SpartanNash Q2 2023 Earnings Report
Key Takeaways
SpartanNash reported net sales of $2.31 billion, a 1.7% increase compared to the prior year quarter, with retail comparable sales increasing by 3.9%. Net earnings reached $19.5 million, significantly higher than the $5.1 million in the prior year quarter, and adjusted EBITDA increased to $66.1 million from $61.8 million in the prior year quarter.
Net sales increased by 1.7% to $2.31 billion.
Retail comparable sales increased by 3.9%.
Net earnings increased to $19.5 million, compared to $5.1 million in the prior year quarter.
Adjusted EBITDA increased to $66.1 million, compared to $61.8 million in the prior year quarter.
SpartanNash
SpartanNash
SpartanNash Revenue by Segment
Forward Guidance
SpartanNash reaffirmed its previous guidance provided on February 23, 2023, with respect to adjusted EBITDA and adjusted EPS. The Company is updating its total net sales and capital expenditures and IT capital guidance to reflect current trends and market conditions.
Positive Outlook
- Adjusted EBITDA is projected between $248 million and $263 million.
- Adjusted EPS is projected between $2.20 and $2.35.
- The long-term plan is expected to deliver effectiveness and efficiency.
- The company expects to realize approximately $20 million in run-rate cost savings in late 2023.
- The go-to-market strategy enhances customer centricity.
Challenges Ahead
- Total net sales are projected between $9.65 billion and $9.95 billion, which is lower than the previous outlook's high end.
- Capital expenditures and IT capital are projected between $130 million and $140 million, lower than the previous outlook's high end.
- Inflation trends may impact sales growth.
- Marketplace demand changes from a certain national account may offset pricing benefits.
- Reduced volume and continued investment in store wage rates may impact retail segment performance.