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Hf Foods Group Inc
HF Foods Reports Solid Third Quarter 2025 Financial Results
Business
Nov 10 2025
18 min read

HF Foods Reports Solid Third Quarter 2025 Financial Results

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Net Revenue increased 2.9% to $307.0 million
GAAP Net Loss decreased 77.2% to $0.9 million
Adj. EBITDA up 42% to $11.7 million

LAS VEGAS, Nov. 10, 2025 (GLOBE NEWSWIRE) -- HF Foods Group Inc. (NASDAQ: HFFG) (“HF Foods” or the “Company”), a leading distributor of international foodservice solutions to Asian restaurants and other businesses across the United States, today announced results for the third quarter ended September 30, 2025.

Third Quarter 2025 Financial Results

(In thousands, except per share amounts)

 

Three Months Ended September 30, 2025

 

Change over Prior Year

 

Nine Months Ended September 30, 2025

 

Change over Prior Year

 

 

 

 

 

 

 

 

 

GAAP Measures

 

 

 

 

 

 

 

 

Net revenue

 

$

306,978

 

 

$

8,589

 

$

920,259

 

 

$

23,874

Gross profit

 

$

50,409

 

 

$

246

 

$

156,500

 

 

$

3,461

Net loss

 

$

(874

)

 

$

2,963

 

$

(1,894

)

 

$

2,267

Loss per share

 

$

(0.02

)

 

$

0.05

 

$

(0.03

)

 

$

0.06

 

 

 

 

 

 

 

 

 

Non-GAAP Measures

 

 

 

 

 

 

 

 

Adjusted EBITDA

 

$

11,748

 

 

$

3,443

 

$

35,366

 

 

$

7,798

Adjusted net income(1)

 

$

4,345

 

 

$

2,135

 

$

14,204

 

 

$

6,366

Adjusted earnings per share(1)

 

$

0.08

 

 

$

0.04

 

$

0.27

 

 

$

0.12

________________
(1)    Adjusted net income and adjusted earnings per share are based on net income attributable to HF Foods Group Inc.

Management Commentary

“We delivered solid financial performance in the third quarter, demonstrating continued momentum from our transformation initiatives,” said Felix Lin, President and Chief Executive Officer of HF Foods. “Our results reflect strong operational discipline and effective implementation of our strategic priorities, even amid ongoing macro challenges. We remain confident in our long-term strategic plan, including evaluating attractive M&A opportunities to expand our geographical footprint. Through our market leadership in the Asian specialty distribution landscape and investments in infrastructure and technology, we believe HF Foods is positioned to drive sustained growth and create long-term value for our shareholders.”

Third Quarter 2025 Results

Net revenue was $307.0 million for the third quarter of 2025 compared to $298.4 million in the prior year period, an increase of $8.6 million, or 2.9%. The increase was primarily attributable to volume increases and improved pricing in Meat & Poultry and Seafood.

Gross profit was $50.4 million, a slight increase compared to $50.2 million in the prior year period. The increase was primarily attributable to an increase in volume and improved pricing during the quarter. Gross profit margin remained relatively consistent at 16.4% compared to 16.8% in the same period in 2024 due to an increased proportion of sales from lower margin products, particularly, Seafood.

Distribution, selling and administrative expenses decreased by $0.4 million, or 0.7%, for the three months ended September 30, 2025. Distribution, selling and administrative expenses as a percentage of net revenue decreased from 16.6% in the prior year to 16.1% for the three months ended September 30, 2025, primarily due to increased net revenue and lower personnel, professional and insurance costs, partially offset by increased rental, occupancy and other expenses.

Net loss decreased 77.2% to $0.9 million for the three months ended September 30, 2025, compared to net loss of $3.8 million for the three months ended September 30, 2024. The improvement was primarily driven by an increase in income from operations of $0.6 million and the increase in fair value of interest rate swap contracts of $3.2 million compared to the prior year period.

Adjusted EBITDA increased 41.5% to $11.7 million compared to $8.3 million in the prior year, which was due to various items noted in the Adjusted EBITDA table included in Appendix A of this earnings release.

