Natural Grocers by Vitamin Cottage (NGVC) 10-Q 3 Aug 23 2023 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Jun. 30, 2023	Jul. 31, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2023
Document Transition Report	false
Entity File Number	001-35608
Entity Registrant Name	Natural Grocers by Vitamin Cottage, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	45-5034161
Entity Address, Address Line One	12612 West Alameda Parkway
Entity Address, Postal Zip Code	80228
Entity Address, City or Town	Lakewood
Entity Address, State or Province	CO
City Area Code	303
Local Phone Number	986-4600
Title of 12(b) Security	Common Stock, $0.001 par value
Trading Symbol	NGVC
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		22,737,861
Entity Central Index Key	0001547459
Current Fiscal Year End Date	--09-30
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Jun. 30, 2023	Sep. 30, 2022
Current assets:
Cash and cash equivalents	$ 8,576	$ 12,039
Accounts receivable, net	8,873	10,496
Merchandise inventory	116,709	113,756
Prepaid expenses and other current assets	6,071	4,369
Total current assets	140,229	140,660
Property and equipment, net	162,312	157,179
Other assets:
Operating lease assets, net	292,779	307,132
Finance lease assets, net	46,236	43,554
Deposits and other assets	406	452
Goodwill and other intangible assets, net	14,134	14,131
Total other assets	353,555	365,269
Total assets	656,096	663,108
Current liabilities:
Accounts payable	72,755	71,283
Accrued expenses	22,938	26,737
Term loan facility, current portion	1,750	1,750
Operating lease obligations, current portion	34,839	34,735
Finance lease obligations, current portion	3,552	3,223
Total current liabilities	135,834	137,728
Long-term liabilities:
Term loan facility, net of current portion	7,938	13,938
Operating lease obligations, net of current portion	281,189	295,064
Finance lease obligations, net of current portion	48,066	44,664
Deferred income tax liabilities, net	16,133	15,902
Total long-term liabilities	353,326	369,568
Total liabilities	489,160	507,296
Commitments and Contingencies
Stockholders’ equity:
Common stock, $0.001 par value, 50,000,000 shares authorized, 22,743,895 and 22,690,188 shares issued at June 30, 2023 and September 30, 2022, respectively, and 22,736,344 and 22,690,188 shares outstanding at June 30, 2023 and September 30, 2022, respectively	23	23
Additional paid-in capital	58,725	58,072
Retained earnings	108,264	97,717
Common stock in treasury at cost, 7,551 shares at June 30, 2023	(76)	0
Total stockholders’ equity	166,936	155,812
Total liabilities and stockholders’ equity	$ 656,096	$ 663,108

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Jun. 30, 2023	Sep. 30, 2022
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	50,000,000	50,000,000
Common Stock, Shares, Issued (in shares)	22,743,895	22,690,188
Common Stock, Shares, Outstanding (in shares)	22,736,344	22,690,188
Treasury Stock, Common, Shares (in shares)	7,551	0

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Net sales	$ 281,791	$ 266,309	$ 845,493	$ 815,419
Cost of goods sold and occupancy costs	200,401	192,750	602,907	586,341
Gross profit	81,390	73,559	242,586	229,078
Store expenses	62,631	60,124	191,419	179,065
Administrative expenses	9,308	7,459	26,166	22,924
Pre-opening expenses	367	325	1,069	550
Operating income	9,084	5,651	23,932	26,539
Interest expense, net	(848)	(603)	(2,478)	(1,692)
Income before income taxes	8,236	5,048	21,454	24,847
Provision for income taxes	(1,164)	(1,115)	(4,091)	(5,642)
Net income	$ 7,072	$ 3,933	$ 17,363	$ 19,205
Net income per share of common stock:
Basic (in dollars per share)	$ 0.31	$ 0.17	$ 0.76	$ 0.85
Diluted (in dollars per share)	$ 0.31	$ 0.17	$ 0.76	$ 0.84
Weighted average number of shares of common stock outstanding:
Basic (in shares)	22,734,375	22,676,882	22,722,712	22,659,042
Diluted (in shares)	22,887,923	22,854,754	22,825,343	22,812,692

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Operating activities:
Net income	$ 17,363	$ 19,205
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	21,426	21,088
Impairment of long-lived assets	930	95
Loss on disposal of property and equipment	104	57
Share-based compensation	1,046	887
Deferred income tax expense	231	274
Non-cash interest expense	14	17
Changes in operating assets and liabilities:
Accounts receivable, net	2,188	(298)
Merchandise inventory	(2,953)	(10,783)
Prepaid expenses and other assets	(569)	(1,088)
Income tax receivable	(1,111)	(328)
Operating lease assets	24,730	23,795
Operating lease liabilities	(25,643)	(20,974)
Accounts payable	2,202	1,696
Accrued expenses	(3,799)	(4,138)
Net cash provided by operating activities	36,159	29,505
Investing activities:
Acquisition of property and equipment	(23,241)	(15,925)
Acquisition of other intangibles	(1,133)	(2,293)
Proceeds from sale of property and equipment	76	16
Proceeds from property insurance settlements	0	184
Net cash used in investing activities	(24,298)	(18,018)
Financing activities:
Borrowings under revolving facility	379,700	6,100
Repayments under revolving facility	(379,700)	(6,100)
Repayments under term loan facility	(6,000)	(6,000)
Finance lease obligation payments	(2,039)	(2,059)
Dividends to shareholders	(6,816)	(6,797)
Repurchase of common stock	(181)	0
Payments on withholding tax for restricted stock unit vesting	(288)	(393)
Net cash used in financing activities	(15,324)	(15,249)
Net increase in cash and cash equivalents	(3,463)	(3,762)
Cash and cash equivalents, beginning of period	12,039	23,678
Cash and cash equivalents, end of period	8,576	19,916
Supplemental disclosures of cash flow information:
Cash paid for interest	933	418
Cash paid for interest on finance lease obligations, net of capitalized interest of $183 and $222, respectively	1,542	1,340
Income taxes paid	5,006	5,315
Supplemental disclosures of non-cash investing and financing activities:
Acquisition of property and equipment not yet paid	6,246	3,642
Acquisition of other intangibles not yet paid	0	231
Property acquired through operating lease obligations	11,307	19,645
Property acquired through finance lease obligations	$ 5,771	$ 9,726

Consolidated Statements of Ca_2

Consolidated Statements of Cash Flows (Unaudited) (Parentheticals) - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Capitalized interest	$ 183	$ 222

