Village Super Market Reports $582.6 Million Revenue with 4.5% Growth, Net Income Declines

Village Super Market, Inc. reported a revenue of $582.6 million for the 13 weeks ending October 25, 2025, marking a 4.5% increase from $557.7 million in the same period last year. The growth in sales was attributed to a 2.5% increase in same-store sales, driven by digital sales growth and the opening of a new replacement store in Watchung, New Jersey. However, the company experienced a decline in net income, which fell to $12.0 million from $12.8 million year-over-year. This resulted in a decrease in diluted earnings per share for Class A common stock to $0.81 from $0.86, and for Class B common stock to $0.59 from $0.63.

The company's gross profit margin decreased to 28.31% from 29.03%, primarily due to lower patronage dividends and rebates from Wakefern, decreased departmental gross margins, and increased promotional spending. Operating and administrative expenses as a percentage of sales improved slightly, decreasing to 24.28% from 24.66%. The company reported a decrease in interest expense, attributed to lower average outstanding debt balances, while interest income also fell due to lower interest rates on variable rate notes receivable from Wakefern.

In terms of operational developments, Village Super Market operates 34 supermarkets across New Jersey, New York, Maryland, and Pennsylvania. The company has been actively remodeling stores and expanding its footprint, with plans for a new replacement store in East Orange, New Jersey, expected to open in fiscal 2026. The company’s working capital increased to $31.5 million as of October 25, 2025, compared to $23.8 million at the end of the previous fiscal period, reflecting improved liquidity.

Village Super Market continues to face competitive pressures in the supermarket industry, characterized by narrow profit margins and a variety of retail formats. The company is focused on enhancing customer service and expanding its digital sales capabilities. Looking ahead, management expects same-store sales growth to range between 1.0% and 3.0% for fiscal 2026, with a capital expenditure budget of $75 million aimed at store renovations and new store openings. The company remains committed to maintaining its dividend payments and believes its current cash reserves and operating cash flow will be sufficient to meet its liquidity needs in the foreseeable future.