Shares of United Natural Foods Inc. (UNFI) surged 5.24% in pre-market trading on Tuesday following the release of its third-quarter fiscal 2025 results, which significantly exceeded analyst expectations. The wholesale grocery distributor reported adjusted earnings per share of $0.44, more than double the $0.21 estimated by analysts, demonstrating strong operational performance despite challenging market conditions.

UNFI's financial results were impressive across the board. The company reported sales of $8.06 billion, surpassing the estimated $7.78 billion, representing a 7.5% increase compared to the same period last year. This growth was primarily driven by a 4% rise in wholesale unit volumes and new business from both existing and new customers. Additionally, adjusted EBITDA reached $157 million, considerably higher than the $142.1 million analyst estimate, showcasing improved profitability.

Despite these positive results, UNFI faced some challenges. The company reported a net loss of $7 million for the quarter, reflecting costs associated with exiting a customer contract and optimizing its distribution network in the Northeast. However, UNFI maintained its fiscal 2025 guidance, projecting net sales between $31.3 billion and $31.7 billion. It's worth noting that the company refrained from updating its outlook for other metrics due to an ongoing assessment of unauthorized activity discovered on its information technology systems in early June 2025. This cautious approach, combined with the strong quarterly performance, appears to have bolstered investor confidence, contributing to the significant pre-market stock price increase.