Form 10-Q - Quarterly report [Sections 13 or 15(d)]

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

[X]

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 30, 2024

[ ]

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________to_________

Commission File Number 1-5039

WEIS MARKETS, INC.

(Exact name of registrant as specified in its charter)


Pennsylvania		24-0755415
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

1000 S. Second Street
P. O. Box 471		17801-0471
Sunbury, Pennsylvania		(Zip Code)
(Address of principal executive offices)


Registrant’s telephone number, including area code: (570) 286-4571	Registrant’s web address: www.weismarkets.com

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [X] No [ ]

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes [X] No [ ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer [X]		Accelerated filer [ ]
Non-accelerated filer [ ]		Smaller reporting company [ ]
		Emerging growth company [ ]

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [ ] No [X]

Securities registered pursuant to section 12(b) of the act:


Title of each class	Trading symbol	Name of exchange on which registered
Common stock, no par value	WMK	New York Stock Exchange

As of May 9, 2024, there were issued and outstanding 26,898,443 shares of the registrant’s common stock.

WEIS MARKETS, INC.

TABLE OF CONTENTS


FORM 10-Q		Page
Part I. Financial Information
Item 1. Financial Statements
Condensed Consolidated Balance Sheets		1
Condensed Consolidated Statements of Income		2
Condensed Consolidated Statements of Comprehensive Income		3
Condensed Consolidated Statements of Shareholders’ Equity		4
Condensed Consolidated Statements of Cash Flows		5
Notes to Condensed Consolidated Financial Statements		6
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations		10
Item 3. Quantitative and Qualitative Disclosures about Market Risk		17
Item 4. Controls and Procedures		17
Part II. Other Information
Item 6. Exhibits		18
Signatures		19
Exhibit 31.1 Rule 13a-14(a) Certification – CEO
Exhibit 31.2 Rule 13a-14(a) Certification – CFO
Exhibit 32 Certification Pursuant to 18 U.S.C. Section 1350

Table of Contents

WEIS MARKETS, INC.

PART I – FINANCIAL INFORMATION

ITEM I – FINANCIAL STATEMENTS

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited)


(amounts in thousands, except shares)	March 30, 2024		December 30, 2023
Assets
Current:
Cash and cash equivalents	$	136,184	$	184,217
Marketable securities		261,341		225,991
SERP investment		29,156		26,651
Accounts receivable, net		66,080		65,092
Inventories		295,761		296,157
Prepaid expenses and other current assets		34,976		34,107
Total current assets		823,499		832,214
Property and equipment, net		970,127		961,353
Operating lease right-to-use		166,089		174,208
Goodwill		52,330		52,330
Intangible and other assets, net		20,799		19,527
Total assets	$	2,032,843	$	2,039,632

Liabilities
Current:
Accounts payable	$	224,849	$	226,164
Accrued expenses		24,957		42,676
Operating leases		40,413		40,658
Accrued self-insurance		19,124		18,353
Deferred revenue, net		9,737		12,416
Income taxes payable		7,971		516
Total current liabilities		327,051		340,782
Postretirement benefit obligations		30,736		29,032
Accrued self-insurance		25,165		25,174
Operating leases		134,184		142,345
Deferred income taxes		117,527		118,091
Other		10,277		9,871
Total liabilities		644,941		665,296
Shareholders’ Equity
Common stock, no par value, 100,800,000 shares authorized, 33,047,807 shares issued, 26,898,443 shares outstanding		9,949		9,949
Retained earnings		1,530,458		1,516,438
Accumulated other comprehensive income (loss) (Net of deferred taxes of $455 in 2024 and $430 in 2023)		(1,648)		(1,193)
		1,538,759		1,525,194
Treasury stock at cost, 6,149,364 shares		(150,857)		(150,857)
Total shareholders’ equity		1,387,902		1,374,337
Total liabilities and shareholders’ equity	$	2,032,843	$	2,039,632
See accompanying notes to Condensed Consolidated Financial Statements.

Table of Contents

WEIS MARKETS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(unaudited)


		13 Weeks Ended
(amounts in thousands, except shares and per share amounts)		March 30, 2024		April 1, 2023
Net sales	$	1,178,168	$	1,144,974
Cost of sales, including advertising, warehousing and distribution expenses		887,194		859,185
Gross profit on sales		290,974		285,789
Operating, general and administrative expenses		263,610		253,171
Income from operations		27,364		32,618
Investment income (loss) and interest expense		5,552		3,798
Other income (expense)		(1,401)		(1,258)
Income before provision for income taxes		31,514		35,158
Provision for income taxes		8,349		9,344
Net income	$	23,165	$	25,814

Weighted-average shares outstanding, basic and diluted		26,898,443		26,898,443
Cash dividends per share	$	0.34	$	0.34
Basic and diluted earnings per share	$	0.86	$	0.96
See accompanying notes to Condensed Consolidated Financial Statements.

Table of Contents

WEIS MARKETS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(unaudited)


	13 Weeks Ended
(amounts in thousands)		March 30, 2024		April 1, 2023
Net income	$	23,165	$	25,814
Other comprehensive income (loss) by component, net of tax:
Available-for-sale marketable securities
Unrealized holding gains (losses) arising during period (Net of deferred taxes of $163 and $632, respectively for the thirteen weeks ended)		(455)		1,707
Other comprehensive income gain (loss), net of tax		(455)		1,707
Comprehensive income, net of tax	$	22,710	$	27,521
See accompanying notes to Condensed Consolidated Financial Statements.

Table of Contents

WEIS MARKETS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

(unaudited)


						Accumulated
(amounts in thousands, except shares)						Other						Total
For the Thirteen Weeks Ended	Common Stock			Retained		Comprehensive		Treasury Stock				Shareholders’
March 30, 2024 and April 1, 2023	Shares	Amount		Earnings		Income (Loss)		Shares		Amount		Equity
Balance at December 30, 2023	33,047,807	$	9,949	$	1,516,438	$	(1,193)		6,149,364	$	(150,857)	$	1,374,337
Net income	—		—		23,165		—		—		—		23,165
Other comprehensive income (loss), net of tax	—		—		-		(455)		—		—		(455)
Dividends paid	—		—		(9,145)		—		—		—		(9,145)
Balance at March 30, 2024	33,047,807	$	9,949	$	1,530,458	$	(1,648)		6,149,364	$	(150,857)	$	1,387,902

Balance at December 31, 2022	33,047,807	$	9,949	$	1,449,191	$	(6,449)		6,149,364	$	(150,857)	$	1,301,834
Net income	—		—		25,814		—		—		—		25,814
Other comprehensive income (loss), net of tax	—		—		—		1,707		—		—		1,707
Dividends paid	—		—		(9,145)		—		—		—		(9,145)
Balance at April 1, 2023	33,047,807	$	9,949	$	1,465,860	$	(4,741)		6,149,364	$	(150,857)	$	1,320,211
See accompanying notes to Condensed Consolidated Financial Statements.

