Sysco Reports Q4 Earnings, Sees Boost to Profits
HOUSTON, TX – Sysco is bringing its fiscal 2017 year to a close with a boost to its profits. The company reported in its recently released fourth-quarter report that its profits jumped 41.5 percent, compared to results from the same quarter last year.
“Our fourth quarter financial results were strong and reflect the increasingly consistent execution of our customer-centric strategy,” said Bill DeLaney, CEO. “I am very pleased with our overall performance in fiscal 2017 and, with the support of our 65,000 dedicated associates, we are well positioned to deliver disciplined, profitable, and sustainable growth as we move forward into 2018 and beyond.”
Sysco stated that its Q4 profits this year jumped to $305.2 million, up from last year’s $215.7 million. According to a press release, this jump was due in part to increased sales over the quarter, which rose 5.7 percent from $13.6 billion to $14.4 billion.
Sysco’s Q4 also beat Wall Street expectations, both in earnings expected and sales forecasts. According to The Longview News-Journal, six analysts surveyed by Zacks Investment Research estimated the company to report earnings-per-share of 71 cents and $14.23 billion in sales. Sysco’s Q4 reported adjusted earnings-per-share rose 8 cents to 72 cents, with sales of $14.4 billion.
Other notable aspects to 2017’s Q4, compared to last year’s results, were as follows:
- Gross profit increased 10.3 percent to 2.8 billion
- Operating income increased 2.0 percent to $558 million, with adjusted operating income increasing 6.1 percent to $667 million
- U.S. Foodservice operations sales decreased 3.8 percent
- International Foodservice operations sales increased to $2.7 billion from $1.5 billion
The company noted that this quarter included results from its acquisition of Brakes Group. The company purchased the European-based distributor early last year for $3 billion, in order to expand its footprint in the UK, Ireland, and Europe.
For fiscal 2017, the company also noted a boost to its international sales and operating income, attributable to the Brakes acquisition. The company’s also reported that its 2017 profits jumped 20.3 percent to $1.1 billion
For more on the company’s financial report, including its numbers excluding the Brakes Group acquisition, click here.