United Natural Foods Beats on Profit in Q1, Reaffirms Outlook as Shares Jump

Investors responded to a profit beat driven by cost control despite slightly softer sales.

Overview

UNFI posted a GAAP net loss of $4 million, or 6 cents per share, while delivering adjusted EPS of 56 cents that topped forecasts around 40 to 41 cents.
Quarterly revenue came in at $7.84 billion, a touch below the roughly $7.91 billion consensus and down 0.4% from a year earlier.
The company reaffirmed full-year guidance for EPS of $1.50 to $2.30 and revenue of $31.6 billion to $32.0 billion.
Sales mix shifted as natural channel revenue rose 10.5% to $4.24 billion, while conventional fell 11.7% to $3.33 billion and retail declined 5.5% to $554 million.
Shares rose about 11% in morning trading following the results and guidance update.