Name: WEIS MARKETS INC Q4 2024 Earnings Call
Start: 2025-02-25T00:00:00.000Z

Executive Summary

Q4 2024 delivered steady top-line growth and strong margin/earnings expansion: net sales rose 1.2% to $1.23B and EPS increased 69% YoY to $1.29, aided by a $3.21M pre-tax reduction in deferred compensation plan liability .
Full-year 2024 net sales grew 1.6% to $4.77B and EPS rose to $4.09, with e-commerce sales up 46% for the year, reflecting effective loyalty/price investments and operational efficiencies .
Comparable store sales excluding fuel increased 1.1% in Q4 and 1.9% for FY24; management emphasized sustained price investments and disciplined marketing as key drivers; no formal financial guidance was issued .
Dividend maintained at $0.34 per share (declared Feb 5, 2025), reinforcing capital return consistency; multi-year store development continues (12 major projects completed in 2024; construction started on four new stores) .

What Went Well and What Went Wrong

Margin expansion and EPS strength: Operating income rose 44.5% YoY to $42.3M and EPS increased to $1.29 in Q4, reflecting disciplined expense management and efficiency gains; CEO cited “successful integration of technology to help us improve efficiencies and manage expenses” .
Loyalty, pricing, and e-commerce execution: Management highlighted sustained price investments and loyalty marketing programs; e-commerce sales grew 46% for the year, supporting traffic and basket resilience .
Store development momentum: Company completed 12 major store projects, acquired/converted two stores, and began construction on four new stores, positioning for growth in 2025 .

Full-year operating income declined 4.0%, indicating cost pressures despite Q4 improvement; management noted inflation and supply chain issues impacting segments through the year .
Q2 headwinds from calendar and macro: Easter shift reduced Q2 net sales by ~$14.0M (1.2%), and year-to-date net income through Q3 was down 9.7%, reflecting cautious consumers and post-inflation comparisons .
Non-operating items influenced quarterly comparability: Q4 included a $3.21M pre-tax reduction in deferred comp liability; Q3 included a $4.58M gain on disposition of fixed assets, complicating clean YoY comparisons .

Metric	Q4 2023	Q2 2024	Q3 2024	Q4 2024
Net Sales ($USD Billions)	$1.213	$1.181	$1.186	$1.227
Operating Income ($USD Millions)	$29.3	$32.5	$29.6	$42.3
EPS ($USD)	$0.76	$0.98	$0.96	$1.29
Net Income ($USD Millions)	$20.5	$26.3	$25.8	$34.7
Operating Margin (%)	2.41%	2.75%	2.49%	3.45%
Net Income Margin (%)	1.69%	2.22%	2.18%	2.83%

Notes:

Operating Margin = Income from operations / Net sales (values derived from cited net sales and operating income in each period) .
Net Income Margin = Net income / Net sales (values derived from cited net sales and net income in each period) .
Q4 2024 included a $3.21M pre-tax reduction in deferred compensation plan liability; Q3 2024 included a $4.58M gain on disposition of fixed assets .

KPIs

KPI	Q4 2023	Q2 2024	Q3 2024	Q4 2024
Comparable Store Sales ex fuel (YoY %)	0.2%	0.3%	3.0%	1.1%
Comparable Store Sales (YoY %)	(0.5%)	0.5%	2.5%	0.8%
Two-Year Stacked Comps ex fuel (%)	—	5.1%	4.1%	1.3%
E-commerce Sales Growth (FY 2024)	—	—	—	46% (FY)

Segment breakdown: No segment reporting disclosed in the press releases/8-Ks for Q4 2024 .

Metric	Period	Previous Guidance	Current Guidance	Change
Dividend per Share	Q4 2024	$0.34 (declared Oct 31, 2024)	$0.34 (declared Feb 5, 2025; payable Mar 4, 2025)	Maintained
Financial Guidance (Revenue, Margins, OpEx, Tax Rate)	FY/Q4 2024	Not issued	Not issued	N/A

No earnings call transcript was located for Q4 2024; analysis below is based on management’s press releases.

Topic	Previous Mentions (Q2 & Q3 2024)	Current Period (Q4 2024)	Trend
Price investments & loyalty	Expanded Low, Low Price to 600 dairy items; loyalty program emphasized for traffic/value	Sustained price investments; disciplined advertising and loyalty marketing supporting results	Improving discipline
E-commerce	Not specifically quantified in Q2/Q3 releases	E-commerce up 46% for FY 2024	Strong acceleration
Supply chain & operations	Post-inflation comparisons and consumer caution; operational efficiencies highlighted	Worked through inflation and supply chain issues; technology integration improving efficiencies	Easing constraints
Store development	Ongoing; YOY project cadence referenced implicitly via execution focus	12 major projects completed; 2 acquired/converted stores; construction started on 4 new stores	Building footprint

“Several factors helped us achieve our results including sustained price investments, disciplined advertising and loyalty marketing programs along with the successful integration of technology to help us improve efficiencies and manage expenses while offering a consistently strong customer experience.” — Jonathan H. Weis (Chairman, President & CEO) .
“In 2024, we continued to benefit from strong e-commerce sales, which were up 46 percent for the year.” — Jonathan H. Weis .
“We attribute our results to our popular Weis Rewards loyalty marketing program, continuing investments in our Low, Low Price program… and disciplined store-level efficiencies that help us effectively balance customer experience and cost management.” — Jonathan H. Weis (Q3 release) .
Q2 context: “Our second quarter 2024 results, which were negatively impacted by the Easter holiday shift… are in line with our expectations despite an extremely challenging market environment marked by continuing customer caution.” — Jonathan H. Weis .

No Q4 2024 earnings call transcript found; management communication for the quarter was via press release .

S&P Global (Capital IQ) Wall Street consensus for Q4 2024 EPS and Revenue was unavailable at time of request; comparison to estimates cannot be provided. Values would normally be retrieved from S&P Global; unavailable due to API limits [GetEstimates error].
Implication: Without consensus, we cannot formally categorize beats/misses; however, the YoY improvement in operating income (+44.5%) and EPS (+69%) suggests fundamental momentum .

Q4 quality: Broad-based improvement in margins and EPS indicates disciplined execution; efficiency gains and pricing/loyalty strategies are translating into profitability .
Growth vectors: E-commerce (+46% FY) and ongoing store projects (12 completed; 4 new constructions started) support medium-term revenue trajectory and market share capture .
Resilience through macro: Management worked through inflation and supply chain issues; continued focus on efficiencies/technology likely sustains margin resilience into 2025 .
Capital returns: Dividend maintained at $0.34 per share; stable payout signals confidence in cash generation and balance sheet discipline .
Watch comparability: Non-operating items (deferred comp reduction in Q4; asset disposition gain in Q3) affect quarterly comps; normalize when modeling run-rate margins/EPS .
Near-term trading lens: Absence of formal guidance reduces catalyst density; focus on same-store trends and margin progression in upcoming quarters given improved Q4 margins .
Medium-term thesis: Continued investment in price/loyalty and store growth, coupled with tech-enabled efficiencies, underpins a steady comp/margin path despite cautious consumer backdrop .

Citations