United Natural Foods Inc (NYSE:UNFI) Q1 2020 Earnings Conference Call - Final Transcript

Dec 11, 2019 • 08:30 am ET


United Natural Foods Inc (NYSE:UNFI) Q1 2020 Earnings Conference Call - Final Transcript


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Ladies and gentlemen, thank you for standing by, and welcome to the UNFI First Quarter Earnings Call. [Operator Instructions] After the speakers' presentation, there will be a question-and-answer session, and instructions will follow at that time. [Operator Instructions]

I would now like to hand the call over to your speaker for today, Mr. Steve Bloomquist, Vice President of Investor Relations. Please go ahead, sir.

Steve Bloomquist

Good morning, everyone. Thank you for joining us in UNFI's First Quarter Fiscal 2020 Earnings Conference Call. By now you should have received a copy of the earnings release issued earlier this morning. The press release, webcast and a supplemental slide deck are available under the Investors section of the Company's website at www.unfi.com.

Joining me for today's call are Steve Spinner, our Chairman and Chief Executive Officer; Sean Griffin, our Chief Operating Officer; Chris Testa, President of UNFI; and John Howard, our Interim Chief Financial Officer. Steve and John will provide a business update, after which we'll take your questions.

Before we begin, I'd like to remind everyone that comments made by management during today's call may contain forward-looking statements. These forward-looking statements include plans, expectations, estimates and projections that might involve significant risks and uncertainties. These risks are discussed in the Company's earnings release and SEC filings. Actual results may differ materially from the results discussed in these forward-looking statements.

And lastly, I'd like to point out that during today's call, management will refer to certain non-GAAP financial measures. Definitions and reconciliations to the most comparable GAAP financial measures are included in our press release.

I'll now turn the call over to Steve.

Steven L. Spinner

Thank you, Steve. Good morning, everyone, and thanks for joining us on today's first quarter call. These are truly exciting times. In the week before Thanksgiving, UNFI hit a record day, in terms of cases and volume, moving approximately 5 million cases, representing more than a $100 million in sales on a single day and we did it with a high level of service and strong on-time delivery performance despite challenging weather in much of the United States. In early August, we entered the new fiscal year operating an unmatched distribution network that carries the broadest variety of products and services in our industry, providing our customers access to more than 250,000 SKUs and critical retail services needed to run their operations.

Our new sales structure enables cross-selling by creating a singular organization responsible for the entire portfolio. The cross-sell wins to-date represent a meaningful portion of total revenue growth, and I'm really pleased with the progress we're making. Our business model is providing UNFI with truly distinct competitive advantages for our customers and our company, and with our learnings from the last year and our focus on driving the business forward, we are confident in UNFI's positioning today and for the future.

Net sales totaled $6.02 billion, an increase of $3.2 billion over last year, including an incremental $3.1 billion from conventional, which was included for only one week last year.