Sysco Reports Third Quarter Fiscal Year 2025 Results; Kevin Hourican Details

Sysco Corporation announced financial results for its 13-week third fiscal quarter ended March 29, 2025.

Key financial results for the third quarter of fiscal year 2025 include the following (comparisons are to the same period in fiscal year 2024):

• Sales increased 1.1%; U.S. Foodservice volume decreased 2.0%;
• Gross profit decreased 0.8% to $3.6 billion;
• Operating income decreased 5.7% to $681 million, and adjusted operating income decreased 3.3% to $773 million;
• Net earnings decreased 5.6% to $401 million, and adjusted net earnings decreased 2.9% to $469 million;
• EBITDA decreased 2.5% to $910 million, and adjusted EBITDA decreased 0.8% to $969 million;
• EPS decreased 3.5% to $0.82, and adjusted EPS was $0.96, in-line with the same period last year;
  FY25 guidance now includes expected sales growth of approximately 3% and adjusted EPS growth of at least 1%; and
• Remain on target to return approximately $2.25 billion back to shareholders in FY25, with share repurchase and dividends.

“Sysco's Q3 results were negatively impacted by multiple factors: California wildfires, significantly adverse weather, and more recently, weakening consumer confidence. Each of these variables had a negative impact on foot traffic to restaurants which led the quarter, in total, to fall short of our internal expectations. Countering these headwinds as much as possible, Sysco is making progress on multiple important growth and profit improvement activities. Our local case volume has seen an improved exit velocity in March and I fully anticipate further progress on initiatives as we progress through Q4 and into fiscal 2026. Our entire team is motivated to improve our results despite the external headwinds, and we are focused on levers we can directly control. Sysco has the strongest income statement and balance sheet in the foodservice industry, and we are well-positioned to navigate a challenging macroeconomic environment,” said Kevin Hourican, Sysco’s Chair of the Board and Chief Executive Officer.