Business
HF Foods Reports Second Quarter 2024 Financial Results
Increase in Net Revenue, Gross Profit, Gross Profit Margin, Net Income and Adjusted EBITDA Pre-Recorded Earnings Call Webcast Available on Investor Relations
About this update from Hf Foods Group Inc.
[{"type":"text","content":"Increase in Net Revenue, Gross Profit, Gross Profit Margin, Net Income and Adjusted EBITDA Pre-Recorded Earnings Call Webcast Available on Investor Relations Website LAS VEGAS, Aug. 06, 2024 (GLOBE NEWSWIRE) -- HF Foods Group Inc. (NASDAQ: HFFG) (“HF Foods” or the “Company”), a leading food distributor to Asian restaurants across the United States, reported its unaudited financial results for the second quarter and six months ended June 30, 2024. Second Quarter 2024 Financial Results Net revenue increased 3.4% to $302.3 million compared to $292.3 million in the prior year.Gross profit increased 3.6% to $52.5 million compared to $50.7 million in the prior year. Gross profit margin increased to 17.4% from 17.3% in the prior year.Net income (loss) improved to net income of $0.2 million compared to net loss of $1.6 million in the prior year.Adjusted EBITDA increased 26.4% to $10.6 million compared to $8.4 million in the prior year. Six Months 2024 Financial Results Net revenue increased 2.0% to $598.0 million compared to $586.2 million in the prior year.Gross profit increased 2.0% to $102.9 million compared to $100.8 million in the prior year. Gross profit margin of 17.2% was flat compared to the prior year.Net loss improved to $0.3 million compared to $7.4 million in the prior year.Adjusted EBITDA increased 36.6% to $19.3 million compared to $14.1 million in the prior year. Management Commentary “We are excited to report our second quarter results, in which we delivered improvements on all our key financial metrics,” said Peter Zhang, Chief Executive Officer of HF Foods. “We believe this is the result of the progress made through our operational transformation plan. For example, we recently restored a cross dock operation in our Northern California market which has enabled us to better serve our customers in the area. In addition, we launched our modern ERP solution at one distribution center, and expect the rest of our scheduled ERP implementation to be completed by the end of the year. We are extremely pleased to have settled the legacy SEC matter related to former HF Foods executives, in which the SEC credited the Company’s collaboration efforts throughout the matter. The management team and our board are fully aligned and excited about what the future holds. Our team’s remarkable execution of our transformation initiative, comb...