Table of Contents

WEIS MARKETS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited)


	13 Weeks Ended
(amounts in thousands)		March 30, 2024		April 1, 2023
Cash flows from operating activities:
Net income	$	23,166	$	25,814
Adjustments to reconcile net income to
net cash provided by operating activities:
Depreciation and amortization		27,447		26,688
(Gain) loss on disposition of fixed assets		220		1
Unrealized (gain) loss in value of equity securities		(234)		(325)
Deferred income taxes		(407)		2,549
Unrealized (gain) loss in SERP		(1,306)		(1,196)
Changes in operating assets and liabilities:
Inventories		395		(14,526)
Accounts receivable and prepaid expenses		(1,857)		1,410
Accounts payable and other liabilities		(20,175)		(40,190)
Income taxes		7,455		6,615
Other		(466)		1,104
Net cash provided by operating activities		34,239		7,944
Cash flows from investing activities:
Purchase of property and equipment		(35,530)		(17,731)
Proceeds from the sale of property and equipment		32		16
Purchase of marketable securities		(62,814)		(35,958)
Proceeds from the sale and maturities of marketable securities		26,798		10,372
Purchase of intangible assets		(419)		(6)
Change in SERP investment		(1,192)		86
Net cash used in investing activities		(73,125)		(43,221)
Cash flows from financing activities:
Dividends paid		(9,145)		(9,145)
Net cash used in financing activities		(9,145)		(9,145)
Net increase (decrease) in cash and cash equivalents		(48,031)		(44,422)
Cash and cash equivalents at beginning of year		184,217		157,997
Cash and cash equivalents at end of period	$	136,185	$	113,575
See accompanying notes to Condensed Consolidated Financial Statements. In the first thirteen weeks of 2024, there was $1.3 million cash paid for income taxes compared to $179 thousand in 2023 for the same period. Cash paid for interest related to long-term debt was $16 thousand and $8 thousand in the first thirteen weeks of 2024 and 2023, respectively.

Table of Contents

WEIS MARKETS, INC.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)

(1) Significant Accounting Policies

Basis of Presentation: The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, all adjustments (consisting of normal recurring deferrals and accruals) considered necessary for a fair presentation have been included. The operating results for the periods presented are not necessarily indicative of the results to be expected for the full year. The Company has evaluated subsequent events for disclosure through the date of issuance of the accompanying unaudited Condensed Consolidated Financial Statements and there were no material subsequent events which require additional disclosure. For further information, refer to the Consolidated Financial Statements and footnotes thereto included in the Company’s latest Annual Report on Form 10-K.

(2) Current Relevant Accounting Standards

The Company regularly monitors recently issued accounting standards and assesses their applicability and impact. The Company believes that there are no accounting standard updates that have or will have a material or significant impact on the Company’s accounting policies.

The FASB issued ASU 2023-09, Improvements to Income Tax Disclosures (“ASU 2023-09”), that is intended to enhance the transparency and decision usefulness of income tax disclosures. ASU 2023-09 requires disclosures of reconciliation of the expected tax at the applicable statutory federal income tax rate to the reported tax in a tabular format, using both percentages and amounts, broken out into specific categories with certain reconciling items of five percent or greater of the expected tax further broken out by nature and/or jurisdiction, disclosure of income taxes paid, net of refunds received, broken out between federal and state and local income taxes and payments to individual jurisdictions representing five percent or more of the total income tax payments must also be separately disclosed.

The disclosures required by ASU 2023-09 are required in the Company’s annual financial statements beginning with the year ended December 28, 2024, with early adoption permitted.

(3) Marketable Securities

The Company’s marketable securities are all classified as available-for-sale within “Current Assets” in the Company’s Condensed Consolidated Balance Sheets. The Financial Accounting Standards Board (FASB) has established three levels of inputs that may be used to measure fair value:

Level 1Observable inputs such as quoted prices in active markets for identical assets or liabilities;

Level 2Observable inputs, other than Level 1 inputs in active markets, that are observable either directly or indirectly; and

Level 3Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions.

The Company’s marketable securities valued using Level 1 inputs include highly liquid equity securities, for which quoted market prices are available. The Company’s bond and commercial paper portfolio is valued using a combination of pricing for similar securities, recently executed transactions, cash flow models with yield curves and other pricing models utilizing observable inputs, which are considered Level 2 inputs.

For Level 2 investment valuation, the Company utilizes standard pricing procedures of its investment advisory firm which includes various third-party pricing services. These procedures also require specific price monitoring practices as well as pricing review reports, valuation oversight and pricing challenge procedures to maintain the most accurate representation of investment fair market value.

Table of Contents

WEIS MARKETS, INC.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)

The Company accrues interest on its bond and commercial paper portfolio throughout the life of each bond and commercial paper held. Dividends from the equity securities are recognized as received. Interest, dividends and unrealized gains and losses on equity securities are recognized in “Investment income (loss) and interest expense” on the Company’s Condensed Consolidated Statements of Income. The Company recognized investment gain of $4.1 million in the thirteen weeks ended March 30, 2024, which included an unrealized gain in equity securities of $234 thousand. In the thirteen weeks ended April 1, 2023, the Company recognized investment gain of $2.5 million, which included an unrealized gain in equity securities of $325 thousand.

Marketable securities, as of March 30, 2024 and December 30, 2023, consisted of:


			Gross		Gross
(amounts in thousands)	Amortized		Unrealized		Unrealized		Fair
March 30, 2024	Cost		Holding Gains		Holding Losses		Value
Available-for-sale:
Level 1
Equity securities							$	5,144
Level 2
Corporate and municipal bonds	$	170,489	$	3,382	$	(6,886)		166,985
Commercial Paper		87,950		1,262		—		89,212
Total	$	258,439	$	4,644	$	(6,886)	$	261,341


			Gross		Gross
(amounts in thousands)	Amortized		Unrealized		Unrealized		Fair
December 30, 2023	Cost		Holding Gains		Holding Losses		Value
Available-for-sale:
Level 1
Equity securities							$	4,910
Level 2
Corporate and municipal bonds	$	177,972	$	3,853	$	(6,553)		175,272
Commercial paper		44,732		1,076		—		45,808
Total	$	222,704	$	4,929	$	(6,553)	$	225,991

Maturities of marketable securities classified as available-for-sale at March 30, 2024, were as follows:


	Amortized		Fair
(amounts in thousands)	Cost		Value
Available-for-sale:
Due within one year	$	137,219	$	139,073
Due after one year through five years		67,518		64,497
Due after five years through ten years		14,565		13,685
Due after ten years		39,137		38,942
Total	$	258,439	$	256,197

Table of Contents

WEIS MARKETS, INC.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)

SERP Investments

The Company also maintains a non-qualified supplemental executive retirement plan for certain of its associates which allows them to defer income to future periods. Participants in the plans earn a return on their deferrals based on mutual fund investments. The Company chooses to invest in the underlying mutual fund investments to offset the liability associated with the non-qualified deferred compensation plans. Such investments are reported on the Company’s Condensed Consolidated Balance Sheets as “SERP investment,” are classified as trading securities and are measured at fair value using Level 1 inputs with gains and losses included in “Investment income (loss) and interest expense” on the Company’s Condensed Consolidated Statements of Income. The Company recognized investment income of $1.4 million in the thirteen weeks ended March 30, 2024, and investment income of $1.3 million in the same period in 2023. The changes in the underlying liability to the associates are recorded in “Other income (expense).”

(4) Accumulated Other Comprehensive Income

All balances in accumulated other comprehensive income are related to available-for-sale marketable securities. The following table sets forth the balance of the Company’s accumulated other comprehensive income, net of tax.


	Unrealized Gains (Losses)
	on Available-for-Sale
(amounts in thousands)	Marketable Securities
Accumulated other comprehensive income (loss) balance as of December 30, 2023	$	(1,193)
Other comprehensive income (loss)		(455)
Net current period other comprehensive income (loss)		(455)
Accumulated other comprehensive income (loss) balance as of March 30, 2024	$	(1,648)

(5) Long-Term Debt

On September 1, 2016, Weis Markets entered into a revolving credit agreement with Wells Fargo Bank, N.A. (the “Credit Agreement”), which was amended on September 29, 2023, and matures on October 1, 2027. The Credit Agreement provides for an unsecured revolving credit facility with an aggregate principal amount not to exceed $30.0 million with an additional discretionary amount available of $70.0 million. As of March 30, 2024, the availability under the Credit Agreement was $22.3 million, net of $7.7 million letters of credit. The letters of credit are maintained primarily to support performance, payment, deposit or surety obligations of the Company. The Company has not had an obligation on the Credit Agreement since the second quarter of 2018.

