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Ingles Markets, Incorporated, a North Carolina corporation (collectively with its subsidiaries, Ingles, or the Company, we, us or our ), is a leading supermarket chain in the southeast United States and operates a total of 194 supermarkets in North Carolina (72), Georgia (64), South Carolina (35), Tennessee (21), Virginia (1) and Alabama (1), excluding three stores that remain temporarily close…
Operating margin is thin at 2.20%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue declined 5.4% YoY. The question is whether this is cyclical or a structural shift.
Free cash flow declined 23% versus the prior year, cash generation momentum has weakened. Net debt of $177M represents 4.5x FCF, leverage limits flexibility.
Profitability & Returns
Revenue (TTM)
$5.40B
▼ -5.4% YoY
Net Income (TTM)
$104M
▼ -20.8% YoY
Op. Margin
2.71%
▼ -0.4pp YoY
ROIC
5.15%
▼ -1.2pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$151M
▼ -23.4% YoY
Op. Cash Flow (TTM)
$257M
▼ -41.3% YoY
Net Debt
$112M
Cash & Equiv.
$418M
5Y CAGR: +3.0%
5Y CAGR: -29.5%
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