Company: HFFG
Filing Date: 2025-03-17
Form Type: 10-K
Source: 0001680873-25-000006
Chunk: 0

Company: HF Foods Group Inc.
Filing Date: 2025-03-17
Form: 10-K
Item: Item 7
Chunk 0
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Results of Operations

Comparison of Year Ended December 31, 2024 to Year Ended December 31, 2023

The following table sets forth a summary of our consolidated results of operations for the years ended December 31, 2024 and 2023. The historical results presented below are not necessarily indicative of the results that may be expected for any future period.

Year Ended December 31, ($ in thousands)20242023 ChangeNet revenue$1,201,667 $1,148,493 $53,174 Cost of revenue996,473 944,462 52,011 Gross profit205,194 204,031 1,163 Distribution, selling and administrative expenses198,026 195,062 2,964 Goodwill impairment charges46,303 — 46,303 (Loss) income from operations(39,135)8,969 (48,104)Interest expense11,425 11,478 (53)Other expense (income), net2,818 (1,091)3,909Change in fair value of interest rate swap contracts(1,693)1,580 (3,273)Lease guarantee income(5,548)(377)(5,171)Loss before income taxes(46,137)(2,621)(43,516)Income tax expense1,965 41 1,924Net loss and comprehensive loss(48,102)(2,662)(45,440)Less: net income (loss) attributable to noncontrolling interests409 (488)897Net loss and comprehensive loss attributable to HF Foods Group Inc.$(48,511)$(2,174)$(46,337)

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The following table sets forth the components of our consolidated results of operations expressed as a percentage of net revenue for the periods indicated:

Year Ended December 31,20242023Net revenue100.0 %100.0 %Cost of revenue82.9 %82.2 %Gross profit17.1 %17.8 %Distribution, selling and administrative expenses16.5 %17.0 %Goodwill impairment charges3.9 %— %(Loss) income from operations(3.3)%0.8 %Interest expense0.9 %1.0 %Other expense (income), net0.2 %(0.1)%Change in fair value of interest rate swap contracts(0