Ingles Markets, Incorporated operates a chain of supermarkets in the southeast United States. It offers food products, including grocery, meat and dairy products, produce, frozen foods, and other perishables; and non-food products, which include fuel centers, pharmacies, health and beauty care products, and general merchandise, as well as private label items. The company also owns and operates a milk processing and packaging plant that supplies organic milk, fruit juices, and bottled water products to other retailers, food service distributors, and grocery warehouses. In addition, it provides home meal replacement items, delicatessens, bakeries, floral departments, and greeting cards, as well as broad selections of local organic, beverage, and health-related items. As of September 25, 2021, the company operated 189 supermarkets under the brand name Ingles, and nine supermarkets under the brand name Sav-Mor in western North Carolina, western South Carolina, northern Georgia, eastern Tennessee, southwestern Virginia, and northeastern Alabama, as well as 111 pharmacies and 107 fuel stations. Ingles Markets, Incorporated was founded in 1963 and is headquartered in Asheville, North Carolina.
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1. A regional grocery chain, similar to a smaller Kroger.
2. A supermarket chain focused on the Southeastern U.S., much like Publix or Food Lion.
3. A traditional grocery store company, akin to a regional Safeway or ShopRite in its operational style.
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- Groceries: A wide assortment of packaged and perishable food items, including dairy, frozen foods, beverages, and pantry staples.
- Fresh Produce: A selection of fresh fruits, vegetables, and herbs.
- Meat and Seafood: Freshly cut meats, poultry, and a variety of seafood options.
- Bakery and Deli Products: In-store baked goods, custom cakes, prepared meals, sliced meats, and cheeses.
- Pharmacy Services: Prescription filling and a range of over-the-counter medications and health products.
- General Merchandise and Floral: Non-food items such as health & beauty products, household essentials, and fresh flowers and plants.
- Fuel Services: Gasoline and diesel available at select store locations.
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Ingles Markets (symbol: IMKTA) primarily sells directly to individuals.
The company serves the following categories of customers:
- General Household Shoppers: This broad category includes individuals and families conducting their routine grocery shopping for everyday needs, encompassing fresh produce, meats, dairy, pantry staples, and household items. They typically seek convenience, variety, and competitive pricing for their regular consumption.
- Budget-Conscious Shoppers: These customers prioritize value and affordability, actively seeking out sales, promotions, and private-label brands to maximize their savings on essential groceries and household products.
- Health-Oriented and Specialty Shoppers: This group comprises consumers interested in organic products, natural foods, specific dietary options (e.g., gluten-free, plant-based), or gourmet items. They often value product quality, specific ingredient sourcing, and healthier alternatives.
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James W. Lanning, Chief Executive Officer, President, Chief Operating Officer and Director
Mr. Lanning has been the Chief Executive Officer and Chief Operating Officer at Ingles Markets since March 2016. He has also served as a Director and President since 2003. Mr. Lanning joined the company in 1975 and has held various leadership roles throughout his tenure.
Patricia E. Jackson, Chief Financial Officer, Vice President of Finance and Director
Ms. Jackson has served as the Chief Financial Officer, Vice President of Finance, and Director of Ingles Markets since March 2022. Prior to this role, she was the Controller of the company from 2010 to 2022. Ms. Jackson also previously served as the Chief Financial Officer of Sisters of Mercy Services Corporation.
Robert P. Ingle II, Chairman of the Board
Mr. Ingle II has been the Chairman of Ingles Markets since May 2004. He previously served as the Chief Executive Officer of the company from March 2011 to March 2016. Mr. Ingle II joined the company in 1985 and has been a Director since 1997. His father, Robert P. Ingle, founded Ingles Markets in 1963.
Laura Ingle Sharp, Director
Ms. Sharp serves as a Director of Ingles Markets Inc. She is the daughter of the founder, Robert P. Ingle, and the sister of Robert P. Ingle II.
Michael David Hogan, President of Milkco
Mr. Hogan serves as the President of Milkco, Inc., a subsidiary of Ingles Markets, and has held this position since 2022.
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The aggressive expansion of hard discounter grocery chains, notably Aldi and Lidl, into Ingles Markets' core operating regions. These retailers employ a fundamentally different, highly efficient, and low-cost business model focused on private-label products and a limited assortment. Their continued expansion directly threatens Ingles Markets' traditional full-service supermarket model by capturing market share from price-sensitive consumers and reshaping competitive dynamics in the grocery landscape.
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Ingles Markets (symbol: IMKTA) operates primarily in the retail grocery, pharmacy, and fuel sectors within the southeastern United States. The addressable markets for these main products and services in the U.S. are as follows:
- Grocery/Supermarket Market: The United States food and grocery retailing market was valued at approximately USD 1.74 trillion in 2024 and is projected to reach USD 2.41 trillion by 2034, growing at a Compound Annual Growth Rate (CAGR) of 3.30% between 2025 and 2034. In 2025, the U.S. grocery retail market is valued at over $900 billion. Total sales for supermarkets in the U.S. were $1 trillion in 2024.
- Retail Pharmacy Market: The U.S. retail pharmacy market was valued at USD 534.71 billion in 2024 and is projected to grow to USD 737.48 billion by 2031, with a CAGR of 4.70% during the period of 2025-2031. Another estimate projects the U.S. retail pharmacy market to increase from US$ 609.2 billion in 2025 to US$ 818.0 billion by 2032.
- Gasoline Retail Market: The USA gas station market is valued at USD 135 billion.
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Here are 3-5 expected drivers of future revenue growth for Ingles Markets (IMKTA) over the next 2-3 years:
- Reopening and Recovery of Hurricane-Impacted Stores: Ingles Markets has experienced recent revenue declines primarily due to the impact of Hurricane Helene, which caused significant damage and temporary closures of several stores in Western North Carolina. As these stores are reopened and fully operational, the company expects to recover lost sales and see a positive impact on its top line.
- Store Improvements, Remodels, and Equipment Upgrades: The company has consistently invested in store modernization and enhancement through capital expenditures, including new stores, remodels, and equipment upgrades. These investments are aimed at improving the customer shopping experience, which is expected to attract more customers and increase per-customer sales, thereby driving revenue growth.
- Selective New Store Openings and Enhancing Footprint in Existing Markets: Ingles Markets plans to continue its expansion strategy by adding new stores and strategically relocating existing ones, primarily within its established markets in the southeastern United States. This targeted expansion and enhancement of its existing footprint are expected to lead to increased market penetration and overall sales.
- Growth in Private Label Program and Diversified Service Offerings: The company’s business model includes a robust private label program and a comprehensive offering of services such as pharmacies, fuel stations, and delis within its supermarkets. Expanding and promoting these offerings can enhance customer loyalty, increase the average transaction size, and diversify revenue streams beyond traditional grocery sales.
- Maintaining a Value and Affordable Price Proposition: Ingles Markets emphasizes providing excellent customer service and products at affordable prices. In a competitive retail environment, maintaining competitive pricing and a strong value proposition can help attract and retain a loyal customer base, supporting consistent revenue generation.
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Capital Allocation Decisions (Last 3-5 Years)
Share Repurchases
- Ingles Markets reduced outstanding shares by 6% between 2020 and 2022.
Capital Expenditures
- Capital expenditures were $206 million in fiscal year 2024 and $170 million in fiscal year 2023.
- For fiscal year 2025, expected capital expenditures are projected to be between $120 million and $160 million.
- The primary focus of capital expenditures includes improving the store base, technology, and equipment, as well as remodeling, expanding existing stores, and reopening hurricane-impacted locations.