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Common Stock Outstanding [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Treasury Stock, Common [Member]	Total
Balances (in shares) at Sep. 30, 2021	22,620,417
Balances at Sep. 30, 2021	$ 23	$ 57,289	$ 85,419		$ 142,731
Net income	0	0	8,915		8,915
Share-based compensation	$ 0	171	0		171
Issuance of common stock (in shares)	23,473
Cash dividend	$ 0	0	(2,263)		(2,263)
Share-based compensation	$ 0	171	0		171
Balances December 31, 2022 (in shares) at Dec. 31, 2021	22,643,890
Balances December 31, 2022 at Dec. 31, 2021	$ 23	57,460	92,071		149,554
Balances (in shares) at Sep. 30, 2021	22,620,417
Balances at Sep. 30, 2021	$ 23	57,289	85,419		142,731
Net income					$ 19,205
Repurchase of common stock (in shares)					0
Balances December 31, 2022 (in shares) at Jun. 30, 2022	22,688,995
Balances December 31, 2022 at Jun. 30, 2022	$ 23	57,783	97,827		$ 155,633
Balances (in shares) at Dec. 31, 2021	22,643,890
Balances at Dec. 31, 2021	$ 23	57,460	92,071		149,554
Net income	0	0	6,357		6,357
Share-based compensation	$ 0	201	0		201
Issuance of common stock (in shares)	25,148
Cash dividend	$ 0	0	(2,267)		(2,267)
Share-based compensation (in shares)	0
Issuance of common stock	$ 0	0	0		0
Share-based compensation (in shares)	0
Share-based compensation	$ 0	201	0		201
Balances December 31, 2022 (in shares) at Mar. 31, 2022	22,669,038
Balances December 31, 2022 at Mar. 31, 2022	$ 23	57,661	96,161		153,845
Net income	0	0	3,933		3,933
Share-based compensation	$ 0	122	0		122
Issuance of common stock (in shares)	19,957
Cash dividend	$ 0	0	(2,267)		(2,267)
Issuance of common stock	0	0	0		$ 0
Repurchase of common stock (in shares)					0
Share-based compensation	$ 0	122	0		$ 122
Balances December 31, 2022 (in shares) at Jun. 30, 2022	22,688,995
Balances December 31, 2022 at Jun. 30, 2022	$ 23	57,783	97,827		155,633
Balances (in shares) at Sep. 30, 2022	22,690,188
Balances at Sep. 30, 2022	$ 23	58,072	97,717	$ 0	155,812
Net income	0	0	4,407	0	4,407
Share-based compensation	$ 0	239	0	0	239
Issuance of common stock (in shares)	22,261
Cash dividend	$ 0	0	(2,272)	0	(2,272)
Share-based compensation	$ 0	239	0	0	239
Balances December 31, 2022 (in shares) at Dec. 31, 2022	22,712,449
Balances December 31, 2022 at Dec. 31, 2022	$ 23	58,311	99,852	0	158,186
Balances (in shares) at Sep. 30, 2022	22,690,188
Balances at Sep. 30, 2022	$ 23	58,072	97,717	0	155,812
Net income					$ 17,363
Repurchase of common stock (in shares)					(17,998)
Balances December 31, 2022 (in shares) at Jun. 30, 2023	22,736,344
Balances December 31, 2022 at Jun. 30, 2023	$ 23	58,725	108,264	(76)	$ 166,936
Balances (in shares) at Dec. 31, 2022	22,712,449
Balances at Dec. 31, 2022	$ 23	58,311	99,852	0	158,186
Net income	0	0	5,884	0	5,884
Share-based compensation	$ 0	208	0	86	294
Issuance of common stock (in shares)	23,076
Cash dividend	$ 0	0	(2,271)	0	(2,271)
Share-based compensation (in shares)	0
Issuance of common stock	$ 0	0	0	0	0
Repurchase of common stock (in shares)	(8,546)
Repurchase of common stock	$ 0	0	0	(86)	(86)
Share-based compensation (in shares)	0
Share-based compensation	$ 0	208	0	86	294
Balances December 31, 2022 (in shares) at Mar. 31, 2023	22,726,979
Balances December 31, 2022 at Mar. 31, 2023	$ 23	58,519	103,465	0	162,007
Net income	0	0	7,072	0	7,072
Share-based compensation	$ 0	206	0	19	225
Issuance of common stock (in shares)	18,817
Cash dividend	$ 0	0	(2,273)	0	(2,273)
Issuance of common stock	$ 0	0	0	0	$ 0
Repurchase of common stock (in shares)	(9,452)				(9,452)
Repurchase of common stock	$ 0	0	0	(95)	$ (95)
Share-based compensation	$ 0	206	0	19	225
Balances December 31, 2022 (in shares) at Jun. 30, 2023	22,736,344
Balances December 31, 2022 at Jun. 30, 2023	$ 23	$ 58,725	$ 108,264	$ (76)	$ 166,936

Note 1 - Organization

Note 1 - Organization	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Nature of Operations [Text Block]	Nature of Business Natural Grocers by Vitamin Cottage, Inc. (Natural Grocers or the holding company) and its consolidated subsidiaries (collectively, the Company) operate retail stores that specialize in natural and organic groceries, dietary supplements and body care products. The Company operated 164 stores as of June 30, 2023 and September 30, 2022 in 21 states. The Company also has a bulk food repackaging facility and distribution center in Golden, Colorado.

Note 2 - Basis of Presentation

Note 2 - Basis of Presentation and Summary of Significant Accounting Policies	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Basis of Presentation and Significant Accounting Policies [Text Block]	2. Basis of Presentation and Summary of Significant Accounting Policies Consolidated Financial Statements The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial statements and are in the form prescribed by Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for annual financial statements. The information included in this Form 10-Q should be read in conjunction with Item 7 – “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and the consolidated financial statements and notes thereto included in the Form 10-K. The accompanying unaudited consolidated financial statements reflect all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation of the Company’s financial results. Interim results are not necessarily indicative of results for any other interim period or for a full fiscal year. The Company reports its results of operations on a fiscal year ending September 30. The accompanying unaudited consolidated financial statements include all the accounts of the holding company’s wholly owned subsidiaries, Vitamin Cottage Natural Food Markets, Inc. (the operating company) and Vitamin Cottage Two Ltd. Liability Company (VC2). All significant intercompany balances and transactions have been eliminated in consolidation. The Company has one Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management reviews its estimates on an ongoing basis, including those related to valuation of inventories, useful lives of long-lived assets for depreciation and amortization, impairment of finite-lived intangible assets, long-lived assets, and goodwill, lease assumptions, allowances for self-insurance reserves, deferred tax assets and liabilities, and litigation based on currently available information. Changes in facts and circumstances may result in revised estimates and actual results could differ from those estimates. Recently Adopted Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2019-12, “Income Taxes,” Topic 740, “Simplifying the Accounting for Income Taxes” (ASU 2019-12). The new guidance simplified the accounting for income taxes by removing certain exceptions to the general principles and also simplified areas such as franchise taxes, step-up in tax basis goodwill, separate entity financial statements, and interim recognition of enactment of tax laws or rate changes. The provisions of ASU 2019-12 were effective for the Company’s first quarter of the fiscal year ending September 30, 2022. The adoption of this ASU did not have an impact on the Company’s consolidated financial statements for the three and nine months ended June 30, 2023 and 2022. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform,” Topic 848, “Facilitation of the Effects of Reference Rate Reform on Financial Reporting” (ASU 2020-04), which was subsequently amended by a standard update in December 2022. The new guidance provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The guidance applies only to contracts, hedging relationships and other transactions that reference the London Interbank Offered Rate (LIBOR) or another reference rate expected to be discontinued because of reference rate reform. As amended, the guidance only applies to modifications made prior to December 31, 2024. On December 15, 2022, the Company amended the Credit Facility (as defined in Note 5 below) to, among other things, replace the LIBOR-based interest rate benchmark provisions with interest rate benchmark provisions based on the Secured Overnight Financing Rate (SOFR). The Company elected to apply ASU 2020-04’s amendments for contract modifications during the first quarter of the fiscal year ending September 30, 2023. The adoption of this ASU did not have a material impact on the Company’s consolidated financial statements for the three and nine months ended June 30, 2023. Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, “Financial Instruments - Credit Losses,” Topic 326, “Measurement of Credit Losses on Financial Instruments” (ASU 2016-13), subsequently amended by various standard updates. ASU 2016-13 replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information when determining credit loss estimates. ASU 2016-13 also requires financial assets to be measured net of expected credit losses at the time of initial recognition. ASU 2019-10, issued in November 2019, delayed the effective date of ASU 2016-13 for smaller reporting companies such as the Company. The provisions of ASU 2016-13 will be effective for the Company’s first quarter of the fiscal year ending September 30, 2024. Early adoption is permitted. The Company is evaluating the impact that the adoption of these provisions will have on its consolidated financial statements, but does not anticipate that these provisions will have material impacts on its consolidated financial statements.

