Kansas City, Kansas-based Associated Wholesale Grocers Inc. (AWG) reported net sales for the cooperative of $11.5 billion, up 2.41 percent, and consolidated company sales of $12.1 billion.
AWG distributed a record $286.2 million of year-end patronage immediately following its annual shareholders meeting March 25.
The total distribution of cooperative benefits returned to shareholders – including interest, allowances and patronage – was a record $642.1 million, up 6.53 percent.
Total members’ investment and equity increased to a record $700.1 million. In addition, the trading value for class “A” shares rose to $1,650 per share, an increase of 2.5 percent.
“We achieved these results through implementation of multiple strategic initiatives, improved operational performance and completing the integration of the Valu Merchandisers Company (VMC) subsidiary departments into the cooperative,” said Dan Funk, president and CEO of AWG.
“Despite headwinds such as pressure on unit volumes, decreased pharmacy sales and ongoing supply chain disruptions in key product categories, we delivered exceptional results for our members.
“Expanded promotional program opportunities, increased member participation in vendor partners’ promotional programs and continued investment in private brands growth have significantly contributed to the remarkable 6.53 percent improvement in total distributions for the year.”
Other recent noteworthy developments include celebrating AWG Brands’ 40-year anniversaries for Always Save in 2024 and Best Choice in 2025 with programming that delivered an additional $25 million in promotional support year over year.
AWG also completed its largest strategic project in 2024 – the final phase of the VMC product migration to its all-in-one distribution hub in Hernando, Mississippi.
This multi-year effort has been the single largest capital investment the company has made, and the modern facility enhances the company’s supply chain capabilities and ensures AWG can meet members’ needs for generations to come.
“I’m proud to be a part of this cooperative and proud to see the continued fine results that we can deliver for the benefit of our member retailers,” said Barry Queen, AWG’s chairman of the board.
“While the cooperative and our members faced several challenges to sales growth in 2024, AWG and the overall membership are in a strong position to accomplish much more as we continue to seize opportunities together. I’m very excited about our plans for 2025 and can’t wait to see what we can achieve.”
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