SpartanNash Company (the “Company”) (Nasdaq: SPTN) today reported financial results for the 16-week first quarter ended April 19, 2014.
The Company’s fiscal year end was changed from the last Saturday in March to the Saturday nearest to December 31, effective beginning with the transition period ended December 28, 2013. Beginning with fiscal 2014, the Company’s interim quarters consist of 12 weeks except for the first quarter which consists of 16 weeks. As a result of this change, financial results for the current quarter ended April 19, 2014 are for 16 weeks. In addition, the Company’s Consolidated Statements of Earnings and Consolidated Statements of Cash Flows for the prior year include an unaudited 16-week period ended April 27, 2013. The prior year financial statements were recast to the new fiscal year format based upon the original fiscal period end dates. As a result, the period end date for the prior year financial statements differs with the current year by one week and the comparable prior year will consist of 51 weeks with the fourth quarter comprised of 11 weeks.
First Quarter Results
Consolidated net sales for first quarter increased 199.1 percent to $2.3 billion compared to $780.3 million last year, primarily due to $1.5 billion in sales generated as a result of the November 2013 merger with Nash Finch Company (“Nash Finch”), as well as a comparable store sales increase of 2.5 percent and new business gains in the food distribution segment. In addition, first quarter sales benefited from the later timing of the Easter holiday, which resulted in the post-Easter week of low volume sales moving out of the first quarter and into the second quarter this year accounting for an estimated 70 basis points in comparable store sales.
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) for the quarter increased 82.6 percent to $64.9 million, or 2.8 percent of net sales, compared to $35.6 million, or 4.6 percent of net sales last year. Adjusted EBITDA is a non-GAAP financial measure. Please see the financial tables at the end of this press release for a reconciliation of Adjusted EBITDA to net earnings, and a reconciliation of each non-GAAP financial measure to the most directly comparable measure prepared and presented in accordance with GAAP.