Ingles Markets 2025 Q3 Earnings Net Income Falls 17.4% Amid Revenue Decline

Ingles Markets reported its Q3 2025 earnings on August 7, 2025, with results falling short of the prior-year period. The company’s earnings and revenue both declined year-over-year, and no forward-looking guidance was provided.

Revenue
Revenue for the quarter dropped 3.4% to $1.35 billion compared to $1.39 billion in the same period a year earlier. Grocery sales totaled $478.31 million, while non-foods revenue reached $295.10 million. Perishables accounted for $357.75 million, and fuel revenue stood at $161.83 million. Additional segments, including other services, generated $53.23 million, bringing total revenue from unaffiliated customers to $1.35 billion.

Earnings/Net Income
Earnings per share (EPS) declined 17.5% to $1.41 in Q3 2025 from $1.71 in Q3 2024, while net income fell 17.4% to $26.20 million from $31.72 million. Despite the decline, the company has remained profitable for over 20 years in the same fiscal quarter, reflecting continued operational resilience.

Price Action
The stock gained 1.03% during the latest trading day but fell 2.07% for the week and declined 6.71% month-to-date.

Post-Earnings Price Action Review
A historical strategy of purchasing IMKTA shares on the day of earnings reports and holding for 30 days has underperformed, with a cumulative return of -26.2% over the past three years. This suggests the market has not rewarded the company’s earnings momentum in recent periods.

CEO Commentary
Robert P. Ingle II, Chairman of the Board, acknowledged the contributions of associates in maintaining customer satisfaction, despite operational challenges such as store closures from Hurricane Helene.

Guidance
The company expects fiscal 2025 capital expenditures to range between $120 million and $160 million. Ingles Markets believes it has sufficient resources, including a $150 million line of credit and internal cash flows, to fund operations. No additional guidance was provided for revenue, earnings, or operating performance.

Additional News
Within three weeks of the earnings report, Ingles Markets did not announce any mergers or acquisitions, nor any executive changes. The company also did not issue new dividend or share buyback plans. The most notable non-earnings update relates to ongoing store closures due to Hurricane Helene, with anticipated reopenings in late 2025 or 2026.