Exhibit 99.1

 

 
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PRESS RELEASE  

 

 

Ingles Markets, Inc.

Contact: Pat Jackson, Chief Financial Officer

pjackson@ingles-markets.com

(828) 669-2941 (Ext. 223)

August 7, 2025

For Immediate Release

 

 

 

Ingles Markets, Incorporated Reports Results for Third Quarter

and First Nine Months of Fiscal 2025

 

 

ASHEVILLE, N.C. - Ingles Markets, Incorporated (NASDAQ: IMKTA) today reported results for the three and nine months ended June 28, 2025.

 

Robert P. Ingle II, Chairman of the Board, stated, “We appreciate our associates as they continue to deliver value and a great shopping experience for our customers.”

 

Third Quarter Results

 

Net sales totaled $1.35 billion for the quarter ended June 28, 2025, compared with $1.39 billion for the quarter ended June 29, 2024.

 

Gross profit for the third quarter of fiscal 2025 totaled $327.3 million, or 24.3% of sales. Gross profit for the third quarter of fiscal 2024 was $329.8 million, or 23.7% of sales.

 

Operating and administrative expenses for the third quarter of fiscal 2025 totaled $290.1 million compared with $286.3 million for the third quarter of fiscal 2024.

 

Interest expenses totaled $4.9 million for the third quarter of fiscal 2025 compared with $5.4 million for the third quarter of fiscal 2024.

 

Net income totaled $26.2 million for the third quarter of fiscal 2025, as compared with $31.7 million for the third quarter of fiscal 2024. Basic and diluted earnings per share for Class A Common Stock were $1.41 and $1.38, respectively, for the quarter ended June 28, 2025, as compared with $1.71 and $1.67, respectively, for the quarter ended June 29, 2024. Basic and diluted earnings per share for Class B Common Stock were each $1.28 for the quarter ended June 28, 2025, as compared with $1.55 for the quarter ended June 29, 2024.

 

Nine Month Results

 

Net sales totaled $3.97 billion for the nine months ended June 28, 2025, as compared with $4.24 billion for the nine months ended June 29, 2024.

 

Gross profit for the nine months ended June 28, 2025, totaled $939.4 million, or 23.7% of sales. Gross profit for the nine months ended June 29, 2024, totaled $1.0 billion, or 23.6% of sales.

 

Operating and administrative expenses totaled $860.0 million for the nine months ended June 28, 2025, as compared to $860.8 million for the nine months ended June 29, 2024.

 

Interest expense totaled $14.7 million for the nine-month period ended June 28, 2025, and $16.7 million for the nine-month period ended June 29, 2024. Total debt as of June 28, 2025, was $518.0 million compared to $535.9 million as of June 29, 2024.

 

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PRESS RELEASE  

 

Net income totaled $57.9 million for the nine-month period ended June 28, 2025, compared with $107.0 million for the nine-month period ended June 29, 2024. Basic and diluted earnings per share for Class A Common Stock were $3.11 and $3.05, respectively, for the nine months ended June 28, 2025, as compared with $5.76 and $5.63, respectively, for the nine months ended June 29, 2024. Basic and diluted earnings per share for Class B Common Stock were each $2.83 for the nine months ended June 28, 2025, as compared with $5.23 for the nine months ended June 29, 2024.

 

Capital expenditures for the nine months ended June 28, 2025, nine-month period totaled $91.4 million, as compared with $143.0 million for the nine months ended June 28, 2024. Capital expenditures for the entire fiscal year 2025 are expected to be approximately $120 million to $160 million.

 

As of June 28, 2025, the Company had outstanding only a single letter of credit in the amount of $500,000 under its $150.0 million line of credit and otherwise had no borrowings outstanding thereunder. The Company believes its financial resources, including its line of credit and other internal and external sources of funds, will be sufficient to meet planned capital expenditures, debt service and working capital requirements for the foreseeable future.

 

About Ingles Markets, Incorporated

 

Ingles Markets, Incorporated is a leading grocer with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 197 supermarkets. At June 28, 2025, three of the four stores temporarily closed due to damage sustained in Hurricane Helene remained closed but are expected to reopen at various times in late 2025 or in 2026. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Ingles supermarkets and unaffiliated customers. To learn more about Ingles Markets visit ingles-markets.com.

