Absolutely.
From your block diagram, in the Functions Palette, click on "File I/O". You'll find a number of useful vi's. For instance, you can use the "Read Characters From File" or "Scan From File" vi's to read character strings, which can be manipulated using the string functions (vi's).
You can also click on "Binary File vi's" if you are dealing with bit-operations.
You can read a file, parse it, manipulate the data and write it back, all within LabView. It is very useful for that.
Explore & have fun! 🐵
-JLV-