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ANNUAL REPORT 2025 AMCON Distribution Center C O LO R A D O C I T Y, C O
TACOS, BURRITOS, QUESADILLAS, NACHOS & MORE! e Mad Fresh Daily SAUCY & DELICIOUS!
O U R FO OT P R I N T AMCON Team Sledd Henry s Foods Akin s Chamberlin s Earth Origins Market A M CO N FA M I LY O F B R A N D S Boise, Idaho Colorado City, Colorado Wheeling, West Virginia Crossville, Tennessee East Peoria, Illinois Fairview Heights, Illinois Omaha, Nebraska Quincy, Illinois Rapid City, South Dakota South Bend, Indiana Springfield, Missouri (2) Alexandria, Minnesota Bismarck, North Dakota
L E T T E R TO O U R S H A R E H O L D E R S LADIES AND GENTLEMEN, We are pleased to report earnings of $0.6 million, or $0.92 per diluted common share for the fiscal year ended September 30, 2025. Our shareholders equity per share increased to $177.89. AMCON Distributing Company s ( AMCON or the Company ) Leadership Team and Associates have achieved these financial results by implementing a focused strategic plan centered on short, medium, and long-term objectives. The objective of our strategic plan is to increase shareholder value, as defined by shareholders equity per share, in a conservative, low risk fashion over the long term. SHORT TERM In the short term, which we define as up to six months, we focus on the implementation of our strategic plan. The careful integration of the businesses we acquire, along with opening and developing new facilities requires concentrated management attention. Our central operational focus is to provide superior customer service, prudently manage the balance sheet, and maximize our liquidity position. This long held core philosophy guides our daily decision-making process. Integrating the businesses we acquire also requires system integrations which are complex and time-consuming. Our management team accomplished four of these conversions over the course of the past fiscal year. Over the years, our management team has also developed numerous tactics and strategies designed to deal with the extreme weather conditions we face in the short term in the remote locations we serve. AMCON is the third largest Convenience Distributor as measured by geography served with a span of operation that encompasses a large geographic footprint covering thirty-four states, and services various retail channels including convenience stores, truck stops, superettes, rural grocery stores, and restaurants. The breadth of territory we serve, combined with high level service, provides AMCON a competitive differentiation in the market. As a result of a focused team effort, we deliver high quality branded consumer products, foodservice, technology and marketing support services over this broad territory, in a timely, reliable, and safe manner amid a dynamic operating environment. Our consistency, focus on partnership, and reliability make us the Convenience Distributor of choice for many of the leading Convenience Store chains in the regions we serve. Working capital management is one of our core competencies and is focused on daily. We believe balance sheet expertise is a critical success factor in the distribution industry, and the successful execution of this discipline is the foundation from which we generate profits and free cash flow. The highly liquid balance sheet posture AMCON maintains supports our commitment to excellence in operations, logistics, financial reporting, and cash management. Our business is capital intensive and requires significant investment in inventory. We stock approximately 20,000 SKUs of inventory, which we manage in a dynamic and real-time fashion. During fiscal 2025, we turned our inventory 18 times while still maintaining high levels of availability on our credit lines. The strength of AMCON s balance sheet enables our team to act decisively when strategic and tactical opportunities present themselves. We maintain deep in-stock inventory positions across many critical product categories. This is a crucial competitive advantage in the current period of supply chain and tariff related challenges. In addition, we continued to make targeted investments during the year in human capital, our facilities and the Company s trucking fleet to support the growth of the enterprise. The partnership AMCON has with our banking group affords us significant availability under our credit facilities. Our banking relationships are strong and long-term in nature. We understand that we are stewards of the banks capital and treat it as if it were our own. Together with our bank group we have crafted long-term credit facilities to enhance our balance sheet liquidity and expand the size of our lines as we grow.
