UNITED NATURAL FOODS Reports Q4 Earnings for FY2023
September 28, 2023
☀️Earnings Overview
On September 26 2023, UNITED NATURAL FOODS ($NYSE:UNFI) reported its earnings for the fourth quarter of FY2023, ending on July 31 2023. The company’s total revenue was USD 7417.0 million, a 2.0% increase compared to the previous year. However, the net income was USD -68.0 million, significantly lower than the year prior’s figure of USD 39.0 million.
Stock Price
The stock opened at $15.1 and closed at $13.7, plummeting by 27.4% from the prior closing price of 18.9. The decline in earnings can be attributed to the challenging external environment that has led to disruption in the supply chain and decline in consumer spending. Furthermore, rising competition and price pressures have also contributed to the shortfall in earnings for UNITED NATURAL FOODS. Despite these headwinds, the company remains committed to its long-term vision of providing sustainably sourced natural and organic food products to its customers.
The company has also made strategic investments in its infrastructure and supply chain in order to improve its competitive position and long-term growth prospects. All in all, UNITED NATURAL FOODS has experienced a quarter that can at best be described as choppy. The company appears to be well positioned to weather the current challenging market conditions and continue its growth trajectory in the coming years. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for UNFI. More…
| Total Revenues | Net Income | Net Margin |
| 30.27k | 24 | 0.2% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for UNFI. More…
| Operations | Investing | Financing |
| 624 | -339 | -292 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for UNFI. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 7.39k | 5.65k | 29.74 |
Key Ratios Snapshot
Some of the financial key ratios for UNFI are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 4.5% | -20.5% | 0.5% |
| FCF Margin | ROE | ROA |
| 1.0% | 4.9% | 1.2% |
Analysis
At GoodWhale, we have conducted a detailed analysis of UNITED NATURAL FOODS. Our Star Chart results show that UNITED NATURAL FOODS is strong in, medium in asset, growth, profitability and weak in dividend. Moreover, the company has a high health score of 8/10. This score is given by taking into consideration the cashflows and debt of the company and shows that it is capable to sustain future operations in times of crisis. Additionally, UNITED NATURAL FOODS is classified as an ‘elephant’, which is a type of company that is rich in assets after deducting off liabilities. These types of companies may be of interest to investors who favor big and stable companies, as well as those looking for long-term investments. More…
Peers
This company faces stiff competition from other industry players such as SpartanNash Co, Globrands Group Ltd, and Healthier Choices Management Corp. These other companies have their own unique strategies and offerings that compete with the offerings of United Natural Foods Inc. The ongoing competition between these companies will have a significant impact on the future of the natural and organic food products industry.
– SpartanNash Co ($NASDAQ:SPTN)
SpartanNash Co is a food distributor and retailer located in the United States. The company is the largest food distributor serving military commissaries and exchanges in the United States. As of 2022, SpartanNash Co has a market cap of 1.09B, reflecting an increase of 53% over the previous year. Additionally, the company has a Return on Equity (ROE) of 7.43%, indicating that the company is performing well. The strong ROE and increasing market cap is a sign that SpartanNash Co is doing a good job in managing its operations, investments and financial activities.
– Globrands Group Ltd ($OTCPK:GLBGF)
Healthier Choices Management Corp is a health and wellness company that brings healthy, affordable products to consumers. The company has a market cap of 50.96M as of 2022, which is indicative of a mid-size company. Healthier Choices Management Corp has a negative Return on Equity of -16.63%, which indicates that the company may not be generating returns on its investments. This could be due to the company investing in new products or services in an effort to increase sales or market share. Despite this, Healthier Choices Management Corp continues to be a leader in the health and wellness industry with its innovative products and services.
Summary
Investors in UNITED NATURAL FOODS may have been disappointed by the company’s recent financial report for Q4 of FY2023, which showed a year-over-year increase in total revenue of 2.0%, but a decrease in net income from the previous year’s USD 39.0 million to USD -68.0 million. The stock price reacted negatively to the news, indicating that investors are pessimistic about the company’s future prospects. To determine whether investing in UNITED NATURAL FOODS is a wise decision, it is important to look at longer-term performance trends, such as revenue and profit growth over several quarters or years. Other factors to consider include the company’s competitive position, the quality of its management team and the industry outlook.
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