United Natural Foods Q2 sales miss estimates on conventional decline

United Natural Foods

10/03/2026 11:10

Overview

Grocery wholesaler's Q2 fiscal 2026 revenue missed analyst expectations

Adjusted EPS for Q2 fiscal 2026 beat analyst expectations

Company repurchased nearly 750,000 shares for approximately $25 mln

Outlook

Company updates fiscal 2026 net sales outlook to $31.0 bln - $31.4 bln

Company expects fiscal 2026 adjusted EPS to be $2.30 - $2.70

Company projects fiscal 2026 free cash flow to increase to $330 mln

Result Drivers

NETWORK OPTIMIZATION - Co attributed improved profitability and efficiency to network optimization and lean processes

CONVENTIONAL SALES DECLINE - Decrease in conventional sales due to transition out of Allentown distribution center

OPERATING EXPENSES - Operating expenses declined nearly 6% due to cost-saving initiatives and increased productivity

Company press release: ID:nBw4YkLva

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Miss
$7.95 bln
$8.11 bln (9 Analysts)
Q2 Adjusted EPS
Beat
$0.62
$0.51 (10 Analysts)
Q2 EPS
$0.31
Q2 Net Income
$20 mln
Q2 Adjusted EBITDA
$179 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the food retail & distribution peer group is "buy."

Wall Street's median 12-month price target for United Natural Foods Inc is $40.00, about 3% above its March 9 closing price of $38.84

The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 17 three months ago

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

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)