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SEC filingWeis Markets, Inc. reported total revenue of $4.96 billion for fiscal year 2025, a 3.5% increase from the prior year's $4.79 billion. Net income was $93.7 million, a decline from $106.0 million in 2024, with basic and diluted earnings per share of $3.65 compared to $3.94. Gross profit increased to $1.24 billion from $1.20 billion, while operating income decreased to $113.7 million from $126.4 million. The company generated $207.2 million in net cash from operating activities, used $105.3 million in investing activities primarily for property and equipment purchases, and used $175.1 million in financing activities for share purchases and dividends. Key performance was impacted by a restatement of prior periods due to inventory overstatement at a manufacturing plant and a related-party share purchase transaction.
Weis Markets reported fiscal 2025 total revenue of $4.96 billion, representing a 3.5% increase from $4.79 billion in 2024. Net income declined 11.6% to $93.7 million from $106.0 million, with basic and diluted earnings per share of $3.65 compared to $3.94 in the prior year. Gross profit increased to $1.24 billion from $1.20 billion, while operating income decreased to $113.7 million from $126.4 million. The company's performance was impacted by a restatement of prior period financial statements due to inventory overstatement at a single meat product manufacturing plant, which accumulated over multiple fiscal periods. The company also completed a $140 million related-party share purchase transaction in June 2025.
Total revenue of $4.96 billion consisted of $4.94 billion in net sales and $18.3 million in other revenue (primarily commission income). Net sales by product category were: Grocery $4.01 billion (81.3% of net sales), Pharmacy $671.7 million (13.6%), Fuel $248.4 million (5.0%), and Manufacturing $7.0 million (0.1%). The company operates as a single retail segment with all revenue generated from sales within Pennsylvania and surrounding states. The acquisition of a Saylor's Market store in January 2025 contributed $17.0 million to sales. Revenue growth was driven by the grocery category, which increased from $3.93 billion in 2024, and pharmacy, which increased from $603.2 million.
Gross margin remained stable at 25.0% in both 2025 and 2024, with gross profit of $1.24 billion on $4.96 billion revenue. Operating margin declined to 2.3% from 2.6% in the prior year, with operating income of $113.7 million compared to $126.4 million. Operating, general and administrative expenses increased to $1.13 billion from $1.07 billion. The effective income tax rate was 24.4% in 2025, down from 26.9% in 2024 and 29.3% in 2023, primarily due to state taxes, federal and state tax credits, and nondeductible employee-related expenses. Vendor allowances recorded as credits in cost of sales totaled $124.9 million in 2025.
Net cash provided by operating activities was $207.2 million, primarily from net income of $93.7 million adjusted for $124.8 million in depreciation and amortization. Net cash used in investing activities was $105.3 million, including $202.4 million for purchase of property and equipment offset by $121.1 million from sale and maturities of marketable securities. Net cash used in financing activities was $175.1 million, including $140.0 million for share purchase and $35.1 million for dividends paid. Total assets were $2.03 billion, with $681.2 million in current assets including $117.1 million cash. Total liabilities were $675.4 million, resulting in shareholders' equity of $1.35 billion.
The company faces risks including changes in general economic conditions, tariffs and trade policies, business conditions and trends in the retail industry, regulatory environment, rapidly changing technology including cybersecurity and data privacy risks, and competitive factors with regional and national retailers. The company is self-insured for workers' compensation, general liability, vehicle accident and employee medical benefit claims with various retention levels. Management has identified a material weakness in internal control over financial reporting related to inventory controls. The company continues to evaluate recently issued accounting standards including ASU 2024-03 on expense disaggregation disclosures and ASU 2025-06 on internal-use software accounting.