LAKEWOOD, CO - Natural Grocers by Vitamin Cottage, Inc. announced results for its third quarter of fiscal 2025 ended June 30, 2025.

Highlights for Third Quarter Fiscal 2025 Compared to Third Quarter Fiscal 2024

• Net sales increased 6.3% to $328.7 million;
• Daily average comparable store sales increased 7.4%, and 14.6% on a two-year basis;
• Net income increased 26.0% to $11.6 million, with diluted earnings per share of $0.50; and
• Adjusted EBITDA increased 10.1% to $24.4 million.

"Our third quarter performance exceeded our expectations, and we again delivered outstanding results across all key metrics, including daily average comparable sales growth of 7.4%. We believe that our value offering of high-quality, natural, and organic products at Always AffordableSM prices resonates with consumers' increasing prioritization of health and wellness, including food and nutrition," said Kemper Isely, Co-President, in a recent release. "Strong sales combined with effective promotions and enhanced store productivity helped drive a 50 basis point improvement in our operating margin, along with a 25% increase in diluted earnings per share. Based on the strong third quarter results, we are increasing our fiscal 2025 outlook for daily average comparable store sales growth and diluted earnings per share."

Mr. Isely added, "In June, our primary distributor, United Natural Foods, Inc. (UNFI), experienced a cybersecurity incident that temporarily impacted UNFI's ability to fulfill orders and distribute products to our stores. In the weeks following the incident, we collaborated with UNFI to minimize disruptions and restore normalized levels of product distribution to our stores. We estimate that the disruption to our operations adversely impacted our third quarter fiscal 2025 daily average comparable store sales by 1.0 to 1.5 percentage points, and diluted earnings per share by $0.04 to $0.05. As of the date of this release, our operations have substantially normalized, and we do not expect the disruption to materially impact our operations or financial performance in the future."

In addition to presenting the financial results of Natural Grocers by Vitamin Cottage, Inc. and its subsidiaries (collectively, the Company) in conformity with U.S. generally accepted accounting principles (GAAP), the Company is also presenting EBITDA and Adjusted EBITDA, which are non-GAAP financial measures. The reconciliation from GAAP to these non-GAAP financial measures is provided at the end of this earnings release.

See the full report here.