L E T T E R TO O U R S H A R E H O L D E R S CO N T D MEDIUM TERM In the medium term, which we define as six to eighteen months, our primary strategic objective is to utilize the strength of our network, the breadth and depth of proprietary foodservice programs, our in-house advertising and marketing department, our proprietary technology and associated store level merchandising to deliver a comprehensive suite of convenience distribution services that is unparalleled in our industry. Our customer base has demonstrated enthusiasm for the turn-key foodservice programs we have developed. These programs enable our convenience customers to favorably compete head-on with the Quick Service Restaurant industry. To support our customers efforts, we have also established a full-service advertising design and printing capability to provide point of sale advertising, electronic advertising and related marketing programs to enhance our customers image and increase their profitability. Team Sledd, LLC and Henry s Foods, Inc. comprise our AMCON Family of Brands in the marketplace. Our Senior Operational Management Team and Leadership Team all have played roles as leaders in Collectively AMCON Distributing Company, our industry associations and are strong advocates of our shared customer-centric culture. Our ability to seamlessly offer solutions to our customers tailored to their regional needs is an important competitive differentiation. Our AMCON Family of Brands are structured to address the localized requirements of our customers on a relationship basis bolstered by the economies of scale of a larger organization. During fiscal 2025, AMCON was pleased to acquire Arrowrock Supply in Boise, Idaho. This operation has been fully integrated into AMCON and enables us to serve the very key Intermountain Western region. We also seek to generate free cash flow in the medium term, which we can deploy for a variety of corporate purposes. We established this objective as a medium-term goal because we frequently have access to attractive short-term product procurement opportunities from our vendor community. On a tactical basis, we deploy our credit facilities as these merchandising opportunities present themselves. As a result, we were able to take advantage of numerous procurement opportunities in fiscal 2025. AMCON employs a highly rigorous and disciplined process whereby we promptly liquify our balance sheet after realizing the product merchandising opportunities. In addition, we fund various strategic initiatives such as infrastructure, acquisitions, share repurchases and special dividends. AMCON is a balance sheet driven company and our primary focus from a financial perspective is on risk-adjusted returns on assets and deployed capital, as we build shareholders equity per share. Over time, through profits, we increase the availability on our credit lines. We take a very long-term approach to our business and are willing to make the investments in facilities and acquisitions necessary to remain at the top of our industry from a competitive standpoint. During the year AMCON deployed approximately $8.0 million towards capital expenditures. To maintain and extend our leadership position in the convenience distribution industry, our operational infrastructure requires continual upgrades and new investment, not only in bricks and mortar but also with the latest technology. In recent years competitive conditions, and customer product growth, have necessitated increased levels of capital expenditures. We continue to actively evaluate potential locations for new distribution centers in addition to existing facility and infrastructure modernization projects as our customer base expands its geographic footprint. Competition for new industrial real estate is fierce, however, AMCON maintains a disciplined approach towards such investments and expansion opportunities. We are pleased to announce that our 250,000 square foot distribution facility, with extensive refrigerated and frozen capacity, in Colorado City, Colorado, is now operational. Our ability to serve the Intermountain Western Region and Southwest is enhanced from this location. AMCON operates in a highly competitive environment and our technology focus helps drive our leadership position. Our future as a value-added organization is centered on the development of our technology platforms. Technology is a broad concept and expenditures in this area includes investments for both our customers and to enhance our own efficiency. We service approximately 8,500 locations for which there is no universal information technology (IT) interface. Hence, our philosophy to be flexible in understanding and developing customer facing IT applications is an important competitive differentiator. To enhance that strength, AMCON has developed the capability to design custom software that capitalizes on current advances in mobile technology. Our ability to seamlessly integrate with our customers from an IT perspective adds value and increases customer loyalty. In addition, the necessary network requirements to process the high volume of transactions requires vigilance to maintain security on a real-time basis. AMCON will continue to invest in the development of proprietary software, as this is an important strategic objective of the Company.
 • shareholder letter icon 11/18/2025 Letter Continued (Full PDF)
 • stockholder letter icon 12/12/2023 DIT Stockholder Letter
 • stockholder letter icon 11/15/2024 DIT Stockholder Letter
 • stockholder letter icon More "Department Stores" Category Stockholder Letters
 • Benford's Law Stocks icon DIT Benford's Law Stock Score = 70


