NGVC Natural Grocers by Vitamin Cottage, Inc.

Overview and Growth

Natural Grocers by Vitamin Cottage, Inc. generated $1.33B of revenue in fiscal 2025, with net income of $46.44M and an operating cash inflow of $55.30M. Revenue of $1.33B sets the scale for evaluating how effectively sales translated into profit and cash during the year. The top line expanded 7.2% from $1.24B in fiscal 2024, increasing the company’s operating scale. Diluted earnings per share were $2.00, translating the period’s attributable earnings into the amount reported for each diluted share. The per-share result recorded a 36.1% increase from fiscal 2024 diluted EPS of $1.47. Asset turnover was 1.98x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

After reported cost of revenue, the company retained $397.88M as gross profit before recognizing operating expenses and other items. Gross margin was 29.9%, so that share of each revenue unit remained after the cost of revenue reported for the period. The reported operating result was $61.99M, capturing profitability after direct costs and the operating expenses reflected in the statements. The operating result equaled 4.7% of revenue, placing the absolute operating-income figure in the context of the company’s sales base. After all reported below-operating-line items, the company recorded net income of $46.44M for the fiscal year. The final earnings result represented 3.5% of revenue, connecting the absolute net income figure with the company’s top-line scale. The earnings statement records $58.93M of pretax income, the profit base against which the reported tax provision can be assessed. The pretax margin was 4.4%, relating income before taxes directly to revenue. Income tax expense totaled $12.48M, providing the reported tax component that separates pretax and after-tax earnings. The effective relationship between income tax and positive pretax income was 21.2%, without assuming a statutory-rate comparison. Net income equaled 21.9% of period-end equity, showing the earnings generated on shareholders’ book capital.

Liquidity and Capital Structure

The company held $670.50M of assets against $458.11M of liabilities and $212.40M of equity, revealing how the asset base was financed. The near-term balance sheet paired $168.07M of current assets with $158.78M of current liabilities at the reporting date. At 1.06x, the current ratio shows that short-term assets were greater than short-term liabilities at period end. Reported cash and equivalents were $17.12M, separating immediately recognizable cash resources from the rest of the current-asset base. The cash balance equaled 10.8% of current liabilities, showing how much near-term coverage came from cash alone. The liabilities-to-assets relationship was 68.3%, placing reported obligations against the full positive asset balance. Measured against total assets, cash and equivalents represented 2.6%, a balance-sheet composition measure rather than a liquidity forecast. The asset base changed 2.3% from $655.48M in fiscal 2024, leaving current total assets higher year over year.

Cash Flow and Earnings Quality

Operating activities produced a cash inflow of $55.30M, giving the cash-flow counterpart to the accrual-based profit measures reported for the year. Operating cash flow equaled 1.19x of net income, showing how strongly accounting earnings converted into cash from operations. Capital spending was $31.20M, absorbing part of the cash generated from operations before free cash flow. Relative to operating cash flow, capital expenditures measured 56.4%, connecting investment intensity with the company’s cash-generation base. The combination of operating cash flow and capital spending produced $24.10M of positive free cash flow for the period. Relative to revenue, free cash flow equaled 1.8%, showing how much sales converted into cash after investment. The free-cash-flow-to-assets relationship was 3.6%, comparing post-investment cash with the balance-sheet asset base.

Based on the annual report for the fiscal year ending Sep 30, 2025. Analysis generated Oct 21, 2026.