SYSCO Misses Q3 Views

Loading...
Loading...
SYSCO Corporation
SYY
reported weaker-than-expected results for its first quarter on Monday. The Houston, Texas-based company reported a quarterly profit of $177 million, or $0.30 per share, compared to $180.9 million, or $0.31 per share, in the year-ago period. Excluding certain items, the company's profit increased to $0.40 per share from $0.38 per share. Its revenue rose 4.2 percent to $11.7 billion. However, analysts were expecting a profit of $0.41 per share on revenue of $11.98 billion. The average estimate among 7 Estimize users was for earnings of $0.42 per share and revenue of $12.04 billion. Food cost inflation was 3.7 percent in the quarter. Its gross margin shrank 17 basis points to 17.52 percent in the quarter, while gross profit rose 3.1 percent to $2.1 billion. Operating income slipped 1.6 percent to $327 million, while adjusted operating income dropped 2.7 percent to $377 million in the quarter. Case volume for its Broadline and SYGMA operations combined rose 2.5 percent. "Sales growth, while solid for the quarter at 4 percent, did moderate from our trends in the first half of the fiscal year primarily due to lower levels of inflation and a greater unfavorable impact from foreign exchange translation. Adjusted earnings per share increased 5 percent and was in line with our expectations, as we continued to focus on providing great service to our customers, managed our gross profit growth reasonably well, and benefitted from a favorable tax rate," said Bill DeLaney, Sysco's president and chief executive officer. SYSCO shares fell 1.26 percent to $36.69 in pre-market trading.
Loading...
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsNewsprofit
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...