Cash Flow and Liquidity

Cash provided by operating activities was $4.5 million for the nine months ended September 30, 2025, compared to cash provided by operating activities of $4.2 million in the prior year period. Net cash provided by operating activities increased by $0.3 million primarily due to an increase in non-cash expense add-backs offset by the timing of working capital outlays mainly for inventory purchases to counter potential tariff increases. As of September 30, 2025, the Company had cash of $12.3 million, checks issued not presented for payment of $2.1 million and access to approximately $49.8 million in additional funds through the $125.0 million line of credit, subject to a borrowing base calculation. The Company has funded working capital and other capital requirements primarily by cash flow from operations and bank loans. Cash is required to pay purchase costs for inventory, salaries, fuel and trucking expenses, selling expenses, rental expenses, income taxes, other operating expenses and to service debts.

Earnings Call and Webcast

HF Foods’ management team will host a live conference call to discuss its financial results today at 1:30 p.m. PT (4:30 p.m. ET). The link to the webcast will be available on the “Events” section of the Company’s Investor Relations website at https://investors.hffoodsgroup.com. Those interested in participating in the live call can dial 1-877-407-0752 or 1-201-389-0912. The webcast will be archived and available for replay.

About HF Foods Group Inc.

HF Foods Group Inc. is a leading marketer and distributor of fresh produce, frozen and dry food, and non-food products to primarily Asian restaurants and other foodservice customers throughout the United States. HF Foods aims to supply the increasing demand for Asian American restaurant cuisine, leveraging its nationwide network of distribution centers and its strong relations with growers and suppliers of fresh, high-quality specialty restaurant food products and supplies in the US and Asia. Headquartered in Las Vegas, Nevada, HF Foods trades on Nasdaq under the symbol “HFFG”. For more information, please visit www.hffoodsgroup.com.

Investor Relations Contact:

ICR

Investors: Anna Kate Heller

Media: Michael Wolfe

hffoodsgroup@icrinc.com

Forward-Looking Statements

All statements in this news release other than statements of historical facts are, or may be deemed to be, “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and contain our current expectations about our future results. We have attempted to identify any forward-looking statements by using words such as “aims,” “continues,” “expects,” “plans,” “will,” and other similar expressions. Although we believe that the expectations reflected in all of our forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Such statements are not guarantees of future performance or events and are subject to known and unknown risks and uncertainties that could cause the Company’s actual results, events or financial positions to differ materially from those included within or implied by such forward-looking statements. Such factors include, but are not limited to, risks relating to our ability to consummate our operational transformation plan as anticipated, risks relating to the impact of our operational plan on our sales and efficiencies, risks relating to the impact of demographic trends on demand for the products we distribute, risks related to potential increases in tariff-related costs, statements of assumption underlying any of the foregoing, and other factors including those disclosed under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2024 and other filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as required by law, we undertake no obligation to disclose any revision to these forward-looking statements.

 

HF FOODS GROUP INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)

 

 

September 30, 2025

 

December 31, 2024

ASSETS

 

 

 

CURRENT ASSETS:

 

 

 

Cash

$

12,328

 

 

$

14,467

 

Accounts receivable, net

 

54,131

 

 

 

54,346

 

Inventories

 

135,496

 

 

 

97,783

 

Prepaid expenses and other current assets

 

6,416

 

 

 

11,507

 

TOTAL CURRENT ASSETS

 

208,371

 

 

 

178,103

 

Property and equipment, net

 

158,717

 

 

 

149,572

 

Operating lease right-of-use assets

 

26,801

 

 

 

13,944

 

Long-term investments

 

2,191

 

 

 

2,350

 

Customer relationships, net

 

128,690

 

 

 

136,615

 

Trademarks, trade names and other intangibles, net

 

26,750

 

 

 

24,911

 

Goodwill

 

38,815

 

 

 

38,815

 

Other long-term assets

 

4,748

 

 

 

5,681

 

TOTAL ASSETS

$

595,083

 

 

$

549,991

 

LIABILITIES AND SHAREHOLDERS' EQUITY

 

 

 

CURRENT LIABILITIES:

 

 

 

Checks issued not presented for payment

$

2,126

 

 

$

5,687

 

Line of credit

 

67,162

 

 

 

57,483

 

Accounts payable

 

72,975

 

 

 

50,644

 

Current portion of long-term debt, net

 

6,998

 

 

 

5,410

 

Current portion of obligations under finance leases

 

6,463

 

 

 

3,797

 

Current portion of obligations under operating leases

 

4,235

 

 

 

4,177

 

Accrued expenses and other liabilities

 

15,094

 

 

 

18,001

 

TOTAL CURRENT LIABILITIES

 

175,053

 

 

 

145,199

 