Note 3 - Revenue Recognition

Note 3 - Revenue Recognition	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	3. Revenue Recognition The nature of the goods the Company transfers to customers at the point of sale consists of merchandise purchased for resale. In these transactions, the Company acts as a principal and recognizes revenue (net sales) from the sale of goods when control of the promised goods is transferred to the customer. Control refers to the ability of the customer to direct the use of, and obtain substantially all the remaining benefits from, the transferred goods. The Company’s performance obligations are satisfied upon the transfer of goods to the customer (at the point of sale), and payment from the customer is also due at that time. Transaction prices are considered fixed. Discounts provided to customers at the point of sale are recognized as a reduction in revenue as the goods are sold. Revenue excludes sales and usage-based taxes collected. Proceeds from the sale of the Company’s gift cards are recorded as a liability at the time of sale and recognized as revenue when the gift cards are redeemed by the customer and the performance obligation is satisfied by the Company. The balance of contract liabilities related to unredeemed gift cards was $1.6 million and $1.3 million as of June 30, 2023 and September 30, 2022, respectively. Revenue for each of the three months ended June 30, 2023 and 2022 includes $0.1 million that was included in the contract liability balance of unredeemed gift cards at September 30, 2022 and 2021, respectively. Revenue for the nine months ended June 30, 2023 and 2022 includes approximately $0.5 million and $0.8 million, respectively, that was included in the contract liability balance of unredeemed gift cards at September 30, 2022 and 2021, respectively. Loyalty program points are accrued as deferred revenue at the retail value per point, net of estimated breakage based on historical redemption rates experienced within the loyalty program. Loyalty points are forfeited at the end of each calendar year. The following table disaggregates the Company’s revenue by product category for the three and nine months ended June 30, 2023 and 2022, dollars in thousands and as a percentage of net sales: Three months ended June 30, Nine months ended June 30, 2023 2022 2023 2022 Grocery $ 196,162 69 % 186,626 70 590,650 70 567,469 70 Dietary supplements 58,183 21 54,461 20 174,860 21 170,668 21 Body care, pet care and other 27,446 10 25,222 10 79,983 9 77,282 9 $ 281,791 100 % 266,309 100 845,493 100 815,419 100

Note 4 - Earnings Per Share

Note 4 - Earnings Per Share	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Earnings Per Share [Text Block]	4. Earnings Per Share Basic earnings per share (EPS) is computed by dividing net income by the weighted average number of shares of common stock outstanding during the period. Diluted EPS reflects the potential dilution that could occur if the Company’s granted but unvested restricted stock units (RSUs) were to vest, resulting in the issuance of common stock that would then share in the earnings of the Company. Presented below are basic and diluted EPS for the three and nine months ended June 30, 2023 and 2022, dollars in thousands, except per share data: Three months ended June 30, Nine months ended June 30, 2023 2022 2023 2022 Net income $ 7,072 3,933 17,363 19,205 Weighted average number of shares of common stock outstanding 22,734,375 22,676,882 22,722,712 22,659,042 Effect of dilutive securities 153,548 177,872 102,631 153,650 Weighted average number of shares of common stock outstanding including effect of dilutive securities 22,887,923 22,854,754 22,825,343 22,812,692 Basic earnings per share $ 0.31 0.17 0.76 0.85 Diluted earnings per share $ 0.31 0.17 0.76 0.84 There were 11,575 and 155,380 non-vested RSUs for the three and nine months ended June 30, 2023, respectively, excluded from the calculation of diluted EPS as they were antidilutive. There were no

Note 5 - Debt

Note 5 - Debt	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Long-Term Debt [Text Block]	5. Debt Credit Facility The Company is party to a Credit Facility, entered into on January 28, 2016 and subsequently amended, consisting of a $50.0 million revolving loan facility (the Revolving Facility) and a $35.0 million term loan facility (the Term Loan Facility, and together with the Revolving Facility, the Credit Facility). The operating company is the borrower under the Credit Facility and its obligations under the Credit Facility are guaranteed by the holding company and VC2. The Credit Facility is secured by a lien on substantially all of the Company’s assets. The revolving commitment amount under the Revolving Facility is $50.0 million, including a $5.0 million sublimit for standby letters of credit. The Company has the right to borrow, prepay and re-borrow amounts under the Revolving Facility at any time prior to the maturity date without premium or penalty. The Credit Facility matures on November 13, 2024. Base rate loans under the Credit Facility bear interest at a fluctuating base rate, as determined by the lenders’ administrative agent based on the most recent compliance certificate of the operating company and stated at the highest of (i) the federal funds rate plus 0.50%, 1.00%, The Credit Facility requires compliance with certain customary operational and financial covenants, including a consolidated leverage ratio. The Credit Facility also contains certain other customary limitations on the Company’s ability to incur additional debt, guarantee other obligations, grant liens on assets and make investments or acquisitions, among other limitations. Additionally, the Credit Facility prohibits the payment of cash dividends to the holding company from the operating company without the administrative agent’s consent, provided that so long as no default or event of default exists or would arise as a result thereof, the operating company may pay cash dividends to the holding company in an amount sufficient to allow the holding company to: (i) pay various audit, accounting, tax, securities, indemnification, reimbursement, insurance and other reasonable expenses incurred in the ordinary course of business and (ii) repurchase shares of common stock and pay dividends on the Company’s common stock in an aggregate amount not to exceed $12.5 million during any fiscal year. On November 18, 2020, the Company amended the Credit Facility to provide for the Term Loan Facility and to permit payment of a one-time dividend of up to $50.0 million no later than December 31, 2020. On December 15, 2022, the Company further amended the Credit Facility to (i) replace the LIBOR-based interest rate benchmark provisions with interest rate benchmark provisions based on SOFR and (ii) increase the Company’s restricted payment capacity, allowing the Company to repurchase shares of common stock and pay dividends on its common stock in an aggregate amount not to exceed $12.5 million during any fiscal year. The Company had no As of June 30, 2023 and September 30, 2022, the Company was in compliance with all covenants under the Credit Facility. Lease Obligations As of June 30, 2023 and September 30, 2022, the Company had 24 and 21 leases that were classified as finance leases, respectively. No rent expense is recorded for these finance leases; rather, rental payments under such leases are recognized as a reduction of the lease obligation and as interest expense. The interest rate on finance lease obligations is determined at the commencement of the lease. Interest The Company incurred gross interest expense of $0.9 million and $0.7 million for the three months ended June 30, 2023 and 2022, respectively, and $2.7 million and $1.9 million for the nine months ended June 30, 2023 and 2022, respectively. Interest expense for the three and nine months ended June 30, 2023 and 2022 relates primarily to interest on finance lease obligations and the Credit Facility. The Company capitalized interest of $0.1 million for each of the three months ended June 30, 2023 and 2022 and $0.2 million for each of the nine months ended June 30, 2023 and 2022.

