−Removed: Ingles Markets, Incorporated, a North Carolina corporation (collectively with its subsidiaries, “Ingles,” or the “Company,” “we,” “us” or “our”), is a leading supermarket chain in the southeast United States and operates a total of 198 supermarkets in North Carolina (75), Georgia (65), South Carolina (35), Tennessee (21), Virginia (1) and Alabama (1).
+Added: Ingles Markets, Incorporated, a North Carolina corporation (collectively with its subsidiaries, “Ingles,” or the “Company,” “we,” “us” or “our”), is a leading supermarket chain in the southeast United States and operates a total of 194 supermarkets in North Carolina (72), Georgia (64), South Carolina (35), Tennessee (21), Virginia (1) and Alabama (1), excluding three stores that remain temporarily closed due to damage sustained during Hurricane Helene.
Impact of Hurricane Helene
On September 27, 2024, Hurricane Helene severely impacted western North Carolina, including the area where the Company’s headquarters are located, resulting in catastrophic flooding and destruction, power and communication outages, water outages, major road closures, and loss of life.
−Removed: For the year ended September 28, 2024, the Company recognized an impairment loss of $30.4 million related to inventory damaged or destroyed by Hurricane Helene.
−Removed: Additionally, the Company recognized a property and equipment impairment loss of $4.5 million for the year ended September 28, 2024 pertaining to the same storm.
−Removed: These recorded losses do not include future repairs and rebuilds, nor do they account for revenue lost due to store closures or electronic payment disruptions.
+Added: For the year ended September 28, 2024, the Company recognized impairment losses of $30.4 million related to inventory and $4.5 million related to property and equipment, in each case that was damaged or destroyed by Hurricane Helene.
+Added: These recorded losses do not include future repairs and rebuilds, nor did they account for revenue lost due to store closures or electronic payment disruptions.
The Company’s properties, including its distribution center, were impacted;
however, the distribution center returned to full operation within two weeks following the storm.
−Removed: Four stores sustained damage that required that they be temporarily closed.
−Removed: As of the date of this Annual Report on Form 10-K, one of the four stores has reopened and the three remaining stores are scheduled to reopen during 2025.
−Removed: The Company remodels, expands and relocates stores in these communities and builds stores in new locations to retain and grow its customer base while retaining a high level of customer service and convenience.
+Added: Four stores sustained damage that required that they be temporarily closed, of which, as of the date of this Annual Report on Form 10-K, three remain closed and are currently expected to reopen at various times during 2026 or in 2027.
+Added: In addition, for the year ended September 27, 2025, the Company incurred approximately $9.0 million in cleanup and repair costs and received aggregate insurance proceeds of $6.2 million.
+Added: Legislative Update
+Added: On July 4, 2025, the One Big Beautiful Bill Act (“OBBB”) was signed into law.
+Added: The OBBB reinstated several key income tax provisions that were initially part of the U.S.
+Added: Tax Cuts and Jobs Act of 2017, but which have been phased out in recent years or were set to expire in 2025, and made other changes to income tax provisions, many of which are not effective until 2026.
+Added: The OBBB, among other things, repealed the mandatory capitalization of domestic research and development expenditures under Internal Revenue Code Section 174, extended the ability to take 100% bonus depreciation, reinstituted the EBITDA based Section 163(j) calculation, revised international tax regimes, and accelerated the phase out of clean energy credits.
+Added: The Company has evaluated the impact of the OBBB and does not believe it will have a material impact on its consolidated financial statements.
+Added: The Company will continue to monitor future guidance and developments related to the OBBB and will update its income tax disclosures as appropriate.
+Added: The Company remodels, expands and relocates stores in the aforementioned communities and builds stores in new locations to retain and grow its customer base while retaining a high level of customer service and convenience.
Ingles supermarkets offer customers a wide variety of nationally advertised food products, including grocery, meat and dairy products, produce, frozen foods and other perishables, and non-food products.
11 unchanged sentences
The close proximity of the Company’s purchasing and distribution operations to its stores facilitates the timely distribution of consistently high quality perishable and non-perishable items.
−Removed: Due to damage sustained at the distribution center from Hurricane Helene, including power outages and connectivity issues, water outages and road closures, the normal receiving and shipping activities were limited for approximately two weeks after the storm.
To further ensure product quality, the Company also owns and operates a milk processing and packaging plant that supplies approximately 65% of the milk products sold by the Company’s supermarkets as well as a variety of organic milk, fruit juices and bottled water products.
−Removed: The milk processing and packaging plant did not sustain physical damage as a result of Hurricane Helene.
In addition, the milk processing and packaging plant sells approximately 81% of its products to other retailers, food service distributors and grocery warehouses in 18 states, which provides the Company with an additional source of revenue.
−Removed: The Company owns the real property for 175 of its supermarkets, either in free-standing stores or as the anchor tenant in a Company-owned shopping center.
+Added: The milk processing and packaging plant did not sustain physical damage as a result of Hurricane Helene but was temporarily impacted by water supply disruptions for approximately one month.
+Added: The Company owns the real property for 174 of its supermarkets (including the three temporarily closed stores), either in free-standing stores or as the anchor tenant in a Company-owned shopping center.
The Company also owns 29 undeveloped sites suitable for a free-standing store or other development by the Company or a third party.
4 unchanged sentences
As of September 27, 2025, Mr.
−Removed: Ingle II, our Chairman, beneficially owned approximately 72.5% of the combined voting power and 22.7% of the total number of shares of the Company’s outstanding Class A and Class B Common Stock (in each case including
−Removed: stock held by the Company’s Investment/Profit Sharing Plan and Trust of which Mr.