Long-term debt, net of current portion

 

100,266

 

 

 

103,324

 

Obligations under finance leases, non-current

 

26,856

 

 

 

19,929

 

Obligations under operating leases, non-current

 

23,764

 

 

 

10,125

 

Deferred tax liabilities

 

26,536

 

 

 

29,392

 

Other long-term liabilities

 

1,746

 

 

 

728

 

TOTAL LIABILITIES

 

354,221

 

 

 

308,697

 

Commitments and contingencies

 

 

 

SHAREHOLDERS’ EQUITY:

 

 

 

Preferred stock

 

 

 

 

 

Common stock

 

5

 

 

 

5

 

Treasury stock

 

(7,750

)

 

 

(7,750

)

Additional paid-in capital

 

605,697

 

 

 

604,235

 

Accumulated deficit

 

(358,744

)

 

 

(357,199

)

TOTAL SHAREHOLDERS’ EQUITY ATTRIBUTABLE TO HF FOODS GROUP INC.

 

239,208

 

 

 

239,291

 

Noncontrolling interests

 

1,654

 

 

 

2,003

 

TOTAL SHAREHOLDERS’ EQUITY

 

240,862

 

 

 

241,294

 

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

$

595,083

 

 

$

549,991

 


 

HF FOODS GROUP INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share and per share data)
(Unaudited)

 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

 

2025

 

 

 

2024

 

 

 

2025

 

 

 

2024

 

Net revenue

 

$

306,978

 

 

$

298,389

 

 

$

920,259

 

 

$

896,385

 

Cost of revenue

 

 

256,569

 

 

 

248,226

 

 

 

763,759

 

 

 

743,346

 

Gross profit

 

 

50,409

 

 

 

50,163

 

 

 

156,500

 

 

 

153,039

 

 

 

 

 

 

 

 

 

 

Distribution, selling and administrative expenses

 

 

49,289

 

 

 

49,652

 

 

 

150,107

 

 

 

149,988

 

Income from operations

 

 

1,120

 

 

 

511

 

 

 

6,393

 

 

 

3,051

 

 

 

 

 

 

 

 

 

 

Other expenses (income):

 

 

 

 

 

 

 

 

Interest expense

 

 

2,941

 

 

 

2,644

 

 

 

8,367

 

 

 

8,597

 

Other (income) expense, net

 

 

(234

)

 

 

(332

)

 

 

(825

)

 

 

3,040

 

Change in fair value of interest rate swap contracts

 

 

47

 

 

 

3,290

 

 

 

1,916

 

 

 

959

 

Lease guarantee income

 

 

 

 

 

 

 

 

 

 

 

(5,548

)

Total other expenses, net

 

 

2,754

 

 

 

5,602

 

 

 

9,458

 

 

 

7,048

 

Income (Loss) before income taxes

 

 

(1,634

)

 

 

(5,091

)

 

 

(3,065

)

 

 

(3,997

)

 

 

 

 

 

 

 

 

 

Income tax expense (benefit)

 

 

(760

)

 

 

(1,254

)

 

 

(1,171

)

 

 

164

 

Net Income (Loss)

 

 

(874

)

 

 

(3,837

)

 

 

(1,894

)

 

 

(4,161

)

Less: net (loss) income attributable to noncontrolling interests

 

 

242

 

 

 

103

 

 

 

(349

)

 

 

456

 

Net income (loss) attributable to HF Foods Group Inc.

 

$

(1,116

)

 

$

(3,940

)

 

$

(1,545

)

 

$

(4,617

)

 

 

 

 

 

 

 

 

 

Earnings (Loss) per common share - basic

 

$

(0.02

)

 

$

(0.07

)

 

$

(0.03

)

 

$

(0.09

)

Earnings (Loss) per common share - diluted

 

$

(0.02

)

 

$

(0.07

)

 

$

(0.03

)

 

$

(0.09

)

 

 

 

 

 

 

 

 

 

Weighted average shares - basic

 

 

53,031,801

 

 

 

52,726,683

 

 

 

52,913,907

 

 

 

52,490,321

 

Weighted average shares - diluted

 

 

53,031,801

 

 

 

52,726,683

 

 

 

52,913,907

 

 

 

52,490,321

 


 

HF FOODS GROUP INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)

 

 

Nine Months Ended September 30,

 

 

2025

 

 

 

2024

 

Cash flows from operating activities:

 

 

 

