US Foods Reaches $8.9 Billion in Q3 Fiscal Year 2022 Earnings; Andrew Iacobucci Comments
ROSEMONT, IL - Foodservice distributor US Foods Holding Corp. recently released its third quarter financial results for the fiscal year 2022. The last quarter proved to be fruitful for the distributor, as it revealed its net sales increased 13.0 percent from last year’s results, jumping up to $8.9 billion. US Foods’ gross profit showed an increase of 17.6 percent to $1.5 billion.
“US Foods delivered strong results in the third quarter as we continue to execute on the three pillars of our long-range plan, which we introduced earlier this year,” said Andrew Iacobucci, Interim Chief Executive Officer. “Our performance reflects sustained positive momentum, as we drove profitable market share in key customer types and effectively managed gross profit and operating expenses. Our nearly 21 percent adjusted EBITDA growth underscores our confidence in achieving the high end of our prior adjusted outlook for the year and reflects the progress we are making on our long-range plan. Finally, further highlighting confidence in our future, our Board has authorized a $500 million share repurchase program, which we see as highly accretive to shareholder value at our current share price.”
Net sales were $8.9 billion for the quarter, which was driven by food cost inflation of 12 percent compared to the same quarter a year ago. Year-over-year total case growth for the third quarter was negatively impacted by approximately 2.0 percent by the planned mid-2021 exit of the lower-margin grocery retail business the company temporarily added during the pandemic and the strategic exit of a small number of lower-margin chain restaurant and education customers.
In its financial release, the distributor noted its EBITDA increased to $351 million for the third quarter. US Foods’ nine month highlights for 2022 included:
- Adjusted EBITDA increased 20.8 percent to $960 million
- Net sales increased 16.9 percent to $25.5 billion
- Total case volume increased by 1.3 percent; independent restaurant case volume increased by 3.8 percent
- Gross profit increased 18.3 percent to $4.0 billion
For more information, click here for the full results.
ANUK will keep an eye on the wires, so stay tuned for the latest.