Note 6 - Stockholders' Equity

Note 6 - Stockholders' Equity	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Equity [Text Block]	6. Stockholders Equity Share Repurchases In May 2016, the Board of Directors (the Board) authorized a two-year The following table summarizes share repurchase activity for the three and nine months ended June 30, 2023 and 2022 (in thousands, except number of shares acquired and average per share cost): Three months ended Nine months ended June 30, June 30, 2023 2022 2023 2022 Number of common shares acquired 9,452 — 17,998 — Average price per common share acquired (including commissions) $ 10.12 — 10.07 — Total cost of common shares acquired $ 95 — 181 — During the three and nine months ended June 30, 2023, the Company reissued 1,901 and 10,447 treasury shares previously acquired under its share repurchase program, respectively, at a cost of less than $0.1 million and $0.1 million, respectively, to partially satisfy the issuance of common stock pursuant to the vesting of certain restricted stock unit awards. At June 30, 2023 and September 30, 2022, the Company held 7,551 and no Between July 1, 2023 and July 31, 2023 (the latest practical date for making the determination), the Company has not Dividends The Company paid quarterly cash dividends of $0.10 per share of common stock in each of the first three quarters of fiscal years 2023 and 2022.

Note 7 - Lease Obligations

Note 7 - Lease Obligations	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Lessee, Operating and Finance Leases [Text Block]	7. Lease Obligations The Company leases most of its stores, a bulk food repackaging facility and distribution center, and its administrative offices. The Company determines if an arrangement is a lease or contains a lease at inception. Lease terms generally range from 10 to 25 years, with scheduled increases in minimum rent payments. Operating and finance lease liabilities represent the present value of lease payments not yet paid. Operating and finance lease assets represent the Company’s right to use an underlying asset and are based upon the operating and finance lease liabilities adjusted for prepayments or accrued lease payments, initial direct costs, lease incentives and impairment of operating and finance lease assets. Most leases include one or more options to renew, with renewal terms normally expressed in periods of five ten Variable payments related to pass-through costs for maintenance, taxes and insurance or adjustments based on an index such as Consumer Price Index are not included in the measurement of the lease liability or asset and are expensed as incurred. As most of the Company’s lease agreements do not provide an implicit discount rate, the Company uses an estimated incremental borrowing rate, which is derived from third-party lenders, to determine the present value of lease payments. The Company uses other observable market data to evaluate the appropriateness of the rate derived from the lenders. The estimated incremental borrowing rate is based on the borrowing rate for a secured loan with a term similar to the expected term of the lease. Leases are recorded at the commencement date (the date the underlying asset becomes available for use) for the present value of lease payments, less tenant improvement allowances received or receivable. Leases with a term of 12 months or less (short-term leases) are not presented on the balance sheet. The Company has elected to account for the lease and non-lease components as a single lease component for all current classes of leases. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. The Company subleases certain real estate or portions thereof to third parties. Such subleases have all been classified as operating leases. Remaining lease terms extend through fiscal year 2030. Although some sublease arrangements provide renewal options, the exercise of sublease renewal options is at the sole discretion of the subtenant. The Company recognizes sublease income on a straight-line basis. The Company has four one one The components of total lease cost for the three and nine months ended June 30, 2023 and 2022 were as follows, dollars in thousands: Three months ended Nine months ended June 30, June 30, Lease cost Classification 2023 2022 2023 2022 Operating lease cost: Cost of goods sold and occupancy costs $ 11,013 10,749 32,884 32,199 Store expenses 61 79 239 257 Administrative expenses 86 81 245 228 Pre-opening expenses 84 100 178 100 Finance lease cost: Depreciation of right-of-use assets Store expenses 948 974 2,800 2,921 Pre-opening expenses 127 77 313 117 Interest on lease liabilities Interest expense, net 467 472 1,383 1,444 Pre-opening expenses 132 79 342 118 Short-term lease cost Store expenses 826 925 2,267 2,135 Variable lease cost Cost of goods sold and occupancy costs (1) 1,747 1,490 4,852 4,358 Sublease income Store expenses (84 ) (75 ) (230 ) (229 ) Total lease cost $ 15,407 14,951 45,273 43,648 1 Additional information related to the Company’s leases for the three and nine months ended June 30, 2023 and 2022 was as follows, dollars in thousands: Three months ended Nine months ended June 30, June 30, 2023 2022 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 11,623 11,228 34,459 29,963 Operating cash flows from finance leases 598 551 1,725 1,562 Financing cash flows from finance leases 682 732 2,039 2,059 Right-of-use assets obtained in exchange for new lease liabilities: Operating leases 10,551 13,074 11,307 19,645 Finance leases 4,119 5,597 5,771 9,726 Additional information related to the Company’s leases as of June 30, 2023 and 2022 was as follows: June 30, 2023 2022 Weighted-average remaining lease term (in years): Operating leases 10.4 10.8 Finance leases 14.3 14.1 Weighted-average discount rate: Operating leases 3.8 % 3.7 Finance leases 4.9 % 4.8 During the three and nine months ended June 30, 2023, the Company incurred impairment charges of $0.1 million and $0.9 million related to operating lease assets associated with an early store relocation, and an early store relocation and a store closure, respectively. During the nine months ended June 30, 2022, the Company incurred an impairment charge of $0.1 million related to an operating lease asset associated with an early store relocation. Future lease payments under non-cancellable leases as of June 30, 2023 were as follows, dollars in thousands: Fiscal year Operating leases Finance leases Total Remainder of 2023 $ 11,657 1,339 12,996 2024 45,719 6,023 51,742 2025 44,129 6,051 50,180 2026 41,203 6,093 47,296 2027 39,216 6,138 45,354 Thereafter 204,043 45,834 249,877 Total future undiscounted lease payments 385,967 71,478 457,445 Less imputed interest (69,939 ) (19,860 ) (89,799 ) Total reported lease liability 316,028 51,618 367,646 Less current portion (34,839 ) (3,552 ) (38,391 ) Noncurrent lease liability $ 281,189 48,066 329,255 The table above excludes $2.3 million of legally binding minimum lease payments for leases that had been executed as of June 30, 2023 but whose terms had not yet commenced.

Note 8 - Property and Equipment

Note 8 - Property and Equipment	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	8. Property and Equipment The Company had the following property and equipment balances as of June 30, 2023 and September 30, 2022, dollars in thousands: As of Useful lives (in years) June 30, 2023 September 30, 2022 Construction in process n/a $ 13,178 8,651 Land n/a 6,746 6,746 Buildings 16 – 40 46,412 43,010 Land improvements 1 – 24 2,038 1,822 Leasehold and building improvements 1 – 25 169,168 163,721 Fixtures and equipment 5 – 7 155,836 151,242 Computer hardware and software 3 – 5 27,210 25,545 420,588 400,737 Less accumulated depreciation and amortization (258,276 ) (243,558 ) Property and equipment, net $ 162,312 157,179 Depreciation and amortization expense for the three and nine months ended June 30, 2023 and 2022 is summarized as follows, dollars in thousands: Three months ended June 30, Nine months ended June 30, 2023 2022 2023 2022 Depreciation and amortization expense included in cost of goods sold and occupancy costs $ 272 278 796 759 Depreciation and amortization expense included in store expenses 6,415 6,343 19,128 19,148 Depreciation and amortization expense included in administrative expenses 396 370 1,189 1,064 Depreciation and amortization expense included in pre-opening expenses 127 77 313 117 Total depreciation and amortization expense $ 7,210 7,068 21,426 21,088

Note 9 - Goodwill and Other Int

Note 9 - Goodwill and Other Intangible Assets	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Goodwill and Intangible Assets Disclosure [Text Block]	9. Goodwill and Other Intangible Assets The Company had the following goodwill and other intangible asset balances as of June 30, 2023 and September 30, 2022, dollars in thousands: As of Useful lives (in years) June 30, 2023 September 30, 2022 Amortizable intangible assets: Other intangibles 0.5 – 7 $ 12,956 11,965 Less accumulated amortization (4,931 ) (3,827 ) Amortizable intangible assets, net 8,025 8,138 Other intangibles in process 499 369 Trademarks Indefinite 389 389 Deferred financing costs, net 3 – 5 23 37 Total other intangibles, net 8,936 8,933 Goodwill Indefinite 5,198 5,198 Total goodwill and other intangibles, net $ 14,134 14,131