Interest expense related to long-term debt was $16 thousand and $8 thousand in the thirteen weeks ended March 30, 2024, and April 1, 2023, respectively.

(6) Revenue Recognition

The Chief Operating Officer, the Company’s chief operating decision maker, analyzes store operational revenues by geographical area but each area offers customers similar products, has similar distribution methods, and is supported by centralized management processes. The Company’s operations are reported as a single reportable segment.

The following tables represent net sales by type of product for the thirteen weeks ended March 30, 2024, and April 1, 2023:


	13 Weeks Ended
(amounts in thousands)	March 30, 2024				April 1, 2023
Grocery	$	981,014	83.3	%	$	969,813	84.7	%
Pharmacy		141,223	12.0			118,629	10.4
Fuel		53,398	4.5			53,691	4.7
Manufacturing		2,533	0.2			2,841	0.2
Total net sales	$	1,178,168	100.0	%	$	1,144,974	100.0	%

Table of Contents

WEIS MARKETS, INC.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)

(7) Leases

As of March 30, 2024, the Company leased approximately 49% of its open store facilities under operating leases that expire at various dates through 2036, with the remaining store facilities being owned. These leases generally provide for fixed annual rentals; however, several provide for minimum annual rentals plus variable lease costs related to real estate taxes and insurance as well as contingent rentals based on a percentage of annual sales or increases periodically based on inflation. These variable lease costs are not included in the measurement of the operating lease right-to-use assets or lease liabilities and are charged to the related expense category included in “Operating, general and administrative expenses.” Most of the leases contain multiple renewal options, under which the Company may extend the lease terms from 5 to 20 years. Additionally, the Company has operating leases for certain transportation and other equipment.

The Company leases or subleases space to tenants in owned, vacated and open store facilities. Rental income is recorded when earned as a component of “Operating, general and administrative expenses.”

The following is a schedule of the lease costs included in “Operating, general and administrative expenses” for the thirteen weeks ended March 30, 2024, and April 1, 2023.


	13 Weeks Ended
(amounts in thousands)		March 30, 2024		April 1, 2023
Operating lease cost	$	11,652	$	11,792
Variable lease cost		2,759		2,839
Lease or sublease income		(2,620)		(2,481)
Net lease cost	$	11,792	$	12,150

Table of Contents

WEIS MARKETS, INC.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis of Weis Markets, Inc.’s (the “Company”) financial condition and results of operations should be read in conjunction with the unaudited Condensed Consolidated Financial Statements and related notes included in Item 1 of this Quarterly Report on Form 10-Q, the Company’s audited Consolidated Financial Statements and the related notes included in the Company’s Annual Report on Form 10-K for the year ended December 30, 2023, filed with the U.S. Securities and Exchange Commission, as well as the cautionary statement captioned "Forward-Looking Statements" immediately following this analysis.

Company Summary

Weis Markets is a conventional supermarket chain that operates 196 retail stores with over 23 thousand associates located in Pennsylvania and six surrounding states: Delaware, Maryland, New Jersey, New York, Virginia and West Virginia. Approximately 95% of Weis Markets associates are paid an hourly wage. Its products sold include groceries, dairy products, frozen foods, meats, seafood, fresh produce, floral, pharmacy services at certain locations, deli products, prepared foods, bakery products, beer and wine, fuel, and general merchandise items, such as health and beauty care and household products. The store product selection includes national, local and private brands and the Company promotes competitive pricing by using Everyday Lower Price; Low Price Guarantee; Low, Low Price; 3 Day Sale; senior and military discounts; and Loyalty programs. The Loyalty program includes reward points that may be redeemed for discounts on items in store, at one of the Company’s fuel stations or one of its third-party fuel station partners.

Utilizing its own strategically located distribution center and transportation fleet, Weis Markets self distributes approximately 53% of products with the remaining being supplied by direct store delivery vendors and regional wholesalers. In addition, the Company has three manufacturing facilities which process milk, ice cream and fresh meat products. The corporate offices are located in Sunbury, PA where the Company was founded in 1912.

The Company has provided additional product offerings and customer conveniences such as “Weis 2 Go Online,” currently offered at 188 store locations. “Weis 2 Go Online” allows the customer to order on-line and have their order delivered or picked up at an expedient store drive-thru. The Company also currently offers home delivery to customers in all 196 of its locations via multiple grocery delivery partners.

Table of Contents

WEIS MARKETS, INC.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(continued)

Two-Year Stacked Comparable Store Sales Analysis

Management is providing Comparable Store Sales Two-Year Stacked analysis, a non-GAAP measure, because management believes this metric is useful to investors and analysts. A Comparable Store Sales Two-Year Stacked analysis presents a comparison of results and trends over a longer period of time to demonstrate the effect of fluctuating economic activity on the operating results of the Company. Information presented in the tables below is not intended for use as an alternative to any other measure of performance. It is not recommended that this table be considered a substitute for the Company’s operating results as reported in accordance with GAAP.

Year-over-year and sequential comparisons are the primary calculations used to analyze operating results, however, due to fluctuations caused by declining government benefits, pharmacy sales growth, the Easter holiday shift to the first quarter of fiscal 2024 from the second quarter of fiscal 2023 and inflationary trends in the food retail industry, management believes it is necessary to provide a Two-Year Stacked Comparable Store Sales analysis. The following tables provide the two-year stacked comparable store sales, including and excluding fuel, for the periods ended March 30, 2024, and April 1, 2023, as well as periods ended April 1, 2023, and March 26, 2022, respectively. Comparable store sales increased 3.1 percent on an individual year-over-year basis and increased 6.2 percent on a two-year stacked basis for the thirteen weeks ended March 30, 2024.


	Percentage Change
	13 Weeks Ended
		2024 vs. 2023		2023 vs. 2022
Comparable store sales, excluding fuel (individual year)		3.3	%	3.6	%
Comparable store sales, excluding fuel (two-year stacked)		6.9
Comparable store sales (individual year)		3.1		3.1	%
Comparable store sales (two-year stacked)		6.2
Comparable store sales, adjusted for Easter shift (individual year)		1.9	%

When calculating the percentage change in comparable store sales, the Company defines a new store to be comparable after it has been in operation for five full fiscal quarters. Relocated stores and stores with expanded square footage are included in comparable store sales since these units are located in existing markets and are open during construction. Planned store dispositions are excluded from the calculation. The Company only includes retail food stores in the calculation.

Table of Contents

WEIS MARKETS, INC.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(continued)

Results of Operations

Analysis of Consolidated Statements of Income


							Percentage Change
	13 Weeks Ended						13 Weeks Ended
(amounts in thousands, except per share amounts)		March 30, 2024			April 1, 2023		2024 vs. 2023
Net sales	$	1,178,168		$	1,144,974		2.9	%
Cost of sales, including advertising, warehousing and distribution expenses		887,194			859,185		3.3
Gross profit on sales		290,974			285,789		1.8
Gross profit margin		24.7	%		25.0	%
Operating, general and administrative expenses		263,610			253,171		4.1
O, G & A, percent of net sales		22.4	%		22.1	%
Income from operations		27,364			32,618		(16.1)
Operating margin		2.3	%		2.8	%
Investment income (loss) and interest expense		5,552			3,798		46.2
Investment income (loss) and interest expense, percent of net sales		0.5	%		0.3	%
Other income (expense)		(1,401)			(1,258)		11.4
Other income (expense), percent of net sales		(0.1)	%		(0.1)	%
Income before provision for income taxes		31,514			35,158		(10.4)
Income before provision for income taxes, percent of net sales		2.7	%		3.1	%
Provision for income taxes		8,349			9,344		(10.6)
Effective income tax rate		26.5	%		26.6	%
Net income	$	23,165		$	25,814		(10.3)	%
Net income, percent of net sales		2.0	%		2.3	%
Basic and diluted earnings per share	$	0.86		$	0.96		(10.4)	%

