#United States #Lakewood #Natural Grocers #Vitamin Cottage #organic groceries

Natural Grocers Reports Impressive Fiscal 2025 Results

Natural Grocers by Vitamin Cottage, Inc. (NYSE: NGVC) recently shared its impressive financial performance for the fourth quarter and fiscal year ending September 30, 2025. With record sales and profitability, the retailer continues to build upon its reputation as a leading provider of high-quality natural and organic products.

Fiscal 2025 Highlights

The company's fiscal results reflected a robust growth trajectory, with total net sales rising by 7.2% to an impressive $1.33 billion compared to the previous year. Daily average comparable store sales also climbed, showcasing a 7.3% increase. This momentum marks the 22nd consecutive year of positive sales growth for the retailer, highlighting its resilience even amid economic uncertainty.

In terms of profitability, Natural Grocers reported a net income of $46.4 million, representing a significant 36.9% increase from fiscal 2024, and diluted earnings per share climbed to $2.00. Adjusted EBITDA grew by 17.5%, totaling $97.9 million. These metrics speak volumes about the company's successful strategies and customer appeal.

Fourth Quarter Insights

Specifically focusing on the fourth quarter, the company experienced a 4.2% increase in net sales, amounting to $336.1 million. This growth was fueled by both a 4.2% rise in daily average comparable store sales and contributions from recently opened locations. Notably, net income surged by 31.0%, with diluted earnings per share reaching $0.51, which exceeded pre-release guidance.

CEO Kemper Isely expressed satisfaction with the quarter's results and emphasized the company’s commitment to maintaining affordable pricing while delivering quality products. “Our customers prioritize health and nutrition, and our range of offerings is tailored to those values,” he stated.

To further reward shareholders, Natural Grocers announced a 25% increase in its quarterly cash dividend to $0.15 per common share, reflecting confidence in the company’s financial health and growth prospects.

Strategic Growth Plans

Looking ahead, Natural Grocers aims to continue its expansion with plans to open six to eight new stores in fiscal 2026. Isely noted that the quality of the company's store pipeline positions them well for future growth. Additionally, the company will focus on store relocations and remodels to enhance customer experience while ensuring its existing locations remain competitive.

Moreover, the emphasis on maintaining a strong balance sheet, without any outstanding debt on its revolving credit facility, allows Natural Grocers to pursue strategic initiatives in a continually evolving retail landscape.

Conclusion

In summary, Natural Grocers by Vitamin Cottage stands out in the competitive organic grocery sector by demonstrating consistent growth in sales and profitability. With strategic expansion plans in place and an unwavering commitment to quality and affordability, the company is positioned well for a promising future in the health-conscious retail market. This performance not only underscores the strong demand for organic products but also highlights the company's efforts to meet and exceed customer expectations.

The company will host an earnings conference call to discuss these results in detail, allowing investors and analysts to gain deeper insights into Natural Grocers' plans and ongoing progress. The future looks bright for this expanding grocery retailer, and stakeholders can expect continued positive developments in the coming fiscal year.