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Sysco Reports Second Quarter 2024 Results; Kevin Hourican and Kenny Cheung Share

Sysco Reports Second Quarter 2024 Results; Kevin Hourican and Kenny Cheung Share

Monday, February 12th, 2024

In its financial results for the 13-week second fiscal quarter, Sysco saw increased profit margins in addition to a 4.9 percent increase in gross profit to $3.5 billion for the period ending December 30, 2023.

Kevin Hourican, President and Chief Executive Officer, Sysco“Second quarter results included adjusted EPS growth of over 11 percent, fueled by sales and volume growth, combined with positive operating leverage, as we continue to effectively manage margins,” said Kevin Hourican, President and Chief Executive Officer. “Our balanced efforts to deliver compelling top- and bottom-line growth were driven by sequential improvements in volume growth, including local performance, as well as supply chain productivity and implementation of structural cost-out actions. Sysco’s industry-leading profitability, size and scale advantages, and strong balance sheet represent a position of strength. Combining our advantages with Sysco’s discipline on profitable growth, we expect to deliver strong results for the remainder of fiscal year 2024 and beyond.”

On top of its increase in gross profit, Sysco’s other financial highlights include:

  • Sales increased 3.7 percent
  • Operating income increased 9.2 percent to $700 million
  • EBITDA rose 82.7 percent to $914.3 million, and adjusted EBITDA increased 11.6 percent to $927.5 million
  • EPS increased 192.9 percent to $0.82

With the release of its second quarter fiscal results, Sysco reported increases in its gross profit, net sales, and EBITDA

Based on these results, Sysco is reaffirming the fiscal year 2024 guidance expectations for top- and bottom-line growth.

Kenny Cheung, Chief Financial Officer, Sysco“Our second quarter operating profit included our fifth consecutive quarter of positive operating leverage, as gross profit expanded at a faster rate than operating expenses. Additionally, our balanced approach to capital allocation demonstrates the importance of investing in the business and rewarding our shareholders, all anchored by our strong balance sheet and consistent cash generation,” added Kenny Cheung, Chief Financial Officer. “Looking ahead, we now expect to return approximately $2.25 billion back to shareholders in fiscal year 2024, through meaningful share repurchases and dividends [...]".

To read the results in their entirety, click here.

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