Note 10 - Accrued Expenses

Note 10 - Accrued Expenses	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	10. Accrued Expenses The composition of accrued expenses as of June 30, 2023 and September 30, 2022 is summarized as follows, dollars in thousands: As of June 30, September 30, 2023 2022 Payroll and employee-related expenses $ 10,868 14,527 Accrued property, sales, and use tax payable 7,289 8,450 Accrued marketing expenses 534 153 Deferred revenue 2,045 1,757 Other 2,202 1,850 Total accrued expenses $ 22,938 26,737

Note 11 - Income Taxes

Note 11 - Income Taxes	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Income Tax Disclosure [Text Block]	11. Income Taxes Income taxes are accounted for in accordance with the provisions of Accounting Standards Codification Topic 740 “Income Taxes” (ASC 740). Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are remeasured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amounts expected to be realized. The Company’s effective income tax rate was 14.1% and 22.1% for the three months ended June 30, 2023 and 2022, respectively, and 19.1% and 22.7% for the nine months ended June 30, 2023 and 2022, respectively. The decrease in the effective income tax rate was primarily attributable to increased food donation deductions recorded during the three months ended June 30, 2023.

Note 12 - Related Party Transac

Note 12 - Related Party Transactions	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Related Party Transactions Disclosure [Text Block]	12. Related Party Transactions The Company has ongoing relationships with related entities as noted below: Chalet Properties, LLC: four four Isely Family Land Trust LLC: one FTVC LLC: one four

Note 13 - Commitments and Conti

Note 13 - Commitments and Contingencies	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	13. Commitments and Contingencies In January 2020, a former assistant store manager filed a putative class action lawsuit in the United States District Court for the District of Colorado on behalf of current and former assistant store managers alleging that the Company violated the Fair Labor Standards Act (FLSA) and Colorado labor laws by misclassifying the assistant store managers as exempt. The alleged violations relate to failure to pay for overtime work. In November 2020, the court granted plaintiffs’ motion for conditional certification with regard to the FLSA claim. In December 2022, pre-trial motions were filed by both parties, including a motion filed by the Company to decertify the FLSA collective action, which included 100 opt-in plaintiffs. In February 2023, the plaintiffs filed a motion seeking certification of a putative class with regard to alleged violations of Colorado labor laws, which the Company opposed. In May 2023, the court granted the Company’s motion to decertify the FLSA collective action and denied plaintiffs’ motion to certify a putative class of Colorado plaintiffs. Accordingly, while the named plaintiff’s litigation and certain arbitration claims will proceed on an individual basis, the Company has determined that the likelihood of a material loss contingency is remote. The Company is otherwise periodically involved in various legal proceedings that are incidental to the conduct of its business, including but not limited to employment discrimination claims, customer injury claims, and investigations. When the potential liability from a matter can be estimated and the loss is considered probable, the Company records the estimated loss. Due to uncertainties related to the resolution of lawsuits, investigations, and claims, the ultimate outcome may differ from the estimates. Although the Company cannot predict with certainty the ultimate resolution of any lawsuits, investigations, and claims asserted against it, management does not believe any currently pending legal proceeding to which the Company is a party will have a material adverse effect on its financial statements.

Note 14 - Subsequent Event

Note 14 - Subsequent Event	9 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Subsequent Events [Text Block]	14. Subsequent Event On August 2, 2023, the Board approved the payment of a quarterly cash dividend of $0.10 per share of common stock to be paid on September 13, 2023 to stockholders of record as of the close of business on August 28, 2023.

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Consolidation, Policy [Policy Text Block]	Consolidated Financial Statements The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial statements and are in the form prescribed by Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for annual financial statements. The information included in this Form 10-Q should be read in conjunction with Item 7 – “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and the consolidated financial statements and notes thereto included in the Form 10-K. The accompanying unaudited consolidated financial statements reflect all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation of the Company’s financial results. Interim results are not necessarily indicative of results for any other interim period or for a full fiscal year. The Company reports its results of operations on a fiscal year ending September 30. The accompanying unaudited consolidated financial statements include all the accounts of the holding company’s wholly owned subsidiaries, Vitamin Cottage Natural Food Markets, Inc. (the operating company) and Vitamin Cottage Two Ltd. Liability Company (VC2). All significant intercompany balances and transactions have been eliminated in consolidation. The Company has one
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management reviews its estimates on an ongoing basis, including those related to valuation of inventories, useful lives of long-lived assets for depreciation and amortization, impairment of finite-lived intangible assets, long-lived assets, and goodwill, lease assumptions, allowances for self-insurance reserves, deferred tax assets and liabilities, and litigation based on currently available information. Changes in facts and circumstances may result in revised estimates and actual results could differ from those estimates.
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Adopted Accounting Pronouncements In December 2019, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2019-12, “Income Taxes,” Topic 740, “Simplifying the Accounting for Income Taxes” (ASU 2019-12). The new guidance simplified the accounting for income taxes by removing certain exceptions to the general principles and also simplified areas such as franchise taxes, step-up in tax basis goodwill, separate entity financial statements, and interim recognition of enactment of tax laws or rate changes. The provisions of ASU 2019-12 were effective for the Company’s first quarter of the fiscal year ending September 30, 2022. The adoption of this ASU did not have an impact on the Company’s consolidated financial statements for the three and nine months ended June 30, 2023 and 2022. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform,” Topic 848, “Facilitation of the Effects of Reference Rate Reform on Financial Reporting” (ASU 2020-04), which was subsequently amended by a standard update in December 2022. The new guidance provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The guidance applies only to contracts, hedging relationships and other transactions that reference the London Interbank Offered Rate (LIBOR) or another reference rate expected to be discontinued because of reference rate reform. As amended, the guidance only applies to modifications made prior to December 31, 2024. On December 15, 2022, the Company amended the Credit Facility (as defined in Note 5 below) to, among other things, replace the LIBOR-based interest rate benchmark provisions with interest rate benchmark provisions based on the Secured Overnight Financing Rate (SOFR). The Company elected to apply ASU 2020-04’s amendments for contract modifications during the first quarter of the fiscal year ending September 30, 2023. The adoption of this ASU did not have a material impact on the Company’s consolidated financial statements for the three and nine months ended June 30, 2023. Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, “Financial Instruments - Credit Losses,” Topic 326, “Measurement of Credit Losses on Financial Instruments” (ASU 2016-13), subsequently amended by various standard updates. ASU 2016-13 replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information when determining credit loss estimates. ASU 2016-13 also requires financial assets to be measured net of expected credit losses at the time of initial recognition. ASU 2019-10, issued in November 2019, delayed the effective date of ASU 2016-13 for smaller reporting companies such as the Company. The provisions of ASU 2016-13 will be effective for the Company’s first quarter of the fiscal year ending September 30, 2024. Early adoption is permitted. The Company is evaluating the impact that the adoption of these provisions will have on its consolidated financial statements, but does not anticipate that these provisions will have material impacts on its consolidated financial statements.

