Ingles Reports Increased Sales for Q2, First Half of FY23

Regional grocer upped capital expenditures for the time periods

5/4/2023

Ingles Chairman Robert P. Ingle II says he is pleased with the food retailer's Q2 results.

Ingles Markets Inc. has released its financial report for the three and six months ended March 25. The regional grocer experienced increased sales for both time periods, posting net sales of $1.381 billion for second quarter, a year-over-year increase of 0.25%, and net sales totaling $2.87 billion for the first half of 2023, an increase of 3.8% compared to the first half of fiscal 2022.

Ingles’ Q2 also brought gross profit of $325.9 million, or 23.6% of sales, compared to $348.6 million, or 25.3% of sales in Q2 of 2022. Operating and administrative expenses totaled $268.9 million, as compared with a year-over-year total of $254.7 million.

Net income totaled $40.5 million for Q2, compared to $68.6 million for Q2 of fiscal 2022. Basic and diluted earnings per share for Class A Common Stock were $2.18 and $2.13, respectively, for the quarter, as compared with $3.70 and $3.61, respectively, for the year-over-year quarter.

“We are pleased with our results and appreciate the hard work and dedication of our customer-driven associates, who helped us provide affordable, high-quality products in an inflationary environment,” said Chairman of the Board Robert P. Ingle II.

For the first half of FY23, net sales totaled $2.87 billion, an increase of 3.8% compared with $2.77 billion in the first half of FY22. Gross profit was down slightly, totaling $697.1 million, as compared with $699.1 million for the first six months of last fiscal year. Gross profit, as a percentage of sales, was 24.3% for the first half of fiscal 2023, compared with 25.3% for the first half of FY22.

Capital expenditures for the first half of FY23 were up significantly from the same time period in FY22, totaling $91.4 million compared with $34.1 million last fiscal year.

Operating 198 supermarkets in six southeastern states, as well as a fluid-dairy facility that supplies its supermarkets and unaffiliated customers, Asheville, N.C.-based Ingles is No. 58 on The PG 100, Progressive Grocer’s 2022 list of the top food and consumables retailers in North America.