Grocery Outlet Holding Corp. 8K

Grocery Outlet Holding Corp. announced second quarter and year-to-date fiscal 2026 results, including modest sales growth but a large non-cash goodwill impairment and restructuring charges tied to an Optimization Plan, while modestly raising full-year 2026 guidance for sales, margins, and adjusted earnings.

On August 12, 2026, Grocery Outlet Holding Corp. reported its financial results for the second quarter and first 26 weeks of fiscal 2026, highlighting modest net sales growth (up 1.1% for the quarter and 2.3% year-to-date) alongside slight comparable store sales declines, lower gross margins, and restructuring activity under a previously announced Optimization Plan that drove store closures and related charges. For the quarter ended July 4, 2026, the company generated $1.19 billion in net sales, $15.8 million of operating income including $5.4 million in net restructuring charges, and $5.6 million of net income ($0.06 per diluted share), while adjusted EBITDA was $65.7 million. For the first half of fiscal 2026, Grocery Outlet reported $2.36 billion in net sales and an operating loss of $162.2 million, driven primarily by a $158.0 million non-cash goodwill impairment charge and $23.6 million of net restructuring charges associated with the Optimization Plan, resulting in a net loss of $174.7 million, even as adjusted net income and adjusted EBITDA remained positive. The company closed all 36 designated underperforming “Closure Stores,” largely completed related independent operator agreement terminations and lease exits, and indicated that total restructuring charges tied to the Optimization Plan are expected to range between $15 million and $24 million across fiscal 2026 and 2027, with substantial completion by the first quarter of fiscal 2027. Management also revised its full-year fiscal 2026 guidance, raising net sales, gross margin, adjusted EBITDA, and diluted adjusted EPS ranges (while maintaining net new store opening and capital expenditure targets), and held a conference call on August 12, 2026 to discuss the results and outlook, emphasizing efforts to strengthen long-term profitability, cash flow, and support for independent operators.

Filing Facts

CIK

1771515

Ticker

-

Form

8K

Source Type

sec

Accession

0001771515-26-000065

Alert Tier

7