Sysco Announces First Quarter Fiscal 2020 Financial Results
HOUSTON, TX - Over the last fiscal year, Sysco undertook multiple acquisitions, facility expansions, and new product offerings—which we reported on our sister site, Deli Market News. All of these developments seem to have placed the foodservice distributor in an advantageous position to start out 2020, after it recently revealed that its first quarter fiscal 2020 results has improved both of its top and bottom lines.
“We saw improved financial results in the first quarter with adjusted operating income growth that was in line with our expectations, as we remain focused on accelerating local case growth and maintaining our strong track record of expense management,” said Tom Bené, Chairman, President, and Chief Executive Officer, in a recent press release. “As we look forward to celebrating our 50th anniversary this fiscal year, we remain committed to meeting the changing needs of our customers and supporting their continued growth.”
Highlights from the first quarter included:
- Sales increased 0.6 percent to $15.3 billion
- Gross profit increased 1.4 percent to $2.9 billion; gross margin increased 15 basis points Operating income increased 6.4 percent to $668.3 million; adjusted operating income increased 7.3 percent to $741.9 million
- EPS increased $0.06 to $0.87; adjusted EPS increased $0.08 to $0.98
So where is the company's next strike against possible decline? In the company’s earnings call, Joel Grade, Executive Vice President and Chief Financial Officer, noted that the quarterly results fall in line with Sysco’s current expectations. Notably, growing cases in customers segments, increasing Sysco brand penetration, and a strong track record of managing expenses has only kept Sysco on track to meet its three-year financial plan.
To view the entirety of Sysco's financial report, click here.