United Natural Foods' Stock Tumbles After Profit Miss, Outlook Cut

Shares of United Natural Foods tumbled 9.1% in active after-hours trade Monday, after the food distributor missed fiscal second-quarter profit expectations, and lowered its full-year outlook. For the quarter ended Jan. 31, net earnings slipped to $27.84 million, or 55 cents a share, from $27.95 million, or 56 cents a share, in the same period a year ago. Excluding non-recurring items, adjusted earnings per share came in at 65 cents, missing the FactSet consensus analyst estimate of 67 cents. Sales rose 23% to $2.02 billion, matching the FactSet consensus. For the full fiscal year, the company updated its revenue outlook to $8.19 billion to $8.29 billion from $8.13 billion to $8.38 billion to reflect the negative impact of a decline in the Canadian dollar and the $7.7 million owed to a customer to reflect an incorrect calculation of contractual obligations. The net earnings-per-share estimate was cut to $2.81 to $2.90 from $2.88 to $3.01. The stock had gained 7% in the past three months through Monday's close, while the S&P 500 had advanced 1%.