Net Sales

Individual Year-Over-Year Analysis of Sales


	Percentage Change
	2024 vs. 2023
March 30, 2024	13 Weeks Ended
Net sales, excluding fuel	3.3	%
Net sales	2.9
Net sales, adjusted for Easter shift	2.0
Comparable store sales, excluding fuel (individual year)	3.3
Comparable store sales (individual year)	3.1
Comparable store sales, adjusted for Easter shift (individual year)	1.9	%

Table of Contents

WEIS MARKETS, INC.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(continued)

According to the latest U.S. Bureau of Labor Statistics’ report, the Seasonally Adjusted Food-at-Home Consumer Price Index increased 1.6% and 0.4% for the thirteen week periods ended March 30, 2024 and April 1, 2023, respectively. According to the U.S. Department of Energy, the average price of gasoline in the Central Atlantic States decreased 5.0% or $0.18 per gallon in the thirteen weeks ended March 30, 2024, compared to the same period in 2023. Even though the U.S. Bureau of Labor Statistics’ and the U.S. Department of Energy indices may be reflective of a trend, it will not necessarily be indicative of the Company’s actual results.

Comparable store sales for the thirteen weeks ended March 30, 2024, compared to the same period in 2023 increased 3.3% excluding fuel and 3.1% including fuel. Comparable store sales adjusted for the Easter holiday shift for the thirteen weeks ended March 30, 2024, compared to the same period in 2023 increased 1.9%. On a comparable store sales basis pharmacy services increased in sales.

Total net sales for the thirteen weeks ended March 30, 2024, compared to the same period in 2023 increased 3.3% excluding fuel and 2.9% including fuel. Total net sales adjusted for the Easter holiday shift for the thirteen weeks ended March 30, 2024, compared to the same period in 2023 increased 2.0%. The Company’s first quarter sales benefited from the Easter holiday period, which occured in the second quarter last year. Management estimates the incremental holiday sales impact was approximately $14.0 million.

Although the Company experienced retail inflation and deflation in various commodities for the periods presented, the Company anticipates overall product costs to increase given the recent inflationary indicators in the food retail industry. Management cannot accurately measure the full impact of inflation or deflation on retail pricing due to changes in the types of merchandise sold between periods, shifts in customer buying patterns and the fluctuation of competitive factors. Management remains confident in its ability to generate long-term sales growth in a highly competitive environment, but also understands some competitors have greater financial resources and could use these resources to take measures which could adversely affect the Company’s competitive position.

Cost of Sales and Gross Profit

Cost of sales consists of direct product costs (net of discounts and allowances), net advertising costs, distribution center and transportation costs, as well as manufacturing facility operations.

Gross profit on sales increased 1.8% for the thirteen weeks ended March 30, 2024, compared to the same period in 2023. Gross profit margin decreased 0.3% for the thirteen weeks ended March 30, 2024, compared to the same period in 2023. The Company experienced degradation in its gross profit margin as product costs increased in the fresh meats and pharmacy departments and lower margin departments, such as pharmacy, increased in the product mix.

Non-cash LIFO inventory valuation adjustments represent expense of $1.4 million in the first thirteen weeks of 2024 compared to expense of $1.6 million in the same period in 2023. Although the Company experienced cost inflation and deflation in various commodities for the periods presented, the Company anticipates overall product costs to increase given the recent inflationary trends in the food retail industry.

Operating, General and Administrative Expenses

The majority of the operating, general and administrative expenses are driven by sales volume.

Employee expenses such as wages, employer paid taxes, health care benefits and retirement plans, comprise approximately 59.2% of the total “Operating, general and administrative expenses.” As a percent of sales, direct store labor was unchanged in the thirteen week period ended March 30, 2024 when compared to the same period in 2023.

Depreciation and amortization expense charged to “Operating, general and administrative expenses” was $24.8 million, or 2.1% of net sales during the thirteen weeks ended March 30, 2024 compared to $24.1 million, or 2.1% of net sales during the thirteen weeks ended April 1, 2023. See the Liquidity and Capital Resources section for further information regarding the Company’s capital expenditure program.

Table of Contents

WEIS MARKETS, INC.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(continued)


A breakdown of the material increases (decreases) as a percent of sales in "Operating, general and administrative expenses" is as follows:

	13 Weeks Ended
(amounts in thousands)	Increase		Increase (Decrease)
March 30, 2024	(Decrease)		as a % of sales
Associate wages	$	4,880	0.1	%
Associate insurance benefits		(1,264)	(0.1)
Third party services (financial service fees and IT expenses)		4,140	0.3
Other expenses (utilities, repairs and maintenance, supplies and fixed expense)		2,683	-

Overall, the operating, general and administrative expenses as a percent of sales presented for the thirteen weeks ended March 30, 2024 increased in comparison with the 2023 percent of sales. Associate wages and third party services, mainly financial service fees and IT expenses, have increased in dollars as well as a percent of sales for the thirteen weeks ended March 30, 2024 and associate insurance benefits have decreased in dollars as well as a percent of sales.

Provision for Income Taxes

The effective income tax rate was 26.5% and 26.6% for the thirteen weeks ended March 30, 2024 and April 1, 2023, respectively. The effective income tax rate differed from the federal statutory rate, primarily due to the effect of state taxes, net of permanent differences.

Liquidity and Capital Resources

The primary source of cash is cash flows generated from operations. In addition, the Company has access to a revolving credit agreement entered into on September 1, 2016, and amended on September 29, 2023, with Wells Fargo Bank, N.A. (the “Credit Agreement”). The Credit Agreement matures on October 1, 2027, and provides for an unsecured revolving credit facility with an aggregate principal amount not to exceed $30.0 million with an additional discretionary amount available of $70.0 million. As of March 30, 2024, the availability under the revolving credit agreement was $22.3 million, net of $7.7 million letters of credit. The letters of credit are maintained primarily to support performance, payment, deposit or surety obligations of the Company. The Company has not had an obligation on the Credit Agreement since the second quarter of 2018.

The Company’s investment portfolio consists of high-grade bonds and commercial paper with maturity dates between one and 30 years and four high yield, large capitalized public company equity securities. The portfolio totaled $261.3 million as of March 30, 2024. Management anticipates maintaining the investment portfolio but has the ability to liquidate if needed.

The Company’s capital expenditure program includes the construction of new superstores, the expansion and remodeling of existing units, the acquisition of sites for future expansion, new technology purchases and the continued upgrade of the Company’s distribution facilities and transportation fleet. Management continues to invest in its long-term capital expenditure program including plans to complete multiple carryover projects from 2022 and 2023 that were delayed due to labor and supply chain disruptions.

The Company anticipates funding the long-term capital expenditure program, the acquisition of retail stores, the construction of additional distribution facilities, repurchases of common stock, and cash dividends on common stock through its cash and cash equivalents, marketable securities, cash flows from operating activities, and the Credit Agreement. The Company has no other commitment of capital resources as of March 30, 2024, other than the lease commitments on its store facilities and transportation equipment under operating leases that expire at various dates through 2036.

Table of Contents

WEIS MARKETS, INC.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(continued)

The Board of Directors’ 2004 resolution authorizing the repurchase of up to one million shares of the Company’s common stock has a remaining balance of 752,468 shares.

Quarterly Cash Dividends

At its regular meeting held in May, the Board of Directors declared a quarterly dividend of $0.34 per share, payable on May 28, 2024, to shareholders of record on May 13, 2024. The Company expects to continue paying regular cash dividends on a quarterly basis. However, the Board of Directors reconsiders the declaration of dividends quarterly. The Company pays these dividends at the discretion of the Board of Directors and the continuation of these payments and the amount of the dividends depends upon the results of operations, the financial condition of the Company and other factors which the Board of Directors deems relevant.