Note 3 - Revenue Recognition (T

Note 3 - Revenue Recognition (Tables)	9 Months Ended
	Jun. 30, 2023
Notes Tables
Disaggregation of Revenue [Table Text Block]	Three months ended June 30, Nine months ended June 30, 2023 2022 2023 2022 Grocery $ 196,162 69 % 186,626 70 590,650 70 567,469 70 Dietary supplements 58,183 21 54,461 20 174,860 21 170,668 21 Body care, pet care and other 27,446 10 25,222 10 79,983 9 77,282 9 $ 281,791 100 % 266,309 100 845,493 100 815,419 100

Note 4 - Earnings Per Share (Ta

Note 4 - Earnings Per Share (Tables)	9 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three months ended June 30, Nine months ended June 30, 2023 2022 2023 2022 Net income $ 7,072 3,933 17,363 19,205 Weighted average number of shares of common stock outstanding 22,734,375 22,676,882 22,722,712 22,659,042 Effect of dilutive securities 153,548 177,872 102,631 153,650 Weighted average number of shares of common stock outstanding including effect of dilutive securities 22,887,923 22,854,754 22,825,343 22,812,692 Basic earnings per share $ 0.31 0.17 0.76 0.85 Diluted earnings per share $ 0.31 0.17 0.76 0.84

Note 6 - Stockholders' Equity (

Note 6 - Stockholders' Equity (Tables)	9 Months Ended
	Jun. 30, 2023
Notes Tables
Class of Treasury Stock [Table Text Block]	Three months ended Nine months ended June 30, June 30, 2023 2022 2023 2022 Number of common shares acquired 9,452 — 17,998 — Average price per common share acquired (including commissions) $ 10.12 — 10.07 — Total cost of common shares acquired $ 95 — 181 —

Note 7 - Lease Obligations (Tab

Note 7 - Lease Obligations (Tables)	9 Months Ended
	Jun. 30, 2023
Notes Tables
Lease, Cost [Table Text Block]	Three months ended Nine months ended June 30, June 30, Lease cost Classification 2023 2022 2023 2022 Operating lease cost: Cost of goods sold and occupancy costs $ 11,013 10,749 32,884 32,199 Store expenses 61 79 239 257 Administrative expenses 86 81 245 228 Pre-opening expenses 84 100 178 100 Finance lease cost: Depreciation of right-of-use assets Store expenses 948 974 2,800 2,921 Pre-opening expenses 127 77 313 117 Interest on lease liabilities Interest expense, net 467 472 1,383 1,444 Pre-opening expenses 132 79 342 118 Short-term lease cost Store expenses 826 925 2,267 2,135 Variable lease cost Cost of goods sold and occupancy costs (1) 1,747 1,490 4,852 4,358 Sublease income Store expenses (84 ) (75 ) (230 ) (229 ) Total lease cost $ 15,407 14,951 45,273 43,648
Additional Information Related to Leases [Table Text Block]	Three months ended Nine months ended June 30, June 30, 2023 2022 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 11,623 11,228 34,459 29,963 Operating cash flows from finance leases 598 551 1,725 1,562 Financing cash flows from finance leases 682 732 2,039 2,059 Right-of-use assets obtained in exchange for new lease liabilities: Operating leases 10,551 13,074 11,307 19,645 Finance leases 4,119 5,597 5,771 9,726 June 30, 2023 2022 Weighted-average remaining lease term (in years): Operating leases 10.4 10.8 Finance leases 14.3 14.1 Weighted-average discount rate: Operating leases 3.8 % 3.7 Finance leases 4.9 % 4.8
Operating and Finance Lease, Liability, Maturity [Table Text Block]	Fiscal year Operating leases Finance leases Total Remainder of 2023 $ 11,657 1,339 12,996 2024 45,719 6,023 51,742 2025 44,129 6,051 50,180 2026 41,203 6,093 47,296 2027 39,216 6,138 45,354 Thereafter 204,043 45,834 249,877 Total future undiscounted lease payments 385,967 71,478 457,445 Less imputed interest (69,939 ) (19,860 ) (89,799 ) Total reported lease liability 316,028 51,618 367,646 Less current portion (34,839 ) (3,552 ) (38,391 ) Noncurrent lease liability $ 281,189 48,066 329,255

Note 8 - Property and Equipme_2

Note 8 - Property and Equipment (Tables)	9 Months Ended
	Jun. 30, 2023
Notes Tables
Property, Plant and Equipment [Table Text Block]	As of Useful lives (in years) June 30, 2023 September 30, 2022 Construction in process n/a $ 13,178 8,651 Land n/a 6,746 6,746 Buildings 16 – 40 46,412 43,010 Land improvements 1 – 24 2,038 1,822 Leasehold and building improvements 1 – 25 169,168 163,721 Fixtures and equipment 5 – 7 155,836 151,242 Computer hardware and software 3 – 5 27,210 25,545 420,588 400,737 Less accumulated depreciation and amortization (258,276 ) (243,558 ) Property and equipment, net $ 162,312 157,179
Depreciation and Amortization Expense [Table Text Block]	Three months ended June 30, Nine months ended June 30, 2023 2022 2023 2022 Depreciation and amortization expense included in cost of goods sold and occupancy costs $ 272 278 796 759 Depreciation and amortization expense included in store expenses 6,415 6,343 19,128 19,148 Depreciation and amortization expense included in administrative expenses 396 370 1,189 1,064 Depreciation and amortization expense included in pre-opening expenses 127 77 313 117 Total depreciation and amortization expense $ 7,210 7,068 21,426 21,088

Note 9 - Goodwill and Other I_2

Note 9 - Goodwill and Other Intangible Assets (Tables)	9 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Intangible Assets and Goodwill [Table Text Block]	As of Useful lives (in years) June 30, 2023 September 30, 2022 Amortizable intangible assets: Other intangibles 0.5 – 7 $ 12,956 11,965 Less accumulated amortization (4,931 ) (3,827 ) Amortizable intangible assets, net 8,025 8,138 Other intangibles in process 499 369 Trademarks Indefinite 389 389 Deferred financing costs, net 3 – 5 23 37 Total other intangibles, net 8,936 8,933 Goodwill Indefinite 5,198 5,198 Total goodwill and other intangibles, net $ 14,134 14,131

Note 10 - Accrued Expenses (Tab

Note 10 - Accrued Expenses (Tables)	9 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Accrued Liabilities [Table Text Block]	As of June 30, September 30, 2023 2022 Payroll and employee-related expenses $ 10,868 14,527 Accrued property, sales, and use tax payable 7,289 8,450 Accrued marketing expenses 534 153 Deferred revenue 2,045 1,757 Other 2,202 1,850 Total accrued expenses $ 22,938 26,737

Note 1 - Organization (Details

Note 1 - Organization (Details Textual)	Jun. 30, 2023	Sep. 30, 2022
Number of Stores	164	164
Number of States in which Entity Operates	21

Note 2 - Basis of Presentatio_2

Note 2 - Basis of Presentation and Summary of Significant Accounting Policies (Details Textual)	9 Months Ended
	Jun. 30, 2023
Number of Reportable Segments	1

Note 3 - Revenue Recognition (D

Note 3 - Revenue Recognition (Details Textual) - Gift Cards [Member] - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Sep. 30, 2022
Contract with Customer, Liability, Total	$ 1.6		$ 1.6		$ 1.3
Contract with Customer, Liability, Revenue Recognized	$ 0.1	$ 0.1	$ 0.5	$ 0.8

Note 3 - Revenue Recognition -

Note 3 - Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Net sales	$ 281,791	$ 266,309	$ 845,493	$ 815,419
Net Sales, percent	100%	100%	100%	100%
Grocery [Member]
Net sales	$ 196,162	$ 186,626	$ 590,650	$ 567,469
Net Sales, percent	69%	70%	70%	70%
Dietary Supplements [Member]
Net sales	$ 58,183	$ 54,461	$ 174,860	$ 170,668
Net Sales, percent	21%	20%	21%	21%
Manufactured Product, Other [Member]
Net sales	$ 27,446	$ 25,222	$ 79,983	$ 77,282
Net Sales, percent	10%	10%	9%	9%