DIT Shareholder/Stockholder Letter Transcript:

ANNUAL
REPORT
2025
AMCON Distribution Center
C O LO R A D O C I T Y, C O

TACOS,
BURRITOS,
QUESADILLAS,
NACHOS
& MORE!
e
Mad
Fresh
Daily
SAUCY &
DELICIOUS!

O U R FO OT P R I N T
AMCON
Team
Sledd
Henry   s
Foods
Akin   s
Chamberlin   s
Earth Origins Market
A M CO N FA M I LY O F B R A N D S
    Boise, Idaho
    Colorado City, Colorado
    Wheeling, West Virginia
    Crossville, Tennessee
    East Peoria, Illinois
    Fairview Heights, Illinois
    Omaha, Nebraska
    Quincy, Illinois
    Rapid City, South Dakota
    South Bend, Indiana
    Springfield, Missouri (2)
    Alexandria, Minnesota
    Bismarck, North Dakota

L E T T E R TO O U R S H A R E H O L D E R S
LADIES AND GENTLEMEN,
We are pleased to report earnings of $0.6 million, or $0.92 per diluted common share for the fiscal year ended September 30, 2025.
Our shareholders    equity per share increased to $177.89. AMCON Distributing Company   s (   AMCON    or    the Company   ) Leadership
Team and Associates have achieved these financial results by implementing a focused strategic plan centered on short, medium,
and long-term objectives. The objective of our strategic plan is to increase shareholder value, as defined by shareholders    equity per
share, in a conservative, low risk fashion over the long term.
SHORT TERM
In the short term, which we define as up to six months, we focus on the implementation of our strategic plan. The careful integration
of the businesses we acquire, along with opening and developing new facilities requires concentrated management attention. Our
central operational focus is to provide superior customer service, prudently manage the balance sheet, and maximize our liquidity
position. This long held core philosophy guides our daily decision-making process. Integrating the businesses we acquire also requires
system integrations which are complex and time-consuming. Our management team accomplished four of these conversions over the
course of the past fiscal year. Over the years, our management team has also developed numerous tactics and strategies designed to
deal with the extreme weather conditions we face in the short term in the remote locations we serve.
AMCON is the third largest Convenience Distributor as measured by geography served with a span of operation that encompasses
a large geographic footprint covering thirty-four states, and services various retail channels including convenience stores, truck
stops, superettes, rural grocery stores, and restaurants. The breadth of territory we serve, combined with high level service, provides
AMCON a competitive differentiation in the market. As a result of a focused team effort, we deliver high quality branded consumer
products, foodservice, technology and marketing support services over this broad territory, in a timely, reliable, and safe manner
amid a dynamic operating environment. Our consistency, focus on partnership, and reliability make us the Convenience Distributor of
choice for many of the leading Convenience Store chains in the regions we serve.
Working capital management is one of our core competencies and is focused on daily. We believe balance sheet expertise is a critical
success factor in the distribution industry, and the successful execution of this discipline is the foundation from which we generate
profits and free cash flow. The highly liquid balance sheet posture AMCON maintains supports our commitment to excellence in
operations, logistics, financial reporting, and cash management. Our business is capital intensive and requires significant investment
in inventory. We stock approximately 20,000 SKUs of inventory, which we manage in a dynamic and real-time fashion. During fiscal
2025, we turned our inventory 18 times while still maintaining high levels of availability on our credit lines.
The strength of AMCON   s balance sheet enables our team to act decisively when strategic and tactical opportunities present
themselves. We maintain deep in-stock inventory positions across many critical product categories. This is a crucial competitive
advantage in the current period of supply chain and tariff related challenges. In addition, we continued to make targeted investments
during the year in human capital, our facilities and the Company   s trucking fleet to support the growth of the enterprise.
The partnership AMCON has with our banking group affords us significant availability under our credit facilities. Our banking
relationships are strong and long-term in nature. We understand that we are stewards of the banks    capital and treat it as if it were
our own. Together with our bank group we have crafted long-term credit facilities to enhance our balance sheet liquidity and expand
the size of our lines as we grow.

