Natural Grocers Q1 net sales rise, affirms 2026 outlook

Overview

• Natural foods retailer's fiscal Q1 net sales rose 1.6% yr/yr

• Net income for fiscal Q1 increased 14% to $11.3 mln

• Adjusted EBITDA for fiscal Q1 rose 3.1% to $23.5 mln

Outlook

• Company affirms fiscal 2026 outlook with 6 to 8 new stores

• Natural Grocers expects fiscal 2026 diluted EPS of $2.00 to $2.15

• Company anticipates daily average comparable store sales growth of 1.5% to 4.0%

Result Drivers

• COMPARABLE STORE SALES - Co reported a $5.7 mln increase in comparable store sales, contributing to overall sales growth

• EXPENSE MANAGEMENT - Store expenses decreased 0.7% due to effective expense management, contributing to improved operating income

• PRICING STRATEGY - Co's Always Affordable pricing strategy reinforced its competitive position amid economic uncertainty, per Co-President Kemper Isely

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "strong buy"

• The average consensus recommendation for the miscellaneous specialty retailers peer group is "buy."

• Wall Street's median 12-month price target for Natural Grocers by Vitamin Cottage Inc is $54.00, about 99.6% above its February 4 closing price of $27.05

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release: ID:nPn8PmQWJa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.