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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: IntoOLEDs who wrote (76265)	10/1/2024 12:36:23 PM
From: E_K_S	Read Replies (1) \| Respond to of 78476

Re: UNFI Here are the details from their report United Natural Foods, Inc. Reports Fourth Quarter and Full Year Fiscal 2024 Results Are they out of the woods? It's a show me stock now. If they can maintain and/or expand margins as they grow revenues and reduce debt, it's a start. Looks like management has a detailed 3 year plan Introducing three-year business plan and financial objectives driving customer and supplier value, margin expansion, free cash flow generation and deleveraging . Free Cash Flow – During the fourth quarter of 2024, free cash flow was $71 million, compared to $117 million in last year’s fourth quarter. This quarter’s results reflect net cash provided by operating activities of $191 million less payments for capital expenditures of $120 million Net Leverage – Total outstanding debt, net of cash, ended the quarter at $2.06 billion, reflecting an increase of $115 million during fiscal 2024. The net debt to adjusted EBITDA leverage ratio was 4.0x as of August 3, 2024. Liquidity – As of August 3, 2024, total liquidity was approximately $1.28 billion, consisting of approximately $40 million in cash, plus the unused capacity of approximately $1.24 billion under the Company’s asset-based lending facility. --------------------------------------------------------------- Sold 20% of my High Cost shares which got my avg cost down to $9/share. Position still small about 0.6% portfolio position. Going to hold these shares into Q2 2025 to see if the next three quarters they can show growing FCF, debt reduction and increasing revenues. I always thought that UNFI's acquisition a few years ago that expanded their distribution footprint could be a good acquisition for Amazon. Their largest customer is Whole Foods. If Amazon ever wanted to expand their direct to consumer grocery delivery business, UNFI would be an important component to achieve this.