L E T T E R TO O U R S H A R E H O L D E R S CO N T     D
MEDIUM TERM
In the medium term, which we define as six to eighteen months, our primary strategic objective is to utilize the strength of our network,
the breadth and depth of proprietary foodservice programs, our in-house advertising and marketing department, our proprietary
technology and associated store level merchandising to deliver a comprehensive suite of convenience distribution services that is
unparalleled in our industry. Our customer base has demonstrated enthusiasm for the turn-key foodservice programs we have developed.
These programs enable our convenience customers to favorably compete head-on with the Quick Service Restaurant industry. To
support our customers efforts, we have also established a full-service advertising design and printing capability to provide point of sale
advertising, electronic advertising and related marketing programs to enhance our customers image and increase their profitability.
Team Sledd, LLC and Henry   s Foods, Inc. comprise our AMCON Family of
Brands in the marketplace. Our Senior Operational Management Team and Leadership Team all have played roles as leaders in
Collectively AMCON Distributing Company,
our industry associations and are strong advocates of our shared customer-centric culture. Our ability to seamlessly offer
solutions to our customers tailored to their regional needs is an important competitive differentiation. Our AMCON Family
of Brands are structured to address the localized requirements of our customers on a relationship basis bolstered by the
economies of scale of a larger organization. During fiscal 2025, AMCON was pleased to acquire Arrowrock Supply in Boise,
Idaho. This operation has been fully integrated into AMCON and enables us to serve the very key Intermountain Western region.
We also seek to generate free cash flow in the medium term, which we can deploy for a variety of corporate purposes. We established
this objective as a medium-term goal because we frequently have access to attractive short-term product procurement opportunities
from our vendor community. On a tactical basis, we deploy our credit facilities as these merchandising opportunities present themselves.
As a result, we were able to take advantage of numerous procurement opportunities in fiscal 2025. AMCON employs a highly rigorous
and disciplined process whereby we promptly liquify our balance sheet after realizing the product merchandising opportunities.
In addition, we fund various strategic initiatives such as infrastructure, acquisitions, share repurchases and special dividends.
AMCON is a balance sheet driven company and our primary focus from a financial perspective is on risk-adjusted returns on assets
and deployed capital, as we build shareholders    equity per share. Over time, through profits, we increase the availability on our
credit lines. We take a very long-term approach to our business and are willing to make the investments in facilities and acquisitions
necessary to remain at the top of our industry from a competitive standpoint. During the year AMCON deployed approximately
$8.0 million towards capital expenditures. To maintain and extend our leadership position in the convenience distribution industry,
our operational infrastructure requires continual upgrades and new investment, not only in bricks and mortar but also with the
latest technology. In recent years competitive conditions, and customer product growth, have necessitated increased levels of
capital expenditures. We continue to actively evaluate potential locations for new distribution centers in addition to existing facility
and infrastructure modernization projects as our customer base expands its geographic footprint. Competition for new industrial
real estate is fierce, however, AMCON maintains a disciplined approach towards such investments and expansion opportunities.
We are pleased to announce that our 250,000 square foot distribution facility, with extensive refrigerated and frozen capacity, in Colorado
City, Colorado, is now operational. Our ability to serve the Intermountain Western Region and Southwest is enhanced from this location.
AMCON operates in a highly competitive environment and our technology focus helps drive our leadership position. Our future
as a value-added organization is centered on the development of our technology platforms. Technology is a broad concept and
expenditures in this area includes investments for both our customers and to enhance our own efficiency. We service approximately
8,500 locations for which there is no universal information technology (IT) interface. Hence, our philosophy to be flexible in
understanding and developing customer facing IT applications is an important competitive differentiator. To enhance that strength,
AMCON has developed the capability to design custom software that capitalizes on current advances in mobile technology. Our
ability to seamlessly integrate with our customers from an IT perspective adds value and increases customer loyalty. In addition, the
necessary network requirements to process the high volume of transactions requires vigilance to maintain security on a real-time basis.
AMCON will continue to invest in the development of proprietary software, as this is an important strategic objective of the Company.



shareholder letter icon 11/18/2025 Letter Continued (Full PDF)
 

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