Village Super Market (VLGE.A) Q2 2025 earnings summary

Executive summary

• Net income for Q2 FY2025 was $16.9 million, up 17% year-over-year; year-to-date net income rose 14% to $29.7 million compared to the prior year.

• Sales increased 4.2% in Q2 and 4.1% year-to-date, driven by a 2.3% and 2.4% rise in same store sales, respectively, and the opening of a replacement store.

• Same store digital sales grew 9% in Q2 and 8% year-to-date, reflecting ongoing digital channel expansion.

Financial highlights

• Q2 sales were $599.7 million, up from $575.6 million year-over-year; year-to-date sales reached $1.157 billion, up from $1.112 billion.

• Gross profit margin for Q2 was 28.35% (down 0.05 pts), while year-to-date margin improved to 28.68% (up 0.23 pts).

• Operating income for Q2 was $22.2 million, up from $18.4 million; year-to-date operating income was $38.1 million, up from $32.6 million.

• EPS for Class A shares: Q2 basic $1.27, diluted $1.14; year-to-date basic $2.23, diluted $2.01.

• Effective tax rate was 31.1% for both Q2 and year-to-date, slightly lower than the prior year.

Outlook and guidance

• Same store sales growth expected to range from 1.0% to 3.0% for fiscal 2025.

• Capital expenditures budgeted at $75 million for fiscal 2025, including new store construction and remodels.

• Board intends to continue quarterly dividends at $0.25 per Class A and $0.1625 per Class B share.

• Effective income tax rate for fiscal 2025 projected at 31.0%–32.0%.