10-Q · June 3, 2026
Village Super Market, Inc. reported Q3 results with revenue of $572.6M, marking a 1.6% increase year-over-year. Gross margin decreased to 28.08%, with net income dropping to $8.96M from $11.16M a year earlier. EPS came…
Earnings analysis · 10-K
VLGEA earnings analysis
Filed October 8, 2026 · Our reading of the company's report
The latest report
Village delivered solid top-line and cash-flow growth in fiscal 2026, aided by 2.2% same-store sales growth, replacement-store openings and its Wakefern purchasing platform. However, profitability weakened: gross margin…
Read full summary
Village delivered solid top-line and cash-flow growth in fiscal 2026, aided by 2.2% same-store sales growth, replacement-store openings and its Wakefern purchasing platform. However, profitability weakened: gross margin declined to 28.17%, operating margin to 2.68%, net income to $52.5 million from $56.4 million, and diluted Class A EPS to $3.54 from $3.81. The fiscal 2027 outlook is constructive but modest, with 0.5%-2.0% same-store sales growth and $80.0 million of planned capital spending, while Wakefern litigation, labor exposure and competitive pressure constrain the outlook.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $3.54
- Segment
- Single reportable retail segment: fiscal 2026 sales of $2.406 billion; Center Store $1.412 billion (58.7%), Fresh $876.1 million (36.4%), Pharmacy $103.5 million (4.3%), and Other $14.0 million (0.6%).
What stood out
-
Sales growth resumed
Village reported fiscal 2026 sales of $2.406 billion, up from $2.321 billion in fiscal 2025 and $2.237 billion in fiscal 2024. Growth was supported by 2.2% same-store sales growth and the Watchung and East Orange replacement stores.
-
Wakefern provides purchasing scale
The Wakefern relationship remains a key scale advantage: Village is the cooperative's second-largest member, owns 13.0% of Wakefern, purchases 85% of primary merchandise requirements from it, and received $41.8 million of patronage dividends and other vendor allowances in fiscal 2026.
-
Replacement-store pipeline
The store-refresh roadmap continued with the May 27, 2026 opening of a 69,000-square-foot East Orange, New Jersey ShopRite replacing a 50,000-square-foot store. Management expects a Galloway replacement store in mid-fiscal 2027 and a new Manhattan Fairway store in late fiscal 2027.
-
Operating cash flow improved
Cash generation improved: operating cash flow increased to $108.8 million from $93.3 million in fiscal 2025 and $80.9 million in fiscal 2024. Fiscal 2026 capital expenditures were $53.7 million, while cash and equivalents increased to $130.8 million from $110.7 million.
-
Dividends and debt reduction
Capital allocation remained shareholder-friendly while funding expansion: Village paid $13.336 million of dividends in fiscal 2026 and repurchased or received $8.163 million of Class A shares for restricted-stock tax withholding. The company also reduced debt from $58.0 million to $54.1 million.
-
Measured fiscal 2027 investment
The fiscal 2027 outlook calls for 0.5%-2.0% same-store sales growth and $80.0 million of capital spending, including the Galloway replacement, Manhattan Fairway store, remodels, technology, facility upgrades and solar-panel installations.
What to watch
-
Wakefern litigation and dependency
The Wakefern dispute materially escalated during fiscal 2026: Village filed a Third Amended Complaint on June 15, 2026, Wakefern filed amended counterclaims on June 17, 2026, and Wakefern separately sued over the Fairway and Gourmet Garage marks on March 20, 2026. Village states it cannot determine the probability of outcome or reasonably possible loss; it also purchases 85% of primary merchandise requirements from Wakefern and holds $231.1 million of Wakefern notes receivable and demand deposits.
-
Union negotiations and pension exposure
Labor and benefit costs remain exposed to collective bargaining: approximately 91% of the company’s employees are covered by collective bargaining agreements, approximately 12% of associates are represented by unions whose contracts have expired or expire within one year, and two participating pension plans are in the red zone. Fiscal 2026 contributions to multi-employer pension plans were $5.044 million.
-
Competition pressures thin margins
Competitive disruption is broadening beyond traditional grocery rivals. The filing identifies online retailers, delivery services and emerging AI-powered agentic shopping tools as competitive threats; Village may need additional promotions, digital investment or price reductions. Fiscal 2026 gross margin declined to 28.17% from 28.57%, while operating margin fell to 2.68% from 3.11%.
Management's outlook
The 10-K provides operating outlook rather than revenue or EPS guidance: fiscal 2027 same-store sales are expected to increase 0.5%-2.0%, capital expenditures are budgeted at $80.0 million, and the effective tax rate is expected to be 31.0%-32.0%. The Board intends to continue quarterly dividends at $0.25 per Class A share and $0.1625 per Class B share, subject to Board discretion.
Earlier filings 4
10-Q · March 4, 2026
Village Super Market reported a stronger second quarter with sales of $640,959,000 and diluted EPS of $1.21, up from $599,651,000 and $1.14 in the prior-year quarter. Gross margin slipped slightly to 28.07% while…
10-K · October 9, 2025
Village Super Market reported fiscal 2025 sales of $2,320,690 (dollars in thousands) and net income of $56,380, driven by a 2.1% same-store-sales increase and margin improvement (operating income 3.11% vs 2.78% prior…
10-Q · June 4, 2025
Village Super Market reported 13-week sales of $563,669,000, up from $546,396,000 a year ago, with gross profit of $162,181,000 (gross margin 28.8%) and operating income of $13,725,000 (operating margin 2.4%). Diluted…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.