Net loss

$

(1,894

)

 

$

(4,161

)

Adjustments to reconcile net loss to net cash provided by operating activities:

 

 

 

Depreciation and amortization expense

 

21,269

 

 

 

19,932

 

Provision (credit) for expected credit losses

 

(357

)

 

 

(40

)

Deferred tax benefit

 

(2,856

)

 

 

(1,175

)

Change in fair value of interest rate swap contracts

 

1,916

 

 

 

959

 

Stock-based compensation

 

1,618

 

 

 

1,961

 

Non-cash lease expense

 

3,745

 

 

 

2,955

 

Lease guarantee income

 

 

 

 

(5,548

)

Other non-cash (income) expense

 

(548

)

 

 

522

 

Changes in operating assets and liabilities:

 

 

 

Accounts receivable

 

939

 

 

 

(4,105

)

Accounts receivable - related parties

 

(367

)

 

 

23

 

Inventories

 

(37,713

)

 

 

(13,890

)

Prepaid expenses and other current assets

 

5,091

 

 

 

133

 

Other long-term assets

 

682

 

 

 

734

 

Checks issued not presented for payment

 

(3,561

)

 

 

7,524

 

Accounts payable

 

21,820

 

 

 

(658

)

Accounts payable - related parties

 

511

 

 

 

(323

)

Operating lease liabilities

 

(2,905

)

 

 

(3,015

)

Accrued expenses and other liabilities

 

(2,907

)

 

 

2,397

 

Net cash provided by operating activities

 

4,483

 

 

 

4,225

 

Cash flows from investing activities:

 

 

 

Purchase of property and equipment

 

(10,014

)

 

 

(9,435

)

Proceeds from sale of property and equipment

 

152

 

 

 

12

 

Net cash used in investing activities

 

(9,862

)

 

 

(9,423

)

Cash flows from financing activities:

 

 

 

Payments for tax withholding related to vested stock awards

 

(156

)

 

 

(173

)

Proceeds from line of credit

 

1,033,577

 

 

 

1,120,318

 

Repayment of line of credit

 

(1,023,791

)

 

 

(1,112,012

)

Proceeds from long-term debt

 

3,275

 

 

 

 

Repayment of long-term debt

 

(4,776

)

 

 

(4,125

)

Payment of debt financing costs

 

(213

)

 

 

 

Repayment of obligations under finance leases

 

(4,676

)

 

 

(2,597

)

Net cash provide by financing activities

 

3,240

 

 

 

1,411

 

Net decrease in cash

 

(2,139

)

 

 

(3,787

)

Cash at beginning of the period

 

14,467

 

 

 

15,232

 

Cash at end of the period

$

12,328

 

 

$

11,445

 


Appendix A
Non-GAAP Financial Measures
Three and Nine Months Ended September 30, 2025 and 2024
(Unaudited)

Discussion of our financial results includes certain non-GAAP financial measures, including EBITDA, Adjusted EBITDA, non-GAAP net income (loss) attributable to HF Foods Group Inc. and non-GAAP EPS (“earnings per share”), that we believe provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing our financial performance with other companies in the same industry, many of which present similar non-GAAP financial measures to investors. The definitions of EBITDA, Adjusted EBITDA, non-GAAP net income (loss) attributable to HF Foods Group Inc. and non-GAAP EPS may not be the same as similarly titled measures used by other companies in the industry. EBITDA, Adjusted EBITDA, non-GAAP net income (loss) attributable to HF Foods Group Inc. and non-GAAP EPS are not defined under GAAP and are subject to important limitations as analytical tools and should not be considered in isolation or as substitutes for analysis of our financial results as reported under GAAP.

We use non-GAAP financial measures to supplement our GAAP financial results. Management uses EBITDA, defined as net income (loss) before interest expense, interest income, income taxes, and depreciation and amortization to measure operating performance. In addition, management uses Adjusted EBITDA, defined as net income (loss) before interest expense, interest income, income taxes, and depreciation and amortization, further adjusted to exclude certain unusual, non-cash, or non-recurring expenses. We believe that Adjusted EBITDA is less susceptible to variances in actual performance resulting from non-recurring expenses, and other non-cash charges, provides useful information for our investors and is more reflective of other factors that affect our operating performance.