 

Cautionary Note Regarding Forward-Looking Statements

 

This press release includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may address, among other things, our expected financial and operational results and the related assumptions underlying our expected results. These forward-looking statements are distinguished by use of words such as “anticipate,” “aim,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “will,” “would” and the negative of these terms, and similar references to future periods. These statements are based on management’s current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations due to, among other things: business and economic conditions generally in the Company’s operating area, including inflation or deflation; shortages of labor, distribution capacity, and some product shortages; inflation in food, labor and gasoline prices; the Company’s ability to successfully implement our expansion and operating strategies; pricing pressures and other competitive factors, including online-based procurement of products the Company sells; sudden or significant changes in the availability of gasoline and retail gasoline prices; the maturation of new and expanded stores; general concerns about food safety; the Company’s ability to manage technology and data security; the availability and terms of financing; and increases in costs, including food, utilities, labor and other goods and services significant to the Company’s operations. Detailed information about these factors and additional important factors can be found in the documents that the Company files with the Securities and Exchange Commission, such as Form 10-K, Form 10-Q and Form 8-K. Forward-looking statements speak only as of the date the statements were made. The Company does not undertake an obligation to update forward-looking information, except to the extent required by applicable law.

 

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INGLES MARKETS, INCORPORATED

(Amounts in thousands except per share data)

 

Unaudited Financial Highlights

Condensed Consolidated Statements of Income (Unaudited)

 

   

Three Months Ended

   

Nine Months Ended

 
   

June 28,

   

June 29,

   

June 28,

   

June 29,

 
   

2025

   

2024

   

2025

   

2024

 
                                 

Net sales

  $ 1,346,222     $ 1,393,539     $ 3,965,609     $ 4,242,081  

Gross profit

    327,330       329,758       939,442       1,000,444  

Operating and administrative expenses

    290,131       286,250       859,985       860,839  

Gain from sale or disposal of assets

    143       643       3,097       8,982  

Income from operations

    37,342       44,151       82,554       148,587  

Other income, net

    2,769       3,554       8,909       10,542  

Interest expense

    4,856       5,359       14,746       16,653  

Income tax expense

    9,056       10,624       18,824       35,462  

Net income

  $ 26,199     $ 31,722     $ 57,893     $ 107,014  
                                 

Basic earnings per common share – Class A

  $ 1.41     $ 1.71     $ 3.11     $ 5.76  

Diluted earnings per common share – Class A

  $ 1.38     $ 1.67     $ 3.05     $ 5.63  

Basic earnings per common share – Class B

  $ 1.28     $ 1.55     $ 2.83     $ 5.23  

Diluted earnings per common share – Class B

  $ 1.28     $ 1.55     $ 2.83     $ 5.23  
                                 

Additional selected information:

                               

Depreciation and amortization expense

  $ 30,678     $ 29,509     $ 92,214     $ 87,532  

Rent expense

  $ 1,779     $ 2,534     $ 5,507     $ 7,591  

 

Condensed Consolidated Balance Sheets (Unaudited)

 

   

June 28,

   

Sept. 28,

 
   

2025

   

2024

 

ASSETS

               

Cash and cash equivalents

  $ 336,087     $ 353,688  

Receivables-net

    102,278       78,266  

Inventories

    487,545       462,085  

Other current assets

    21,760       31,509  

Property and equipment-net

    1,524,320       1,526,708  

Other assets

    75,159       75,627  

TOTAL ASSETS

  $ 2,547,149     $ 2,527,883  
                 

LIABILITIES AND STOCKHOLDERS' EQUITY

               

Current maturities of long-term debt

  $ 17,453     $ 17,521  

Accounts payable, accrued expenses and current portion of other long-term liabilities

    283,965       303,101  

Deferred income taxes

    67,575       63,767  

Long-term debt

    500,558       515,102  

Other long-term liabilities

    83,741       82,643  

Total Liabilities

    953,292       982,134  

Stockholders' equity

    1,593,857       1,545,749  

TOTAL LIABILITIES AND

               

STOCKHOLDERS' EQUITY

  $ 2,547,149     $ 2,527,883  

 

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