United Natural Foods Reports Stronger-Than-Expected Earnings but Revenue Misses Forecasts
United Natural Foods Inc. (NYSE:UNFI) reported fourth-quarter adjusted earnings per share of $0.69, exceeding the analyst consensus estimate of $0.61. However, revenue came in at $7.64 billion, below expectations and down from the previous year's $7.70 billion by 0.7%. The company attributed lower sales to planned optimization measures and completed short-term project work. For fiscal 2026, net sales declined slightly but profitability improved significantly with a net income of $84 million compared to a loss in the prior year. Adjusted EBITDA rose 27% to $701 million, while free cash flow increased by 35%. The company's gross margin also improved due to network optimization and customer mix changes. Looking ahead, UNFI provided mixed guidance for fiscal 2027: it expects adjusted earnings per share between $3.00 and $3.50 (midpoint of $3.25), slightly above the analyst consensus estimate of $3.21. However, revenue is projected to be below expectations at a midpoint of $31.5 billion.
Tickers: $UNFI
Topics: earnings gross margin improvement profit beat revenue miss