Business
HF Foods Reports Record Third Quarter 2021 Financial Results
Net Revenue up 54% to $215.5 Million With Net Income Attributable to the Company of $7.9 Million and a 191% Increase in Adjusted EBITDA to $17.4 Million CITY
About this update from Hf Foods Group Inc.
[{"type":"text","content":"Net Revenue up 54% to $215.5 Million With Net Income Attributable to the Company of $7.9 Million and a 191% Increase in Adjusted EBITDA to $17.4 Million\nCITY OF INDUSTRY, Calif., Nov. 10, 2021 (GLOBE NEWSWIRE) -- HF Foods Group Inc. (NASDAQ: HFFG), a leading food distributor to Asian restaurants across the Southeast, Pacific and Mountain West regions of the United States (the “Company” or “HF Foods”), reported record financial results for the third quarter ended September 30, 2021. Third Quarter 2021 Financial Summary Net revenue increased 54.0% to $215.5 million compared to $139.9 million in the third quarter of 2020.Gross profit increased 66.6% to $41.9 million, or 19.4% of net revenue, from $25.2 million, or 18.0% of net revenue, in the third quarter of 2020.Net income attributable to the Company increased significantly to $7.9 million, or $0.15 per diluted share, compared to a net loss of $0.6 million, or $(0.01) per diluted share, in the third quarter of 2020.Adjusted EBITDA increased 190.9% to $17.4 million compared to $6.0 million in the third quarter of 2020. Management Commentary “The strong momentum of our business in the first half of 2021 strengthened in the third quarter,” said Peter Zhang, CEO of HF Foods. “We had remarkable growth across most financial metrics both on a year-over-year and sequential basis due to improving market conditions, and we are reaping the benefits of the proactive actions we took last year to right-size our business during the pandemic. In fact, our net revenue in the third quarter has already surpassed pre-COVID levels to approximately 105% in the month of September and has continued to remain strong into the fourth quarter, and our adjusted EBITDA for the third quarter is more than double the comparable quarter in 2019. “We remain optimistic about the long-term prospects of our business despite the setback in 2020. Although we will likely continue to face intermittent government restrictions on our restaurant customers' operations, we believe that our sales volume will maintain its strong momentum as consumers continue to adapt to living with COVID-19.” Mr. Zhang concluded, “As the market leader in servicing the Asian/Chinese restaurant sector, we believe we are differentiated from our competitors given our extensive footprint, strong vendor and customer relationships, and value-added s...