SpartanNash Q4 Sales Down Slightly

SpartanNash closed its fiscal year 2023 with a decrease in net sales during the fourth quarter as both its wholesale and retail segments reported declines.

For the quarter ended December 30 net sales decreased 2.8% to $2.25 billion. Net earnings in the quarter were  $0.30 per diluted share, compared to $0.02 per diluted share in the prior year. The increase was primarily due to a higher gross profit rate and lower incentive compensation. This favorability was partially offset by lower unit volumes and an increase in restructuring and asset impairment charges.

Wholesale segment net sales decreased 2% to $1.6 billion due primarily to lower volume in the national accounts customer channel. Retail segment net sales decreased 4.5% to $647 million, with comparable store sales down 2.8%. The net sales decrease was primarily driven by a reduction in food assistance program benefits and lower fuel sales.

Net sales for the full fiscal year increased 0.9% to $9.73 billion. Wholesale net sales increased 1.1% to $6.92 billion while retail sales increased 0.4% to $2.81 billion, with a comparable store sales increase of 2.0%. Net earnings of $1.50 per diluted share increased compared to $0.95 per diluted share.

"Our team is proud of another strong year in which we have demonstrated year-over-year growth, delivered record profitability, and performed in line with our expectations, all in spite of a challenging macroeconomic environment," said Tony Sarsam, president and CEO of SpartanNash. "We are on track to achieve the objectives in our long-term strategic plan as we focus on creating enhanced customer value and capturing additional cost savings from our transformational initiatives. We expect 2024 to be another pivotal year of market share growth in our Wholesale and Retail segments.”