DITNYSEWholesale-Groceries, General LineUS GAAP · USD

AMCON Distributing Company

AMCON Distributing Company (NYSE American: DIT) is a U.S. distributor of consumer products to small-format retailers and a niche operator of health food retail stores. The company operates through two segments: a wholesale distribution business (including Team Sledd and Henry’s Foods) serving thousands of retail outlets, and a retail segment with 15 health food stores in the Midwest and Florida. In wholesale, AMCON combines broad product availability (including tobacco, candy, beverages, grocery and foodservice items) with programs such as merchandising, category management, data services, and trade credit designed to help retailers manage inventory and improve profitability. Its distribution footprint spans 34 states supported by a network of distribution centers across multiple central and western U.S. states.

Ask about the company
Revenue2,817m USD
+3.9 %y/y
Operating profit (EBIT)12.6m USD
−30.2 %y/y
EBIT margin0.4%
−0.2 ppy/y
Net income0.6m USD
−86.9 %y/y
Free cash flow9.7m USD
−79.6 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

01,0002,0003,000m USD2020: 1,521 m USD2020: EBIT 9.1 m USD20202021: 1,672 m USD2021: EBIT 18 m USD20212022: 2,011 m USD2022: EBIT 23 m USD20222023: 2,540 m USD2023: EBIT 26 m USD20232024: 2,711 m USD2024: EBIT 18 m USD20242025: 2,817 m USD2025: EBIT 13 m USD20252,81713
RevenueOperating profit (EBIT)

Business

Share of revenue
Wholesale distribution (consumer products)95 %

Distribution of tobacco, candy, beverages, grocery, HBC, paper, frozen/refrigerated and related items to retail outlets, plus related programs and services.

Wholesale foodservice and institutional3 %

Higher-margin foodservice programs and institutional product distribution delivered through the wholesale network.

Retail health food stores2 %

Operation of 15 health food retail stores located across the Midwest and Florida.

Products

Reported · share of revenue
60.8%19.2%11.7%FY2025100 %
  • Cigarettes60.8 %
  • Tobacco19.2 %
  • Tobacco Food Service and Other11.7 %
  • Confectionery6.6 %
  • Health Food1.6 %

Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

AMCON’s core customers are retail outlets that need frequent replenishment across many fast-moving categories, including convenience stores, grocery stores, liquor stores, drug stores, and tobacco shops. These customers buy from AMCON to consolidate purchasing across thousands of SKUs and to improve in-stock levels and inventory turns through merchandising and category management support. The wholesale segment also serves manufacturers by providing broad retail coverage, efficient processing of small orders, and frequent deliveries into fragmented retail channels. In addition, the company’s retail segment sells directly to consumers through its health food stores, where product assortment and local store execution drive traffic and basket size.

Convenience stores and small-format retailers

Buy a broad mix of tobacco, snacks, beverages, grocery, and other staples plus merchandising and inventory programs to improve turns and profitability.

Other retail outlets (grocery, liquor, drug, tobacco shops)

Purchase replenishment inventory across key categories and rely on delivery reliability and trade programs to compete locally.

Foodservice and institutional customers

Buy institutional and foodservice products through AMCON’s higher-margin foodservice programs and facilities.

Consumer packaged goods manufacturers

Use AMCON as a route-to-market partner for broad retail coverage, small-order processing efficiency, and delivery frequency.

Health food retail consumers

Purchase health and wellness products in AMCON’s 15 retail stores, driven by local assortment and store experience.

Strategy

AMCON’s strategy emphasizes strengthening its competitive position in wholesale distribution by expanding geographic coverage and improving service capabilities for growth-oriented customers. Management highlights targeted investments such as tuck-in acquisitions and new distribution centers to broaden territory and increase relevance versus national distributors. The company is also investing in higher-margin growth categories, particularly foodservice programs and facilities, to improve mix and differentiation. In parallel, AMCON is developing proprietary technology solutions and expanding advertising/design/electronic display programs to support retailer execution and deepen customer relationships.

Geographic expansion and network build-outMedium term

Broader territory improves ability to win/retain multi-territory customers and increases route density for delivery economics.

