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06/02/2022

SpartanNash Q1 Sales Rise, Net Earnings Flat

Company officials cite continued progress of its Our Winning Recipe plan as a key driver of results.
Greg Sleter
Associate Publisher/Executive Editor
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SpartanNash truck

First quarter net sales at SpartanNash increased 4% as company officials reported continued progress driven by its Our Winning Recipe plan.

Net sales for the quarter ended April 23 were $2.76 billion, up from net sales of $2.66 billion in the comparable quarter the previous year. Net earnings were $19.3 million, or $0.53 per diluted share, compared to $19.5 million, or $0.54 per diluted share in the prior year quarter. Adjusted earnings from continuing operations were $30.3 million, or $0.83 per diluted share, compared to $21.3 million, or $0.59 per diluted share in the prior year quarter. 

“Our team’s keen focus on operational excellence helped deliver on our supply chain transformation initiative,” said Tony Sarsam, president and CEO of SpartanNash. “During the quarter, we achieved more than $15 million in run-rate cost savings, already meeting our full-year 2022 run-rate goal of $15 million to $30 million annualized supply chain savings.”

On a segment basis, the company’s Food Distribution segment had net sales of $1.37 billion, an increase of 2.8%. The increase was due primarily to the inflationary impact on pricing. Net sales for the Retail segment increased $41.8 million, or 5.7%, to $781.3 million from $739.4 million in the prior year quarter, primarily due to inflationary pricing. Retail comparable store sales were 7.2% for the quarter. Military segment Net sales increased $27.2 million, or 4.7%, to $611.5 million from $584.3 million in the prior year quarter. The increase was driven by inflationary pricing and was partially offset by reduced case volumes.

The company also restated full-year guidance and now expects full year net sales of between $9 billion and $9.3 billion. Previous guidance estimated full year net sales of between $8.9 billion and $9.1 billion.