Cash Flow Information


	13 Weeks Ended
(amounts in thousands)		March 30, 2024		April 1, 2023		2024 vs. 2023
Net cash provided by (used in):
Operating activities	$	34,238	$	7,944	$	26,294
Investing activities		(73,125)		(43,221)		(29,904)
Financing activities		(9,145)		(9,145)		—

Operating

Cash flows from operating activities increased $26.3 million in the first thirteen weeks of 2024 compared to the first thirteen weeks of 2023. The increase in cash flow from operating activities is primarily due to less inventory purchases and settling fewer working capital obligations in the first thirteen weeks of 2024 when compared to the same period in 2023.

Investing

In the first thirteen weeks of 2024, when compared to the same period in 2023, the purchase of property and equipment, net of proceeds from sales, increased $17.8 million and the purchases of marketable securities, net of proceeds from sales, increased by $10.4 million. Additionally, as a percent of sales, capital expenditures were 2.5% in the first thirteen weeks of 2024 and 1.6% in the first thirteen weeks of 2023. The increase as a percent of sales in 2024 compared to 2023 is due to the purchase of two previously leased store locations. For the remainder of 2024, management anticipates maintaining the investment portfolio but has the ability to liquidate if needed.

Financing

The Company paid dividends of $9.1 million and $9.1 million in the first thirteen weeks of 2024 and 2023, respectively.

Table of Contents

WEIS MARKETS, INC.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(continued)

Accounting Policies and Estimates

The Company has chosen accounting policies that it believes are appropriate to accurately and fairly report its operating results and financial position, and the Company applies those accounting policies in a consistent manner. The Significant Accounting Policies are summarized in Note 1 to the Consolidated Financial Statements included in the 2023 Annual Report on Form 10-K. There have been no changes to the Significant Accounting Policies since the Company filed its Annual Report on Form 10-K for the fiscal year ended December 30, 2023.

Forward-Looking Statements

In addition to historical information, this Form 10-Q report may contain forward-looking statements, which are included pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. For example, risks and uncertainties can arise with changes in: general economic conditions, including their impact on capital expenditures; business conditions in the retail industry; the regulatory environment; rapidly changing technology and competitive factors, including increased competition with regional and national retailers; and price pressures. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect Management’s analysis only as of the date hereof. The Company undertakes no obligation to publicly revise or update these forward-looking statements to reflect events or circumstances that arise after the date hereof. Readers should carefully review the risk factors described in other documents the Company files periodically with the Securities and Exchange Commission.

Table of Contents

WEIS MARKETS, INC.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Quantitative Disclosure - There have been no material changes in the Company’s market risk during the fiscal quarter ended March 30, 2024. Quantitative information is set forth in Item 7a on the Company’s Annual Report on Form 10-K under the caption “Quantitative and Qualitative Disclosures About Market Risk,” which was filed for the fiscal year ended December 30, 2023, and is incorporated herein by reference.

Qualitative Disclosure - This information is set forth in the Company’s Annual Report on Form 10-K under the caption “Liquidity and Capital Resources,” within “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” which was filed for the fiscal year ended December 30, 2023, and is incorporated herein by reference.

ITEM 4. CONTROLS AND PROCEDURES

The Chief Executive Officer and the Chief Financial Officer, together with the Company’s Disclosure Committee, evaluated the Company’s disclosure controls and procedures as of the fiscal quarter ended March 30, 2024. Based on that evaluation, the Chief Executive Officer and Chief Financial Officer concluded that the Company’s disclosure controls and procedures were effective as of the end of the period covered by this report to ensure that information required to be disclosed by the Company in the reports filed or submitted by it under the Securities Exchange Act of 1934, as amended, was recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and include controls and procedures designed to ensure that information required to be disclosed by the Company in such reports was accumulated and communicated to the Company’s management, including the Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

In connection with the evaluation described above, there was no change in the Company’s internal control over financial reporting during the fiscal quarter ended March 30, 2024, that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

Table of Contents

WEIS MARKETS, INC.

PART II – OTHER INFORMATION

ITEM 5. OTHER INFORMATION

During the thirteen weeks ended March 30, 2024, no director or officer of the Company, nor the Company itself, adopted or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408(a) of Regulation S-K.

ITEM 6. EXHIBITS

Exhibits


	Exhibit 31.1 Rule 13a-14(a) Certification - CEO
	Exhibit 31.2 Rule 13a-14(a) Certification - CFO
	Exhibit 32 Certification Pursuant to 18 U.S.C. Section 1350
	Exhibit 101 The following financial information from the Company’s Quarterly Report on Form 10-Q for the quarter ended March 30, 2024, formatted in Inline XBRL (Extensible Business Reporting Language) includes: (i) the Condensed Consolidated Balance Sheets, (ii) the Condensed Consolidated Statements of Income, (iii) the Condensed Consolidated Statements of Comprehensive Income, (iv) the Condensed Consolidated Statements of Shareholders' Equity, (v) the Condensed Consolidated Statements of Cash Flows, and (vi) the Notes to Condensed Consolidated Financial Statements. The instance document does not appear in the interactive data file because its XBRL tags are embedded within the Inline XBRL document.
	Exhibit 104 Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).

Table of Contents

WEIS MARKETS, INC.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


		WEIS MARKETS, INC.
		(Registrant)

Date:	5/9/2024	/S/Jonathan H. Weis
		Jonathan H. Weis
		Chairman,
		President and Chief Executive Officer
		(Principal Executive Officer)

Date:	5/9/2024	/S/Michael T. Lockard
		Michael T. Lockard
		Senior Vice President, Chief Financial Officer
		and Treasurer
		(Principal Financial Officer)

Exhibit 31.1

WEIS MARKETS, INC.

CERTIFICATION- CHIEF EXECUTIVE OFFICER

Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Jonathan H. Weis, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Weis Markets, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the periods covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal controls over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.


Date:	May 9, 2024	/S/Jonathan H. Weis
		Jonathan H. Weis
		Chairman,
		President and Chief Executive Officer

Exhibit 31.2

WEIS MARKETS, INC.

CERTIFICATION- CHIEF FINANCIAL OFFICER

Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Michael T. Lockard, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Weis Markets, Inc.;

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.


Date:	May 9, 2024	/S/Michael T. Lockard
		Michael T. Lockard
		Senior Vice President, Chief Financial Officer
		and Treasurer

Exhibit 32

WEIS MARKETS, INC.

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report of Weis Markets, Inc. (the “Company”) on Form 10-Q for the fiscal quarter ended March 30, 2024, as filed with the Securities and Exchange Commission on the date hereof (the "Report"), we, Jonathan H. Weis, Chairman, President and Chief Executive Officer, and Michael T. Lockard, Senior Vice President, Chief Financial Officer and Treasurer, of the Company, certify, pursuant to and for purposes of 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1) to my knowledge the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/S/Jonathan H. Weis

Jonathan H. Weis

Chairman, President and Chief Executive Officer

5/9/2024

/S/Michael T. Lockard

Michael T. Lockard

Senior Vice President, Chief Financial Officer and Treasurer

5/9/2024

The foregoing certification is being furnished solely pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (Section 1350 of Chapter 63 of Title 18 of the United States Code) and is not being filed as part of the report or as a separate disclosure document.

