SpartanNash Co. shares hit a 52-week low following a sharp drop in profit in the latest quarter.
The company, which distributes grocery products to military commissaries in the U.S., posted earnings of $650,000, or 2 cents a share, for the fourth quarter ended Dec. 31, compared to $22.2 million, or 62 cents a share, a year earlier. Adjusted earnings were 28 cents a share, below analysts’ estimates of 32 cents.
Sales rose to $2.31 billion from $2.09 billion. Analysts polled by FactSet expected $2.25 billion. The company said its sales growth was driven by increases in both its wholesale and retail segments, which were favorably impacted by inflation.
SpartanNash also issued guidance for fiscal 2023, calling for sales between $9.90 billion and $10.20 billion as well as adjusted earnings between $2.20 and $2.35 a share. Analysts polled by FactSet expected $9.91 billion in revenue and adjusted earnings of $2.61 a share.
Shares sank 20% to $25.22. The stock is on pace for its lowest close since February 2022 and its largest percentage decrease since March 2020.