Foodservice

Sysco reports record Q4 and FY results

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August 3, 2023

Sysco Corp. delivered record sales and earnings for both Q4 and full year 2023, boosted by improvement in both its U.S. and international foodservice segments, according to a press release.

Highlights include:

• Sales rose 4.1% from $18.9 billion in Q4 2022 to $19.73 billion int Q4 2023.
• Net earnings rose 43.9% from $509.8 million to $733.7 million in the comparative quarters.
• Diluted EPS rose 45.5% to $1.44.
• Adjusted EPS rose 14.4% $1.34.
• Fiscal year sales rose 11.2% from $68.6 billion to $76.3 billion.
• Net earnings for the year rose 30.3% from $1.36 billion to $1.8 billion.
• Diluted EPS for the year rose 31.4% from $2.64 to $3.47.
• U.S. foodservice sales for the fourth quarter were $13.7 billion, an increase of 2.5% compared to the same period last year. Local case volume within U.S. foodservice grew 0.8% for the fourth quarter, while total case volume within U.S. foodservice grew 2.3%, in each case as compared to the same period last year.
• International foodservice sales for the quarter were $3.6 billion, an increase of 12.2% compared to the same period last year. On a constant currency basis, sales for the fourth quarter were $3.7 billion, an increase of 13.6% compared to the same period last year. Foreign exchange rates decreased both international foodservice operations sales by 1.4% and total Sysco sales by 0.2% during the quarter.

The $19.73 billion in quarterly revenue missed analyst expectations by $220 million while the non-GAAP EPS of $1.34 beat expectations by one cent, according to Seeking Alpha.

"Sysco delivered another quarter of solid sales, volume and market share gains," Kevin Hourican, president and CEO, said in the press release. "Our actions to improve efficiency continued in the fourth quarter with sequential improvements in supply chain productivity and additional cost outs, delivering meaningful operating expense leverage."