We believe non-GAAP net income (loss) attributable to HF Foods Group Inc. and non-GAAP EPS are useful measures of operating performance because these measures exclude certain items not reflective of our core operating performance. Non-GAAP net income (loss) attributable to HF Foods Group Inc. is defined as net income (loss) attributable to HF Foods Group Inc. adjusted for amortization of intangibles, change in fair value of interest rate swaps, stock based compensation, transaction related costs, transformational project costs and certain unusual, non-cash, or non-recurring expenses. We believe that non-GAAP net income (loss) attributable to HF Foods Group Inc. and non-GAAP EPS facilitates period-over-period comparisons and provides additional clarity for investors to better evaluate our operating results. We present EBITDA, Adjusted EBITDA, non-GAAP net income (loss) attributable to HF Foods Group Inc. and non-GAAP EPS in order to provide supplemental information that we consider relevant for the readers of our consolidated financial statements included elsewhere in its reports filed with the SEC, including its most recent Annual Report on Form 10-K, and such information is not meant to replace or supersede U.S. GAAP measures. Reconciliations of the non-GAAP financial measures to their most comparable GAAP financial measures are included in the schedules attached to this press release.

 

HF FOODS GROUP INC. AND SUBSIDIARIES
RECONCILIATION OF NET LOSS TO EBITDA AND ADJUSTED EBITDA
(In thousands)
(Unaudited)

 

 

 

Three Months Ended September 30,

 

 

 

 

 

2025

 

 

 

2024

 

 

Change

Net loss

 

$

(874

)

 

$

(3,837

)

 

$

2,963

 

Interest expense, net

 

 

2,947

 

 

 

2,644

 

 

 

303

 

Income tax benefit

 

 

(760

)

 

 

(1,254

)

 

 

494

 

Depreciation and amortization

 

 

7,250

 

 

 

6,666

 

 

 

584

 

EBITDA

 

 

8,563

 

 

 

4,219

 

 

 

4,344

 

Change in fair value of interest rate swap contracts

 

 

47

 

 

 

3,290

 

 

 

(3,243

)

Stock-based compensation expense

 

 

619

 

 

 

701

 

 

 

(82

)

Business transformation costs(1)

 

 

1,592

 

 

 

77

 

 

 

1,515

 

Other non-routine expense(2)

 

 

339

 

 

 

18

 

 

 

321

 

Executive transition and organizational redesign(3)

 

 

588

 

 

 

 

 

 

588

 

Adjusted EBITDA

 

$

11,748

 

 

$

8,305

 

 

$

3,443

 


 

 

Nine Months Ended September 30,

 

 

 

 

 

2025

 

 

 

2024

 

 

Change

Net loss

 

$

(1,894

)

 

$

(4,161

)

 

$

2,267

 

Interest expense, net

 

 

8,331

 

 

 

8,597

 

 

 

(266

)

Income tax (benefit) expense

 

 

(1,171

)

 

 

164

 

 

 

(1,335

)

Depreciation and amortization

 

 

21,269

 

 

 

19,932

 

 

 

1,337

 

EBITDA

 

 

26,535

 

 

 

24,532

 

 

 

2,003

 

Lease guarantee income

 

 

 

 

 

(5,548

)

 

 

5,548

 

Change in fair value of interest rate swap contracts

 

 

1,916

 

 

 

959

 

 

 

957

 

Stock-based compensation expense

 

 

1,618

 

 

 

1,961

 

 

 

(343

)

Business transformation costs(1)

 

 

2,458

 

 

 

1,180

 

 

 

1,278

 

SEC settlement

 

 

 

 

 

3,900

 

 

 

(3,900

)

Other non-routine expense(2)

 

 

449

 

 

 

584

 

 

 

(135

)

Executive transition and organizational redesign(3)

 

 

2,390

 

 

 

 

 

 

2,390

 

Adjusted EBITDA

 

$

35,366

 

 

$

27,568

 

 

$

7,798

 


________________

(1)

Represents costs associated with the launch and continued implementation of strategic projects including supply chain management. improvements and technology infrastructure initiatives.

(2)

Includes contested proxy and related legal and consulting costs and facility closure costs.

(3)

Includes severance and related expenses for the Company’s transition of executive officers and organizational redesign.


