United Natural Foods Inc. reached profitability in fiscal Q3 ended May 2, with net sales of $7.72 billion, down 4.2% year-over-year from $8.06 billion (Digital Commerce 360 - AI). The distributor recorded $33 million in net income for the quarter, a significant improvement from a $7 million loss in the same period a year earlier (Digital Commerce 360 - AI).
UNFI is deploying multiple AI and digital initiatives to drive operational improvements and customer value. The company expanded its AI-powered supply chain and procurement planning platform to all distribution centers and is helping to improve fill rates and inventory management while enhancing free cash flow conversion (Digital Commerce 360 - AI). Using the Relex platform, UNFI created a decentralized AI-based planning process to reduce days on hand of inventory (Digital Commerce 360 - AI). Additionally, UNFI launched Endless Aisle, a digital marketplace enabling retailers to access emerging brands with less friction while helping suppliers expand their reach (Digital Commerce 360 - AI).
UNFI's expanded use of the Samsara platform for AI-powered fleet management demonstrates how distributors are optimizing last-mile operations. Year-to-date through Q3, on-time deliveries increased by over 4% compared to the prior year period, while average miles per delivery declined by nearly 5% (Digital Commerce 360 - AI). For commerce practitioners, these investments highlight how B2B distributors are leveraging AI to offset sales pressure through operational excellence and enhanced customer engagement capabilities.