayne distribution center, and progressing faster than anticipated in deleveraging efforts. The net debt to adjusted EBITDA ratio declined to 3.7x, indicating a healthier balance sheet.
Looking ahead, United Natural Foods has raised its fiscal 2025 outlook for all metrics except capital and cloud spending. The company remains committed to executing its strategic plan, enhancing profitability, and delivering increased value to its stakeholders.