Note 4 - Earnings Per Share (De

Note 4 - Earnings Per Share (Details Textual) - shares	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Restricted Stock Units (RSUs) [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares)	11,575	0	155,380	11,666

Note 4 - Earnings Per Share - B

Note 4 - Earnings Per Share - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Net income	$ 7,072	$ 3,933	$ 17,363	$ 19,205
Weighted average number of shares of common stock outstanding (in shares)	22,734,375	22,676,882	22,722,712	22,659,042
Effect of dilutive securities (in shares)	153,548	177,872	102,631	153,650
Weighted average number of shares of common stock outstanding including effect of dilutive securities (in shares)	22,887,923	22,854,754	22,825,343	22,812,692
Basic earnings per share (in dollars per share)	$ 0.31	$ 0.17	$ 0.76	$ 0.85
Diluted earnings per share (in dollars per share)	$ 0.31	$ 0.17	$ 0.76	$ 0.84

Note 5 - Debt (Details Textual)

Note 5 - Debt (Details Textual) $ in Thousands			3 Months Ended		9 Months Ended
	Nov. 18, 2020 USD ($)	Jan. 28, 2016 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Sep. 30, 2022 USD ($)
Capital and Financing Lease Obligations Number of Leases			24		24		21
Interest Expense, Debt, Excluding Amortization			$ 900	$ 700	$ 2,700	$ 1,900
Interest Costs Capitalized			100	$ 100	200	$ 200
Letter of Credit [Member]
Letters of Credit Outstanding, Amount			1,500		1,500		$ 1,100
The New Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity		$ 50,000
Debt Instrument, Basis Spread on Variable Rate		1%
Debt Instrument, Periodic Payment, Principal					400
Line of Credit Facility, Dividend Restrictions, Maximum Amount		$ 12,500
Line of Credit Facility, Remaining Borrowing Capacity			48,500		48,500		48,900
Long-Term Debt, Total			9,700		9,700
The New Credit Facility [Member] | Maximum [Member]
Debt Instrument, Maximum Dividend Payment Permitted	$ 50,000
The New Credit Facility [Member] | Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate		0.50%
The New Credit Facility [Member] | Term Loan [Member]
Debt Instrument, Face Amount			35,000		35,000
The New Credit Facility [Member] | Revolving Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity			50,000		50,000
Long-Term Line of Credit, Total			$ 0		$ 0		$ 0
The New Credit Facility [Member] | Standby Letters of Credit [Member]
Line of Credit Facility, Maximum Borrowing Capacity		$ 5,000

Note 6 - Stockholders' Equity_2

Note 6 - Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Millions		1 Months Ended		3 Months Ended	9 Months Ended
	Aug. 02, 2023	Jul. 31, 2023	May 31, 2016	Jun. 30, 2023	Jun. 30, 2023	Jun. 30, 2022	Sep. 30, 2022
Stock Repurchase Program, Period in Force (Year)			2 years
Stock Repurchase Program, Authorized Amount			$ 10
Stock Issued During Period, Shares, Treasury Stock Reissued				1,901	10,447
Stock Issued During Period, Value, Treasury Stock Reissued				$ 0.1	$ 0.1
Treasury Stock, Common, Shares (in shares)				7,551	7,551		0
Stock Repurchase Program, Remaining Authorized Repurchase Amount				$ 8.1	$ 8.1
Quarterly Cash dividend [Member]
Common Stock, Dividends, Per Share, Declared (in dollars per share)					$ 0.10	$ 0.10
Subsequent Event [Member]
Stock Repurchased During Period, Shares (in shares)		0
Subsequent Event [Member] | Quarterly Cash dividend [Member]
Common Stock, Dividends, Per Share, Declared (in dollars per share)	$ 0.10

Note 6 - Stockholders' Equity -

Note 6 - Stockholders' Equity - Share Repurchase Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Number of common shares acquired (in shares)	9,452	0	17,998	0
Average price per common share acquired (including commissions) (in dollars per share)	$ 10.12	$ 0	$ 10.07	$ 0
Total cost of common shares acquired	$ 95	$ 0	$ 181	$ 0

Note 7 - Lease Obligations (Det

Note 7 - Lease Obligations (Details Textual) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Sep. 30, 2022 USD ($)
Operating Lease, Right-of-Use Asset	$ 292,779		$ 292,779		$ 307,132
Operating Lease, Liability	316,028		316,028
Operating Lease, Liability, Current	34,839		34,839		$ 34,735
Operating Lease, Expense	300	$ 300	900	$ 1,000
Operating Lease Impairment Charge, Store Closure	100		900
Early Lease Relocation Expense				$ 100
Lessee, Operating Lease, Lease Not yet Commenced, Minimum Lease Payments	$ 2,300		$ 2,300
Chalet [Member]
Number of Operating Leases	4		4
Finance Lease, Number of Lease	1		1
FTVC, LLC [Member]
Number of Operating Leases	1		1
Related Parties [Member]
Operating Lease, Right-of-Use Asset	$ 8,600		$ 8,600
Operating Lease, Liability	8,800		8,800
Operating Lease, Liability, Current	$ 800		$ 800
Minimum [Member]
Lessee, Operating Lease, Term of Contract (Year)	10 years		10 years
Lessee, Operating Lease, Renewal Term (Year)	5 years		5 years
Maximum [Member]
Lessee, Operating Lease, Term of Contract (Year)	25 years		25 years
Lessee, Operating Lease, Renewal Term (Year)	10 years		10 years

Note 7 - Lease Obligations - Le

Note 7 - Lease Obligations - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Total lease cost	$ 15,407	$ 14,951	$ 45,273	$ 43,648
Cost of Sales [Member]
Operating Lease, Cost	11,013	10,749	32,884	32,199
Variable lease cost	1,747	1,490	4,852	4,358
Store Expenses [Member]
Operating Lease, Cost	61	79	239	257
Depreciation of right-of-use assets	948	974	2,800	2,921
Interest on lease liabilities	467	472	1,383	1,444
Short-term lease cost	826	925	2,267	2,135
Sublease income	(84)	(75)	(230)	(229)
General and Administrative Expense [Member]
Operating Lease, Cost	86	81	245	228
Pre-opening Costs and Relocation Expenses [Member]
Operating Lease, Cost	84	100	178	100
Depreciation of right-of-use assets	127	77	313	117
Interest on lease liabilities	$ 132	$ 79	$ 342	$ 118

Note 7 - Lease Obligations - Ad

Note 7 - Lease Obligations - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Operating cash flows from operating leases	$ 11,623	$ 11,228	$ 34,459	$ 29,963
Operating leases (Year)	10 years 4 months 24 days	10 years 9 months 18 days	10 years 4 months 24 days	10 years 9 months 18 days
Finance leases (Year)	14 years 3 months 18 days	14 years 1 month 6 days	14 years 3 months 18 days	14 years 1 month 6 days
Operating cash flows from finance leases	$ 598	$ 551	$ 1,725	$ 1,562
Operating leases	3.80%	3.70%	3.80%	3.70%
Financing cash flows from finance leases	$ 682	$ 732	$ 2,039	$ 2,059
Finance leases	4.90%	4.80%	4.90%	4.80%
Operating leases	$ 10,551	$ 13,074	$ 11,307	$ 19,645
Finance leases	$ 4,119	$ 5,597	$ 5,771	$ 9,726