+Added: Ingle II, our Chairman, beneficially owned approximately 72.5% of the combined voting power and 22.7% of the total number of shares of the Company’s outstanding Class A and Class B Common Stock (in each case including stock held by the Company’s Investment/Profit Sharing Plan and Trust of which Mr.
Ingle II serves as one of the trustees).
16 unchanged sentences
The consolidated statements of income for the fiscal year ended September 30, 2023 had 53 weeks.
−Removed: Income from operations for the primary business segment, retail grocery sales, includes the charges for impairment losses from Hurricane Helene of $34.9 million.
+Added: Income from operations for the primary business segment, retail grocery sales, included the charges for impairment losses from Hurricane Helene of $34.9 million for fiscal year ended September 28, 2024.
+Added: For fiscal year 2025, our expense allocation methodology changed to include direct and indirect costs associated with the shopping center rentals that were previously included in the retail segment.
+Added: Fiscal years 2024 and 2023 have been recast to be comparable.
Information about the Company’s operations is as follows (for information regarding the Company’s industry segments, see Note 11, “Segment Information” to the Consolidated Financial Statements contained in this Annual Report on Form 10-K):
5 unchanged sentences
Revenues from unaffiliated customers:
+Added: Other revenues
Income from operations:
+Added: Income from all other
Other income, net
7 unchanged sentences
At September 27, 2025, the Company operated 185 supermarkets under the name “Ingles,” and nine supermarkets under the name “Sav-Mor” with locations in western North Carolina, western South Carolina, northern Georgia, eastern Tennessee, southwestern Virginia and northeastern Alabama.
+Added: The foregoing figures exclude the three stores that remain temporarily closed due to damage sustained during Hurricane Helene.
The “Sav-Mor” store concept accommodates smaller shopping areas and carries dry groceries, dairy, fresh meat and produce, all of which are displayed in a modern, readily accessible environment.
17 unchanged sentences
The Company plans to continue to incorporate these departments in substantially all future new and remodeled stores.
−Removed: The Company trains its associates to provide friendly service and to actively address the needs of customers.
+Added: Company trains its associates to provide friendly service and to actively address the needs of customers.
These associates reinforce the Company’s distinctive service-oriented image.
12 unchanged sentences
Selling Space (1) (2)
−Removed: (1) Weighted average sales per store include the effects of increases in square footage due to the opening of replacement stores and the expansion of stores through remodeling during the periods indicated, and fuel sales.
+Added: (1) Weighted average sales per store include the effects of decreases in square footage due to the three stores that remain temporarily closed due to damage sustained during Hurricane Helene, as well as one store permanently closed store in fiscal year 2025.
(2) Selling space is estimated to be 70% of total interior store square footage.
45 unchanged sentences
The construction of new stores by independent contractors is closely monitored and controlled by the Company.
−Removed: During fiscal year 2024, the Company started construction on a new store and started remodeling projects on several stores.
+Added: During fiscal year 2025, the Company continued construction on a new store and continued or commenced remodeling projects on several existing stores.
The Company renovates and remodels stores in order to increase customer traffic and sales, respond to existing customer demand, compete effectively against new stores opened by competitors and support its quality image merchandising strategy.
19 unchanged sentences
Additionally, competition for consumers’ food dollars has intensified in recent years due to the addition or expansion of food sections by many non-grocery retailers (physical and online) and by restaurants.
−Removed: The Company’s principal competitors are, in alphabetical order, Aldi, Inc., Earth Fare, Inc, Food City (K-VA-T Food Stores, Inc.), Food Lion (Koninlijke Ahold Delhaize America N.V.), The Fresh Market, Inc., Harris Teeter (owned by The Kroger Co.), The Kroger Co., Lidl (Lidl Stiftung & Co.
+Added: The Company’s principal
+Added: competitors are, in alphabetical order, Aldi, Inc., Earth Fare, Inc., Food City (K-VA-T Food Stores, Inc.), Food Lion (Koninlijke Ahold Delhaize America N.V.), The Fresh Market, Inc., Harris Teeter (owned by The Kroger Co.), The Kroger Co., Lidl (Lidl Stiftung & Co.
KG), Publix Super Markets, Inc., Sprouts Farmers Market, Inc., Target Corporation, Wal-Mart Stores, Inc., and Whole Foods Market.
17 unchanged sentences
Management considers labor relations to be good.
−Removed: Company values its associates and believes that associate loyalty and enthusiasm are key elements of its operating performance.
−Removed: The Company has responded to the tight labor market by increasing resources devoted to associate recruitment and retention, and by expanding the ways in which it markets itself to prospective associates;
−Removed: however, competition for labor has become more intense, resulting in higher costs to attract and retain associates.
+Added: The Company values its associates and believes that associate loyalty and enthusiasm are key elements of its operating performance.
+Added: The Company continues to respond to the tight labor market by increasing resources devoted to associate recruitment and retention, and by expanding the ways in which it markets itself to prospective associates;
+Added: however, there remains competition for labor, resulting in higher costs to attract and retain associates.
The Company has various programs to ensure adequate store staffing levels at any given time during the week.
−Removed: Store managers are given tools to assist in scheduling and levels of staffing.
+Added: Store managers are given tools to assist with scheduling and levels of staffing.
We provide flexible scheduling to accommodate the needs of our full and part-time associates, and we also provide incentives for associates based on the achievement of operating and safety goals.
−Removed: The Company has made technology investments to allow efficient remote work environments for associates that do not work in our stores or distribution center.
+Added: The Company has invested in technology that allows efficient remote work environments for associates who do not work in our stores or distribution center.
Trademarks and Licenses
29 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.