Vending

Performance Food Group lifts Q3 2023 results, Vistar sales surge on price hikes

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May 11, 2023

Performance Food Group Co., which owns Vistar, a national convenience services wholesale distributor, raised its Q3 2023 sales and earnings compared to the prior year period, with Vistar posting double-digit gains driven by higher selling prices, according to an earnings release. Highlights include:

Net sales for the third quarter of fiscal 2023 grew 5.3% from $13.08 billion in Q1 2022 to $13.8 billion in the quarter ending April 1, 2023, primarily attributable to an increase in selling price per case as a result of inflation and channel mix and growth in cases sold.
Net income for the third quarter of fiscal 2023 increased from $23.4 million to $80.3 million.
Diluted and basic EPS both increased from 15 cents to 51 cents.
Adjusted diluted EPS increased 62.7% to 83 cents.
Third-quarter fiscal 2023 net sales for foodservice increased 5.2% to $6.9 billion driven by an increase in selling price per case as a result of inflation and a favorable shift in mix.
Net sales for Vistar increased 24.9% from $892.2 million to $1.1 billion driven primarily by an increase in selling price per case as a result of inflation and channel mix, as well as case volume growth.
Net sales for foodservice rose 5.2% from $6.6 million to $6.95 million.
Net sales for convenience rose 1.9% from $5.57 billion to $5.68 billion.

Shares traded Wednesday at $59.65 against a 52-week range of $38.23-$63.22.

The $13.8 billion in quarterly revenue missed analyst estimates by $130 million while the non-GAAP EPS of 83 cents beat estimates by 12 cents, according to Seeking Alpha.

"PFG's three reportable segments continued to deliver solid results in the fiscal third quarter with accelerated organic case volume and favorable cost control producing strong profit growth," George Holm, PFG's chairman and CEO, said in the prepared statement. "Vistar experienced excellent top and bottom-line results across its channels while our convenience segment continues to grow in the profitable food and foodservice area."

For the full fiscal year 2023, PFG now expects net sales to be in a range of $57 billion to $57.5 billion compared to the prior expectation of $57 billion to $59 billion.