Grow higher-margin categories (foodservice)Medium term

Improving category mix can support profitability in a low-gross-margin distribution model.

Differentiate through technology and in-store execution programsMedium term

Proprietary tools and merchandising programs can increase customer stickiness and support retailer sales and inventory efficiency.

Geography

AMCON operates in the United States and is licensed in 34 states, with wholesale customers concentrated across the Central, Rocky Mountain, Great Lakes, Mid-South, and Mid-Atlantic regions. The wholesale network is supported by 14 distribution centers located in Colorado, Idaho, Illinois, Indiana, Minnesota, Missouri, Nebraska, North Dakota, South Dakota, Tennessee, and West Virginia, plus cross-dock facilities. The retail segment operates 15 health food stores located throughout the Midwest and Florida. Geographic expansion is a stated growth lever, illustrated by the acquisition of Arrowrock Supply in Boise, Idaho and the opening of a new distribution center in Colorado City, Colorado to improve access to inter-mountain and western markets.

Risks

AMCON operates in a highly competitive wholesale distribution market where national and regional players can pressure pricing, margins, and customer retention, and online platforms pursuing multi-channel strategies can disrupt traditional supply chains. A meaningful portion of the product mix includes cigarettes and tobacco products, exposing the company to evolving FDA regulation, excise/tobacco policy changes, and potential volume declines that can ripple through wholesale economics. As a distributor and retailer of food products, AMCON faces extensive regulatory oversight (FDA, USDA, OSHA, ATF, DOT), where non-compliance or more stringent rules could increase costs or disrupt operations. The company also faces operational and financial volatility from fuel and interest rate movements (it does not hedge these exposures) and from credit risk on customer receivables, particularly in a downturn.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Competition within wholesale distribution may reduce margins and market share1FDA regulation of cigarette, tobacco and tobacco-related products2Privacy, data protection and artificial intelligence compliance and breach risk3Fuel and interest rate volatility without hedging4Accounts receivable collectability in a downturn5Goodwill and intangible asset impairment6
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Competition within wholesale distribution may reduce margins and market shareImpact: HighLikelihood: Medium

    Competitors with scale and long-standing relationships can match pricing and breadth, while online platforms pursue multi-channel strategies.

    Exposure: Wholesale segment; pricing and customer retention

  2. FDA regulation of cigarette, tobacco and tobacco-related productsImpact: HighLikelihood: Medium

    Regulatory changes can restrict products, increase costs (including pass-through user fees), and reduce category volumes.

    Exposure: Tobacco product distribution

  3. Privacy, data protection and artificial intelligence compliance and breach riskImpact: MediumLikelihood: Medium

    Noncompliance or unauthorized release of personal information can lead to penalties, litigation, reputational harm, and remediation costs.

    Exposure: Customer/employee data and proprietary systems

  4. Fuel and interest rate volatility without hedgingImpact: MediumLikelihood: Medium

    The company does not hedge fuel or interest rate exposure, so rapid price movements can directly impact profitability and cash flow.

    Exposure: Distribution operations and financing costs

  5. Accounts receivable collectability in a downturnImpact: MediumLikelihood: Medium

    A sharp change in the operating environment could impair customers’ ability to pay and reduce access to bank credit.

    Exposure: Trade credit and receivables

  6. Goodwill and intangible asset impairmentImpact: MediumLikelihood: Medium

    Impairment testing relies on forecasts and assumptions; adverse changes in performance or market conditions could trigger non-cash charges.

    Exposure: Acquisition-related goodwill/intangibles

Accounting

Judgemental items
Allowance for expected credit losses (accounts receivable)

Requires significant judgment using historical collections, customer-specific exposure, and market conditions; changes affect bad debt expense and working capital.

Impact: Affects operating income and net receivables

Goodwill and indefinite-lived intangible asset impairment

Annual and interim impairment testing depends on assumptions about future performance, cash flows, and market conditions; adverse changes can trigger non-cash charges.

Impact: Can materially affect operating income via impairment expense

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Last updated: 24/09/2026