HF FOODS GROUP INC. AND SUBSIDIARIES

RECONCILIATION OF NET INCOME (LOSS) ATTRIBUTABLE TO HF FOODS GROUP INC.
TO NON-GAAP NET INCOME AND NON-GAAP EPS ATTRIBUTABLE TO HF FOODS GROUP INC.
(In thousands, except per share amounts)
(Unaudited)

The following tables present our non-GAAP net income (loss) and non-GAAP EPS for the three and nine months ended September 30, 2025 and 2024 respectively, as well as reconciliations of each measure to their nearest GAAP equivalents:

 

 

Three Months Ended September 30,

 

 

 

 

 

2025

 

 

 

2024

 

 

Change

Net loss attributable to HF Foods Group Inc.

 

$

(1,116

)

 

$

(3,940

)

 

$

2,824

 

Amortization of intangibles and deferred financing costs

 

 

4,001

 

 

 

4,070

 

 

 

(69

)

Change in fair value of interest rate swaps

 

 

47

 

 

 

3,290

 

 

 

(3,243

)

Stock-based compensation expense

 

 

619

 

 

 

701

 

 

 

(82

)

Business transformation costs(1)

 

 

1,592

 

 

 

77

 

 

 

1,515

 

Other non-routine expense(2)

 

 

339

 

 

 

18

 

 

 

321

 

Executive transition and organizational redesign(3)

 

 

588

 

 

 

 

 

 

588

 

Aggregate adjustment for income taxes(4)

 

 

(1,725

)

 

 

(2,006

)

 

 

281

 

Non-GAAP net income attributable to HF Foods Group Inc.

 

$

4,345

 

 

$

2,210

 

 

$

2,135

 

GAAP diluted loss per common share attributable to HF Foods

 

$

(0.02

)

 

$

(0.07

)

 

$

0.05

 

EPS difference(5)

 

 

0.10

 

 

 

0.11

 

 

 

(0.01

)

Non-GAAP diluted earnings per common share attributable to HF Foods(5)

 

$

0.08

 

 

$

0.04

 

 

$

0.04

 

Non-GAAP diluted weighted average number of shares (in thousands)(5)

 

 

53,387

 

 

 

52,757

 

 

 


 

 

Nine Months Ended September 30,

 

 

 

 

 

2025

 

 

 

2024

 

 

Change

Net loss attributable to HF Foods Group Inc.

 

$

(1,545

)

 

$

(4,617

)

 

$

3,072

 

Amortization of intangibles and deferred financing costs

 

 

11,891

 

 

 

12,210

 

 

 

(319

)

Lease guarantee income

 

 

 

 

 

(5,548

)

 

 

5,548

 

Change in fair value of interest rate swaps

 

 

1,916

 

 

 

959

 

 

 

957

 

Stock-based compensation expense

 

 

1,618

 

 

 

1,961

 

 

 

(343

)

Business transformation costs(1)

 

 

2,458

 

 

 

1,180

 

 

 

1,278

 

SEC settlement

 

 

 

 

 

3,900

 

 

 

(3,900

)

Other non-routine expense(2)

 

 

449

 

 

 

584

 

 

 

(135

)

Executive transition and organizational redesign(3)

 

 

2,390

 

 

 

 

 

 

2,390

 

Aggregate adjustment for income taxes(4)

 

 

(4,973

)

 

 

(2,791

)

 

 

(2,182

)

Non-GAAP net income attributable to HF Foods Group Inc.

 

$

14,204

 

 

$

7,838

 

 

$

6,366

 

GAAP diluted loss per common share attributable to HF Foods

 

$

(0.03

)

 

$

(0.09

)

 

$

0.06

 

EPS difference(5)

 

 

0.30

 

 

 

0.24

 

 

 

0.06

 

Non-GAAP diluted earnings per common share attributable to HF Foods(5)

 

$

0.27

 

 

$

0.15

 

 

$

0.12

 

Non-GAAP diluted weighted average number of shares (in thousands)(5)

 

 

53,290

 

 

 

52,722

 

 

 


________________

(1)

Represents costs associated with the launch and continued implementation of strategic projects including supply chain management improvements and technology infrastructure initiatives.

(2)

Includes contested proxy and related legal and consulting costs and facility closure costs.

(3)

Includes severance and related expenses for the Company’s transition of executive officers and organizational redesign.

(4)

Represents the adjustments to the tax provision values to a normalized annual effective tax rate on adjusted pretax earnings, excluding permanent items, using 24.0% and 24.6% for the third quarters of 2025 and 2024.

(5)

EPS difference and diluted non-GAAP earnings per share are calculated by dividing our non-GAAP net income attributable to HF Foods by our non-GAAP diluted weighted average number of shares.