A signed original of this written statement required by Section 906 has been provided to Weis Markets, Inc. and will be retained by Weis Markets, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 30, 2024	May 09, 2024
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 30, 2024
Document Transition Report	false
Entity File Number	1-5039
Entity Registrant Name	WEIS MARKETS, INC
Entity Incorporation, State or Country Code	PA
Entity Tax Identification Number	24-0755415
Entity Address, Address Line One	1000 S. Second Street
Entity Address, Address Line Two	P. O. Box 471
Entity Address, City or Town	Sunbury
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	17801-0471
City Area Code	570
Local Phone Number	286-4571
Title of 12(b) Security	Common stock, no par value
Trading Symbol	WMK
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		26,898,443
Entity Central Index Key	0000105418
Document Fiscal Period Focus	Q1
Current Fiscal Year End Date	--12-28
Amendment Flag	false
Document Fiscal Year Focus	2024

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 30, 2024	Dec. 30, 2023
Current:
Cash and cash equivalents	$ 136,184	$ 184,217
Marketable securities	261,341	225,991
SERP investment	29,156	26,651
Accounts receivable, net	66,080	65,092
Inventories	295,761	296,157
Prepaid expenses and other current assets	34,976	34,107
Total current assets	823,499	832,214
Property and equipment, net	970,127	961,353
Operating lease right-to-use	166,089	174,208
Goodwill	52,330	52,330
Intangible and other assets, net	20,799	19,527
Total assets	2,032,843	2,039,632
Current:
Accounts payable	224,849	226,164
Accrued expenses	24,957	42,676
Operating leases	40,413	40,658
Accrued self-insurance	19,124	18,353
Deferred revenue, net	9,737	12,416
Income taxes payable	7,971	516
Total current liabilities	327,051	340,782
Postretirement benefit obligations	30,736	29,032
Accrued self-insurance	25,165	25,174
Operating leases	134,184	142,345
Deferred income taxes	117,527	118,091
Other	10,277	9,871
Total liabilities	644,941	665,296
Shareholders' Equity
Common stock, no par value, 100,800,000 shares authorized, 33,047,807 shares issued, 26,898,443 shares outstanding	9,949	9,949
Retained earnings	1,530,458	1,516,438
Accumulated other comprehensive income (loss)(Net of deferred taxes of $455 in 2024 and $430 in 2023)	(1,648)	(1,193)
Shareholders' equity before treasury stock	1,538,759	1,525,194
Treasury stock at cost, 6,149,364 shares	(150,857)	(150,857)
Total shareholders' equity	1,387,902	1,374,337
Total liabilities and shareholders' equity	$ 2,032,843	$ 2,039,632

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Mar. 30, 2024	Dec. 30, 2023
CONDENSED CONSOLIDATED BALANCE SHEETS
Common stock, par value	$ 0	$ 0
Common stock, shares authorized	100,800,000	100,800,000
Common stock, shares issued	33,047,807	33,047,807
Common stock, shares outstanding	26,898,443	26,898,443
Accumulated other comprehensive income, deferred taxes	$ 455	$ 430
Treasury stock, shares	6,149,364	6,149,364

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
Net sales	$ 1,178,168	$ 1,144,974
Cost of sales, including advertising, warehousing and distribution expenses	887,194	859,185
Gross profit on sales	290,974	285,789
Operating, general and administrative expenses	263,610	253,171
Income from operations	27,364	32,618
Investment income (loss) and interest expense	5,552	3,798
Other income (expense)	(1,401)	(1,258)
Income before provision for income taxes	31,514	35,158
Provision for income taxes	8,349	9,344
Net income	$ 23,165	$ 25,814
Weighted-average shares outstanding, basic	26,898,443	26,898,443
Weighted-average shares outstanding, diluted	26,898,443	26,898,443
Cash dividends per share	$ 0.34	$ 0.34
Basic earnings per share	0.86	0.96
Diluted earnings per share	$ 0.86	$ 0.96

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net income	$ 23,165	$ 25,814
Available-for-sale marketable securities
Unrealized holding gains (losses) arising during period (Net of deferred taxes of $163 and $632, respectively for the thirteen weeks ended)	(455)	1,707
Other comprehensive income gain (loss), net of tax	(455)	1,707
Comprehensive income, net of tax	$ 22,710	$ 27,521

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Unrealized holding gains (losses) arising during period, deferred taxes	$ 163	$ 632

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Treasury Stock	Total
Accumulated other comprehensive income (loss) balance, Beginning at Dec. 31, 2022	$ 9,949	$ 1,449,191	$ (6,449)	$ (150,857)	$ 1,301,834
Balance, shares at Dec. 31, 2022	33,047,807
Balance, treasury shares at Dec. 31, 2022				6,149,364
Increase (Decrease) in Stockholders' Equity
Net income		25,814			25,814
Other comprehensive income (loss), net of tax			1,707		1,707
Dividends paid		(9,145)			(9,145)
Accumulated other comprehensive income (loss) balance, Ending at Apr. 01, 2023	$ 9,949	1,465,860	(4,741)	$ (150,857)	1,320,211
Balance, shares at Apr. 01, 2023	33,047,807
Balance, treasury shares at Apr. 01, 2023				6,149,364
Accumulated other comprehensive income (loss) balance, Beginning at Dec. 30, 2023	$ 9,949	1,516,438	(1,193)	$ (150,857)	$ 1,374,337
Balance, shares at Dec. 30, 2023	33,047,807				26,898,443
Balance, treasury shares at Dec. 30, 2023				6,149,364	6,149,364
Increase (Decrease) in Stockholders' Equity
Net income		23,165			$ 23,165
Other comprehensive income (loss), net of tax			(455)		(455)
Dividends paid		(9,145)			(9,145)
Accumulated other comprehensive income (loss) balance, Ending at Mar. 30, 2024	$ 9,949	$ 1,530,458	$ (1,648)	$ (150,857)	$ 1,387,902
Balance, shares at Mar. 30, 2024	33,047,807				26,898,443
Balance, treasury shares at Mar. 30, 2024				6,149,364	6,149,364

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
Cash flows from operating activities:
Net income	$ 23,166	$ 25,814
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	27,447	26,688
(Gain) loss on disposition of fixed assets	220	1
Unrealized (gain) loss in value of equity securities	(234)	(325)
Deferred income taxes	(407)	2,549
Unrealized (gain) loss in SERP	(1,306)	(1,196)
Changes in operating assets and liabilities:
Inventories	395	(14,526)
Accounts receivable and prepaid expenses	(1,857)	1,410
Accounts payable and other liabilities	(20,175)	(40,190)
Income taxes	7,455	6,615
Other	(466)	1,104
Net cash provided by operating activities	34,239	7,944
Cash flows from investing activities:
Purchase of property and equipment	(35,530)	(17,731)
Proceeds from the sale of property and equipment	32	16
Purchase of marketable securities	(62,814)	(35,958)
Proceeds from the sale and maturities of marketable securities	26,798	10,372
Purchase of intangible assets	(419)	(6)
Change in SERP investment	(1,192)	86
Net cash used in investing activities	(73,125)	(43,221)
Cash flows from financing activities:
Dividends paid	(9,145)	(9,145)
Net cash used in financing activities	(9,145)	(9,145)
Net increase (decrease) in cash and cash equivalents	(48,031)	(44,422)
Cash and cash equivalents at beginning of year	184,217	157,997
Cash and cash equivalents at end of period	$ 136,185	$ 113,575

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
Income taxes paid	$ 1,300	$ 179
Interest paid	$ 16	$ 8

Significant Accounting Policies

3 Months Ended

Mar. 30, 2024

Significant Accounting Policies

Significant Accounting Policies

(1) Significant Accounting Policies

Current Relevant Accounting Standards

3 Months Ended

Mar. 30, 2024

Current Relevant Accounting Standards

Current Relevant Accounting Standards

(2) Current Relevant Accounting Standards

The disclosures required by ASU 2023-09 are required in the Company’s annual financial statements beginning with the year ended December 28, 2024, with early adoption permitted.

Marketable Securities

3 Months Ended

Mar. 30, 2024

Marketable Securities.

Marketable Securities

(3) Marketable Securities

Level 1Observable inputs such as quoted prices in active markets for identical assets or liabilities;

Level 2Observable inputs, other than Level 1 inputs in active markets, that are observable either directly or indirectly; and

Level 3Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions.