Note 7 - Lease Obligations - Fu

Note 7 - Lease Obligations - Future Lease Payments (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Sep. 30, 2022
Remainder of 2023, operating leases	$ 11,657
Remainder of 2023, finance leases	1,339
Remainder of 2023, total	12,996
2024, operating leases	45,719
2024, finance leases	6,023
2024, total	51,742
2025, operating leases	44,129
2025, finance leases	6,051
2025, total	50,180
2026, operating leases	41,203
2026, finance leases	6,093
2026, total	47,296
2027, operating leases	39,216
2027, finance leases	6,138
2027, total	45,354
Thereafter, operating leases	204,043
Thereafter, finance leases	45,834
Thereafter, total	249,877
Total future undiscounted lease payments, operating leases	385,967
Total future undiscounted lease payments, finance leases	71,478
Total future undiscounted lease payments, total	457,445
Less imputed interest, operating leases	(69,939)
Less imputed interest, finance leases	(19,860)
Less imputed interest, total	(89,799)
Operating Lease, Liability	316,028
Total reported lease liability, finance leases	51,618
Total reported lease liability, total	367,646
Less current portion, operating leases	(34,839)	$ (34,735)
Less current portion, finance leases	(3,552)	(3,223)
Less current portion, total	(38,391)
Noncurrent lease liability, operating leases	281,189	295,064
Noncurrent lease liability, finance leases	48,066	$ 44,664
Noncurrent lease liability, total	$ 329,255

Note 8 - Property and Equipme_3

Note 8 - Property and Equipment - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Sep. 30, 2022
Property, plant, and equipment, gross	$ 420,588	$ 400,737
Less accumulated depreciation and amortization	(258,276)	(243,558)
Property and equipment, net	162,312	157,179
Construction in Progress [Member]
Property, plant, and equipment, gross	13,178	8,651
Land [Member]
Property, plant, and equipment, gross	6,746	6,746
Building [Member]
Property, plant, and equipment, gross	$ 46,412	43,010
Building [Member] | Minimum [Member]
Property, Plant and Equipment, Useful Life (Year)	16 years
Building [Member] | Maximum [Member]
Property, Plant and Equipment, Useful Life (Year)	40 years
Leasehold Improvements [Member] | Minimum [Member]
Property, Plant and Equipment, Useful Life (Year)	1 year
Leasehold Improvements [Member] | Maximum [Member]
Property, Plant and Equipment, Useful Life (Year)	24 years
Land Improvements [Member]
Property, plant, and equipment, gross	$ 2,038	1,822
Land Improvements [Member] | Minimum [Member]
Property, Plant and Equipment, Useful Life (Year)	1 year
Land Improvements [Member] | Maximum [Member]
Property, Plant and Equipment, Useful Life (Year)	25 years
Leasehold and Building Improvements [Member]
Property, plant, and equipment, gross	$ 169,168	163,721
Furniture and Fixtures [Member]
Property, plant, and equipment, gross	$ 155,836	151,242
Furniture and Fixtures [Member] | Minimum [Member]
Property, Plant and Equipment, Useful Life (Year)	5 years
Furniture and Fixtures [Member] | Maximum [Member]
Property, Plant and Equipment, Useful Life (Year)	7 years
Computer Equipment [Member] | Minimum [Member]
Property, Plant and Equipment, Useful Life (Year)	3 years
Computer Equipment [Member] | Maximum [Member]
Property, Plant and Equipment, Useful Life (Year)	5 years
Computer Hardware and Software [Member]
Property, plant, and equipment, gross	$ 27,210	$ 25,545

Note 8 - Property and Equipme_4

Note 8 - Property and Equipment - Depreciation and Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Depreciation and amortization expense	$ 7,210	$ 7,068	$ 21,426	$ 21,088
Cost of Sales [Member]
Depreciation and amortization expense	272	278	796	759
Stores [Member]
Depreciation and amortization expense	6,415	6,343	19,128	19,148
General and Administrative Expense [Member]
Depreciation and amortization expense	396	370	1,189	1,064
Pre-opening Costs and Relocation Expenses [Member]
Depreciation and amortization expense	$ 127	$ 77	$ 313	$ 117

Note 9 - Goodwill and Other I_3

Note 9 - Goodwill and Other Intangible Assets - Summary of Goodwill and Other Intangible Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Sep. 30, 2022
Less accumulated amortization	$ (4,931)	$ (3,827)
Amortizable intangible assets, net	8,025	8,138
Other intangibles in process	499	369
Trademarks	389	389
Deferred financing costs, net	23	37
Total other intangibles, net	8,936	8,933
Goodwill	5,198	5,198
Goodwill and other intangible assets, net	$ 14,134	14,131
Minimum [Member]
Deferred financing costs, net (Year)	3 years
Maximum [Member]
Deferred financing costs, net (Year)	5 years
Other Intangible Assets [Member]
Finite-lived intangibles, gross	$ 12,956	$ 11,965
Other Intangible Assets [Member] | Minimum [Member]
Finite-Lived Intangible Assets, Remaining Amortization Period (Year)	6 months
Other Intangible Assets [Member] | Maximum [Member]
Finite-Lived Intangible Assets, Remaining Amortization Period (Year)	7 years

Note 10 - Accrued Expenses - Co

Note 10 - Accrued Expenses - Composition of Accrued Expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Sep. 30, 2022
Payroll and employee-related expenses	$ 10,868	$ 14,527
Accrued property, sales, and use tax payable	7,289	8,450
Accrued marketing expenses	534	153
Deferred revenue	2,045	1,757
Other	2,202	1,850
Total accrued expenses	$ 22,938	$ 26,737

Note 11 - Income Taxes (Details

Note 11 - Income Taxes (Details Textual)	3 Months Ended		9 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Effective Income Tax Rate Reconciliation, Percent	14.10%	22.10%	19.10%	22.70%

Note 12 - Related Party Trans_2

Note 12 - Related Party Transactions (Details Textual) $ in Millions	3 Months Ended		9 Months Ended
	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)
Chalet [Member]
Number of Operating Leases	4		4
Related Party Transaction Number of Owners That Are Non-Independent Board Members of the Entity			4
Related Party Transaction, Expenses from Transactions with Related Party	$ 0.2	$ 0.2	$ 0.6	$ 0.7
Isely Family Land Trust LLC [Member]
Number of Operating Leases	1		1
Related Party Transaction, Expenses from Transactions with Related Party	$ 0.1	0.1	$ 0.2	0.2
FTVC, LLC [Member]
Number of Operating Leases	1		1
Related Party Transaction Number of Owners That Are Non-Independent Board Members of the Entity			4
FTVC, LLC [Member] | Maximum [Member]
Related Party Transaction, Expenses from Transactions with Related Party	$ 0.1	$ 0.1	$ 0.1	$ 0.1

Note 13 - Commitments and Con_2

Note 13 - Commitments and Contingencies (Details Textual)	Nov. 03, 2020
Individual Arbitration [Member]
Loss Contingency, Number of Plaintiffs	100

Note 14 - Subsequent Event (Det

Note 14 - Subsequent Event (Details Textual) - $ / shares		9 Months Ended
	Aug. 02, 2023	Jun. 30, 2023	Jun. 30, 2022
Quarterly Cash dividend [Member]
Common Stock, Dividends, Per Share, Declared (in dollars per share)		$ 0.10	$ 0.10
Subsequent Event [Member]
Dividends Payable, Date to be Paid	Sep. 13, 2023
Dividends Payable, Date of Record	Aug. 28, 2023
Subsequent Event [Member] | Quarterly Cash dividend [Member]
Common Stock, Dividends, Per Share, Declared (in dollars per share)	$ 0.10