UNFI reports decline in profit, but increase in sales

UNITED NATURAL Foods Inc. reported a 3 percent decline in profit, but a 9.7 percent increase in sales in first-quarter results released on Wednesday.
UNITED NATURAL Foods Inc. reported a 3 percent decline in profit, but a 9.7 percent increase in sales in first-quarter results released on Wednesday.

PROVIDENCE – United Natural Foods Inc. reported a 3 percent decline in profit, but a 9.7 percent increase in sales in first-quarter results released on Wednesday.
UNFI, a distributor of more than 100,000 products to more than 43,000 customers in the United States and Canada, said profit fell to $29.2 million, or 58 cents per diluted share, in the quarter that ended Oct. 29 compared with $30.1 million, or 60 cents per diluted share, during the year-ago period.
Sales grew to $2.3 billion from $2.1 billion.
“We are pleased with the progress we have made on our strategic initiatives, including the ongoing integration of our recent acquisitions and the sales reorganization, which was completed at the start of our first quarter,” Steven L. Spinner, UNFI’s president and CEO, said in a statement. “We believe these initiatives will enable us to continue to execute our strategy of building a national fresh distribution platform and capitalize on growth opportunities with new and existing customers in an operating environment that remains challenging due to deflationary pressures and competition.”

The company in a press release said sales were positively impacted by the acquisitions of Haddon House Food Products Inc., Global Organic/Specialty Source Inc., Nor-Cal Produce Inc. and Gourmet Guru Inc.
Guidance for fiscal 2017 remains unchanged from previous guidance outlined in September. The company expects sales between $9.43 billion and $9.6 billion, an increase of 11.3 percent to 13.3 percent compared with fiscal 2016.
Earnings per diluted share are expected to be between $2.53 and $2.63 compared with fiscal 2016 earnings per diluted share of $2.50.

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