United Natural Foods Posts In-Line Q4 Profit, Names New CFO

reported in-line earnings for its fiscal fourth quarter on Tuesday. The company also announced that Chief Financial Officer Mark Shamber will be replaced by Michael Zechmeister as of mid-October. The Providence, Rhode Island-based company reported a quarterly profit of $36.1 million, or $0.72 per share, compared to $33.4 million, or $0.67 per share, in the year-ago period. Its revenue surged 16.8 percent year-over-year to $2.06 billion from $1.76 billion. The recent quarter included sales of $221.7 million from its acquisition of Tony's Fine Foods. However, analysts were expecting earnings of $0.72 per share on revenue of $2.06 billion. Its gross margin shrank to 15.3 percent from 16.4 percent, while operating expenses rose 5.2 percent to $251.3 million. Operating income climbed 26.9 percent to $65.1 million from $51.3 million. "During fiscal 2015 we completed the build out of our distribution network, preparing us for a new phase of growth. With this additional capacity, particularly within perishables, we are poised to capitalize on increasing demand for fresh and distinctive products," said Steven Spinner, President and Chief Executive Officer. The company affirmed its outlook for the current fiscal year. United Natural Foods shares gained 1.26 percent to $51.31 in the after-hours trading session.