Marketable securities, as of March 30, 2024 and December 30, 2023, consisted of:


			Gross		Gross
(amounts in thousands)	Amortized		Unrealized		Unrealized		Fair
March 30, 2024	Cost		Holding Gains		Holding Losses		Value
Available-for-sale:
Level 1
Equity securities							$	5,144
Level 2
Corporate and municipal bonds	$	170,489	$	3,382	$	(6,886)		166,985
Commercial Paper		87,950		1,262		—		89,212
Total	$	258,439	$	4,644	$	(6,886)	$	261,341


			Gross		Gross
(amounts in thousands)	Amortized		Unrealized		Unrealized		Fair
December 30, 2023	Cost		Holding Gains		Holding Losses		Value
Available-for-sale:
Level 1
Equity securities							$	4,910
Level 2
Corporate and municipal bonds	$	177,972	$	3,853	$	(6,553)		175,272
Commercial paper		44,732		1,076		—		45,808
Total	$	222,704	$	4,929	$	(6,553)	$	225,991

Maturities of marketable securities classified as available-for-sale at March 30, 2024, were as follows:


	Amortized		Fair
(amounts in thousands)	Cost		Value
Available-for-sale:
Due within one year	$	137,219	$	139,073
Due after one year through five years		67,518		64,497
Due after five years through ten years		14,565		13,685
Due after ten years		39,137		38,942
Total	$	258,439	$	256,197

SERP Investments

Accumulated Other Comprehensive Income

3 Months Ended

Mar. 30, 2024

Accumulated Other Comprehensive Income

Accumulated Other Comprehensive Income

(4) Accumulated Other Comprehensive Income


	Unrealized Gains (Losses)
	on Available-for-Sale
(amounts in thousands)	Marketable Securities
Accumulated other comprehensive income (loss) balance as of December 30, 2023	$	(1,193)
Other comprehensive income (loss)		(455)
Net current period other comprehensive income (loss)		(455)
Accumulated other comprehensive income (loss) balance as of March 30, 2024	$	(1,648)

Long-Term Debt

3 Months Ended

Mar. 30, 2024

Long-Term Debt

Long-Term Debt

(5) Long-Term Debt

Interest expense related to long-term debt was $16 thousand and $8 thousand in the thirteen weeks ended March 30, 2024, and April 1, 2023, respectively.

Revenue Recognition

3 Months Ended

Mar. 30, 2024

Revenue Recognition

Revenue Recognition

(6) Revenue Recognition

The following tables represent net sales by type of product for the thirteen weeks ended March 30, 2024, and April 1, 2023:


	13 Weeks Ended
(amounts in thousands)	March 30, 2024				April 1, 2023
Grocery	$	981,014	83.3	%	$	969,813	84.7	%
Pharmacy		141,223	12.0			118,629	10.4
Fuel		53,398	4.5			53,691	4.7
Manufacturing		2,533	0.2			2,841	0.2
Total net sales	$	1,178,168	100.0	%	$	1,144,974	100.0	%

Leases

3 Months Ended

Mar. 30, 2024

Leases

Leases

(7) Leases

The following is a schedule of the lease costs included in “Operating, general and administrative expenses” for the thirteen weeks ended March 30, 2024, and April 1, 2023.


	13 Weeks Ended
(amounts in thousands)		March 30, 2024		April 1, 2023
Operating lease cost	$	11,652	$	11,792
Variable lease cost		2,759		2,839
Lease or sublease income		(2,620)		(2,481)
Net lease cost	$	11,792	$	12,150

Significant Accounting Policies (Policies)	3 Months Ended
Significant Accounting Policies (Policies)	Mar. 30, 2024
Significant Accounting Policies
Basis of Presentation	Basis of Presentation: The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, all adjustments (consisting of normal recurring deferrals and accruals) considered necessary for a fair presentation have been included. The operating results for the periods presented are not necessarily indicative of the results to be expected for the full year. The Company has evaluated subsequent events for disclosure through the date of issuance of the accompanying unaudited Condensed Consolidated Financial Statements and there were no material subsequent events which require additional disclosure. For further information, refer to the Consolidated Financial Statements and footnotes thereto included in the Company’s latest Annual Report on Form 10-K.
Current Relevant Accounting Standards	The Company regularly monitors recently issued accounting standards and assesses their applicability and impact. The Company believes that there are no accounting standard updates that have or will have a material or significant impact on the Company’s accounting policies.

Marketable Securities (Tables)

3 Months Ended

Mar. 30, 2024

Marketable Securities.

Schedule Of Marketable Securities


			Gross		Gross
(amounts in thousands)	Amortized		Unrealized		Unrealized		Fair
March 30, 2024	Cost		Holding Gains		Holding Losses		Value
Available-for-sale:
Level 1
Equity securities							$	5,144
Level 2
Corporate and municipal bonds	$	170,489	$	3,382	$	(6,886)		166,985
Commercial Paper		87,950		1,262		—		89,212
Total	$	258,439	$	4,644	$	(6,886)	$	261,341


			Gross		Gross
(amounts in thousands)	Amortized		Unrealized		Unrealized		Fair
December 30, 2023	Cost		Holding Gains		Holding Losses		Value
Available-for-sale:
Level 1
Equity securities							$	4,910
Level 2
Corporate and municipal bonds	$	177,972	$	3,853	$	(6,553)		175,272
Commercial paper		44,732		1,076		—		45,808
Total	$	222,704	$	4,929	$	(6,553)	$	225,991

Schedule Of Maturities Of Marketable Securities


	Amortized		Fair
(amounts in thousands)	Cost		Value
Available-for-sale:
Due within one year	$	137,219	$	139,073
Due after one year through five years		67,518		64,497
Due after five years through ten years		14,565		13,685
Due after ten years		39,137		38,942
Total	$	258,439	$	256,197

Accumulated Other Comprehensive Income (Tables)

3 Months Ended

Mar. 30, 2024

Accumulated Other Comprehensive Income

Schedule Of Accumulated Other Comprehensive Income


	Unrealized Gains (Losses)
	on Available-for-Sale
(amounts in thousands)	Marketable Securities
Accumulated other comprehensive income (loss) balance as of December 30, 2023	$	(1,193)
Other comprehensive income (loss)		(455)
Net current period other comprehensive income (loss)		(455)
Accumulated other comprehensive income (loss) balance as of March 30, 2024	$	(1,648)

Revenue Recognition (Tables)

3 Months Ended

Mar. 30, 2024

Revenue Recognition

Schedule Of Sales By Type Of Product


	13 Weeks Ended
(amounts in thousands)	March 30, 2024				April 1, 2023
Grocery	$	981,014	83.3	%	$	969,813	84.7	%
Pharmacy		141,223	12.0			118,629	10.4
Fuel		53,398	4.5			53,691	4.7
Manufacturing		2,533	0.2			2,841	0.2
Total net sales	$	1,178,168	100.0	%	$	1,144,974	100.0	%

Leases (Tables)

3 Months Ended

Mar. 30, 2024

Leases

Schedule of Lease Costs


	13 Weeks Ended
(amounts in thousands)		March 30, 2024		April 1, 2023
Operating lease cost	$	11,652	$	11,792
Variable lease cost		2,759		2,839
Lease or sublease income		(2,620)		(2,481)
Net lease cost	$	11,792	$	12,150

Marketable Securities - Investment Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
Investment Income, Net [Abstract]
Investment income (loss)	$ 4,100	$ 2,500
Equity Securities, FV-NI, Unrealized Gain (Loss) [Abstract]
Unrealized gain (loss) on equity securities	$ 234	$ 325

