In many cases, the numbers speak for themselves—and this week’s financial report from the Sysco Corporation seems to be just such a case. The foodservice provider released the financial results for its 13-week third fiscal quarter; the period ending March 30, 2019 showed strong improved year-over-year growth and in line with the company's expectations.
A noteable highlight of the financial release: Sysco’s net earnings were up 33.3 percent to $440.1 million versus last year, according to the company. And NASDAQ reports that Sysco’s quarterly earnings of $0.79 per share beat the Zacks Consensus Estimate of $0.70 per share—compared to earnings of $0.67 per share a year ago.
“Our results for the quarter show strong improved year-over-year growth and are in line with our expectations,” Tom Bené, Sysco’s Chairman, President and Chief Executive Officer. “Our continued focus on profitable growth and supporting our customers at a high level, balanced with managing expenses well, allowed us to deliver solid operating income growth this quarter.”
Other notable features of the recently release financials according to the company include:
Third Quarter Fiscal 2019 Highlights:
First 39 Weeks of Fiscal 2019 Highlights included:
For the third quarter fiscal 2019 results for the company’s U.S. foodservice operations alone, sales for the third quarter were up 4.1 percent to $10.1 billion, compared to the same period last year. Gross profit increased by 5.1 percent to $2.0 billion, according to the company, while gross margin increased 18 basis points to 19.9 percent, compared to the same period last year.
In terms of operating expenses, this number increased 2.4 percent or $28.7 million, compared to the same period last year. Adjusted operating expenses increased $27.4 million, or 2.3 percent, due mainly to labor and supply chain costs in both warehouse and transportation.
Operating income was $765.4 million, an increase of $68.8 million, or 9.9 percent, compared to the same period last year.
As of May 6, 2:16 PM EDT Sysco stock was at 72.23 USD +1.71 (2.42%)
Deli Market News will continue to report with more on Sysco and other important retail and foodservice news.