United Natural Foods Reports Mixed Q2 Results, Cuts Sales Outlook

Shares of the natural foods distributor fall after earnings miss expectations despite EPS beat.

Mar. 10, 2026 at 4:50pm

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United Natural Foods (UNFI) reported mixed second-quarter fiscal 2026 results, with earnings per share beating estimates but revenue falling short of expectations. The company also lowered its full-year sales outlook, citing an anticipated reduction in conventional sales due to the transition out of its Allentown, Pennsylvania distribution center. While natural channel sales rose 6.7% year-over-year, conventional channel and retail sales declined.

Why it matters

United Natural Foods is a major distributor of natural, organic and specialty foods, serving a growing market as consumer demand for healthier and more sustainable products continues to rise. The company's performance and outlook provide insights into the broader trends in the natural foods industry and the challenges of navigating supply chain disruptions and shifting consumer preferences.

The details

United Natural Foods reported adjusted earnings per share of 62 cents, beating the analyst consensus estimate of 51 cents. However, sales of $7.947 billion, down 2.6% year-over-year, missed the Street view of $8.108 billion. The sales decline was attributed to an anticipated reduction in conventional sales due to the transition out of the Allentown, Pennsylvania distribution center. Natural channel sales rose 6.7% year-over-year to $4.29 billion, while conventional channel sales fell 12.1% to $3.39 billion, and retail sales declined 8.2% to $560 million. Adjusted EBITDA increased 23.4% year-over-year to $179 million.

  • United Natural Foods reported its second-quarter fiscal 2026 results on March 10, 2026.
  • The company is transitioning out of its Allentown, Pennsylvania distribution center in the first quarter of fiscal 2026.

The players

United Natural Foods

A major distributor of natural, organic and specialty foods in the United States and Canada.

Sandy Douglas

The CEO of United Natural Foods.

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What they’re saying

“With a sharpened focus on our growing $90 billion target addressable market, we are working to help differentiating retailers continue to accelerate profitable growth in a dynamic marketplace.”

— Sandy Douglas, CEO

What’s next

United Natural Foods has raised its fiscal 2026 adjusted EPS guidance to $2.30-$2.70, up from the previous range of $1.50-$2.30. However, the company has cut its full-year sales outlook to $31 billion-$31.4 billion, down from the prior range of $31.6 billion-$32.0 billion.

The takeaway

United Natural Foods' mixed second-quarter results highlight the challenges the natural foods industry is facing, including supply chain disruptions and shifting consumer preferences. The company's decision to transition out of its Allentown distribution center and its revised sales outlook suggest it is navigating a dynamic and competitive marketplace, but its strong earnings performance and focus on its growing addressable market indicate it is working to differentiate itself and drive profitable growth.