Marketable Securities - Fair Value (Details) - USD ($) $ in Thousands	Mar. 30, 2024	Dec. 30, 2023
Marketable Securities
Equity securities	$ 5,144	$ 4,910
Available-for-sale securities	256,197
Marketable securities	$ 261,341	$ 225,991
Equity Securities, FV-NI, Fair Value by Fair Value Hierarchy Level	us-gaap:FairValueInputsLevel1Member	us-gaap:FairValueInputsLevel1Member
Corporate and municipal bonds
Marketable Securities
Available-for-sale securities	$ 166,985	$ 175,272
Debt Securities, Available-for-Sale, Fair Value by Fair Value Hierarchy Level	us-gaap:FairValueInputsLevel2Member	us-gaap:FairValueInputsLevel2Member
Commercial Paper
Marketable Securities
Available-for-sale securities	$ 89,212	$ 45,808
Debt Securities, Available-for-Sale, Fair Value by Fair Value Hierarchy Level	us-gaap:FairValueInputsLevel2Member	us-gaap:FairValueInputsLevel2Member

Marketable Securities - Amortized Cost (Details) - USD ($) $ in Thousands	Mar. 30, 2024	Dec. 30, 2023
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract]
Amortized Cost	$ 258,439	$ 222,704
Gross Unrealized Holding Gains	4,644	4,929
Gross Unrealized Holding Losses	(6,886)	(6,553)
Fair Value	256,197
Corporate and municipal bonds
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract]
Amortized Cost	170,489	177,972
Gross Unrealized Holding Gains	3,382	3,853
Gross Unrealized Holding Losses	(6,886)	(6,553)
Fair Value	166,985	175,272
Commercial Paper
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract]
Amortized Cost	87,950	44,732
Gross Unrealized Holding Gains	1,262	1,076
Fair Value	$ 89,212	$ 45,808

Marketable Securities - Maturities (Details) - USD ($) $ in Thousands	Mar. 30, 2024	Dec. 30, 2023
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost, Rolling Maturity [Abstract]
Amortized Cost, Due within one year	$ 137,219
Amortized Cost, Due after one year through five years	67,518
Amortized Cost, Due after five years through ten years	14,565
Amortized Cost, Due after ten years	39,137
Amortized Cost	258,439	$ 222,704
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Rolling Maturity, Fair Value [Abstract]
Fair Value, Due within one year	139,073
Fair Value, Due after one year through five years	64,497
Fair Value, Due after five years through ten years	13,685
Fair Value, Due after ten years	38,942
Fair Value	$ 256,197

Marketable Securities - SERP Investments (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
Marketable Securities
Investment income (loss) and interest expense	$ 5,552	$ 3,798
Supplemental Employee Retirement Plan
Marketable Securities
Investment income (loss) and interest expense	$ 1,400	$ 1,300

Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
AOCI Attributable to Parent, Net of Tax
Accumulated other comprehensive income (loss) balance, Beginning	$ 1,374,337	$ 1,301,834
Other comprehensive income gain (loss), net of tax	(455)	1,707
Accumulated other comprehensive income (loss) balance, Ending	1,387,902	1,320,211
Accumulated Other Comprehensive Income (Loss)
AOCI Attributable to Parent, Net of Tax
Accumulated other comprehensive income (loss) balance, Beginning	(1,193)	(6,449)
Accumulated other comprehensive income (loss) balance, Ending	(1,648)	$ (4,741)
Unrealized Gains (Losses) on Available-for-Sale Marketable Securities
AOCI Attributable to Parent, Net of Tax
Accumulated other comprehensive income (loss) balance, Beginning	(1,193)
Other comprehensive income (loss)	(455)
Other comprehensive income gain (loss), net of tax	(455)
Accumulated other comprehensive income (loss) balance, Ending	$ (1,648)

Long-Term Debt - General Information (Details)	3 Months Ended
Long-Term Debt - General Information (Details)	Mar. 30, 2024 USD ($)
Revolving Credit Agreement, Wells Fargo Bank, National Association \| Revolving Credit Facility
Long-Term Debt
Debt Instrument, Issuance Date	Sep. 01, 2016
Debt Instrument, Maturity Date	Oct. 01, 2027
Line of Credit Facility, Remaining Borrowing Capacity	$ 22,300,000
Revolving Credit Agreement, Wells Fargo Bank, National Association, Revolving Credit Facility \| Revolving Credit Facility
Long-Term Debt
Line of Credit Facility, Maximum Borrowing Capacity	30,000,000.0
Revolving Credit Agreement, Wells Fargo Bank, National Association, Revolving Credit Facility, Discretionary \| Line of Credit
Long-Term Debt
Line of Credit Facility, Maximum Borrowing Capacity	70,000,000.0
Revolving Credit Agreement, Wells Fargo Bank, National Association, Letters of Credit \| Letter of Credit
Long-Term Debt
Amount of facility borrowed	$ 7,700,000

Long-Term Debt - Interest Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
Interest Expense, Debt [Abstract]
Interest expense	$ 16	$ 8

Revenue Recognition - Segments (Details) - segment	3 Months Ended
Revenue Recognition - Segments (Details) - segment	Mar. 30, 2024	Apr. 01, 2023
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]
Number of reportable segments	1	1

Revenue Recognition - Revenue by Product (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
Revenue Recognition
Total net sales	$ 1,178,168	$ 1,144,974
Grocery
Revenue Recognition
Total net sales	981,014	969,813
Pharmacy
Revenue Recognition
Total net sales	141,223	118,629
Fuel
Revenue Recognition
Total net sales	53,398	53,691
Manufacturing
Revenue Recognition
Total net sales	$ 2,533	$ 2,841

Revenue Recognition - Concentration Risk (Details) - Revenue from Contract with Customer Benchmark - Product Concentration Risk	3 Months Ended
	Mar. 30, 2024	Apr. 01, 2023
Revenue Recognition
Concentration risk (as a percent)	100.00%	100.00%
Grocery
Revenue Recognition
Concentration risk (as a percent)	83.30%	84.70%
Pharmacy
Revenue Recognition
Concentration risk (as a percent)	12.00%	10.40%
Fuel
Revenue Recognition
Concentration risk (as a percent)	4.50%	4.70%
Manufacturing
Revenue Recognition
Concentration risk (as a percent)	0.20%	0.20%

Leases (Details)	Mar. 30, 2024
Leases
Percentage of facilities under operating leases	49.00%
Maximum
Leases
Lease renewal term	20 years
Minimum
Leases
Lease renewal term	5 years

Leases - Lease Costs (Details) - USD ($) $ in Thousands	3 Months Ended
Leases - Lease Costs (Details) - USD ($) $ in Thousands	Mar. 30, 2024	Apr. 01, 2023
Lease, Cost
Operating lease cost	$ 11,652	$ 11,792
Variable lease cost	2,759	2,839
Lease or sublease income	(2,620)	(2,481)
Net lease cost	$ 11,792	$ 12,150

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Thousands	Mar. 30, 2024	Apr. 01, 2023
Pay vs Performance Disclosure
Net Income (Loss)	$ 23,165	$ 25,814

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Mar. 30, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

Weis Markets (NYSE:WMK)
Gráfico Histórico do Ativo
De Out 2024 até Nov 2024

Click aqui para mais gráficos Weis Markets.

Weis Markets (NYSE:WMK)
Gráfico Histórico do Ativo
De Nov 2023 até Nov 2024

Dados

Notícias

Ferramentas

Mercados

Comunidade

Recursos principais

Follow Feed

Fluxo de Opções

Monitor

WMK Weis Markets Inc

Notícias Weis Markets Inc

Seu Histórico Recente

Empresa

Negócios

Popular

Obter o aplicativo

Tendências Agora

Rankings

Dados

Notícias

Ferramentas

Mercados

Comunidade

Recursos principais

Follow Feed

Fluxo de Opções

Monitor

WMK Weis Markets Inc

Notícias Weis Markets Inc

Seu Histórico Recente

Empresa

Negócios

Popular

Obter o aplicativo