Latest news with #USFoodsHoldingCorp
Yahoo
07-08-2025
- Business
- Yahoo
Chef's Line, Glenview Farms Parent US Foods Maintains Revenue Outlook Despite Q2 Miss
US Foods Holding Corp. (NYSE:USFD) shares are trading lower on Thursday after the company reported second-quarter results. US Foods Holding Corp. markets and sells products under various brands, including Chef's Line, Stock Yards, Metro Deli, Harvest Value, Monarch, Monogram, Molly's Kitchen, and Glenview Farms. They also distribute foodservice equipment and supplies under brands like Chef'Stores, Food Fanatics, and Smart Foodservice. It clocked second-quarter adjusted earnings per share of $1.19, beating the analyst consensus estimate of $1.13. Quarterly sales of $10.082 billion (up 3.8% year over year) missed the Street view of $10.166 billion. "We delivered top-line growth and margin expansion combined with accretive share buybacks, which resulted in 28% Adjusted EPS growth," said CFO Dirk sales growth was driven by case volume growth and food cost inflation of 2.5%. Total case volume increased 0.9% from the prior year, driven by a 2.7% increase in independent restaurant case volume, a 4.9% increase in healthcare volume and a 2.4% increase in hospitality volume, US Foods Holding said in a press release. Adjusted gross profit increased by $85 million year-over-year (up 5.0%) to $1.8 billion. It represented 17.8% of net sales, compared with 17.6% in the year-ago period. View more earnings on USFD Adjusted EBITDA of $548 million, increased by 12.1%, from the prior year. Adjusted EBITDA margin was 5.4%, an increase of 40 basis points compared to the prior year. The company said it has secured over $50 million in year-to-date cost-of-goods savings through strategic vendor management and is positioned to exceed its $260 million 2027 commitment. Private-label penetration climbed more than 80 basis points to over 53% in core independent restaurants, driving improved margins. Enhanced inventory controls are projected to deliver a $30 million gross profit benefit in 2025, while $45 million in indirect-spend savings this year will further reduce operating expenses. The company exited the quarter with cash and equivalents worth $61 million, higher than $59 million in the year-ago period. Outlook US Foods Holding affirmed its fiscal year 2025 sales guidance at $39.392 billion to $40.150 billion, compared with the consensus estimate of $39.764 billion. The company also narrowed its adjusted EPS guidance for fiscal 2025 to $3.76–$3.87, tightening the prior range of $3.69–$3.88, and compared with the street estimate of $3.81. Price Action: USFD shares are trading lower by 8.56% to $77.39 at last check Thursday. Read Next:UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article Chef's Line, Glenview Farms Parent US Foods Maintains Revenue Outlook Despite Q2 Miss originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Sign in to access your portfolio
Washington Post
07-08-2025
- Business
- Washington Post
US Foods: Q2 Earnings Snapshot
ROSEMONT, Ill. — ROSEMONT, Ill. — US Foods Holding Corp. (USFD) on Thursday reported second-quarter net income of $224 million. The Rosemont, Illinois-based company said it had profit of 96 cents per share. Earnings, adjusted for one-time gains and costs, came to $1.19 per share. The results beat Wall Street expectations. The average estimate of six analysts surveyed by Zacks Investment Research was for earnings of $1.14 per share.
Business Wire
07-08-2025
- Business
- Business Wire
US Foods Reports Second Quarter Fiscal Year 2025 Earnings
ROSEMONT, Ill.--(BUSINESS WIRE)--US Foods Holding Corp. (NYSE: USFD), one of the largest foodservice distributors in the United States, today announced results for the second quarter of fiscal year 2025. Second Quarter Fiscal 2025 Highlights Total case volume increased 0.9%; independent restaurant case volume increased 2.7% Net sales increased 3.8% to $10.1 billion Gross profit increased 4.2% to $1.8 billion Net income increased 13.1% to $224 million Adjusted EBITDA 1 increased 12.1% to $548 million Diluted EPS increased 20.0% to $0.96; Adjusted Diluted EPS 1 increased 28.0% to $1.19 'Our second quarter performance underscores the strength of our team's continued focus on execution and delivering value to our customers. This momentum has fueled further market share gains with independent restaurant, healthcare and hospitality customers, resulting in record Adjusted EBITDA of $548 million and a 40 basis point increase in Adjusted EBITDA margin to a record 5.4%,' said Dave Flitman, CEO. 'Looking ahead, we have a long runway of growth and profitability as we pursue our ambition to become the undisputed best in our industry. I am incredibly proud and appreciative of our talented team of 30,000 associates, whose dedication and hard work are delivering on our promise to help our customers Make It.' 'Our results demonstrate the consistent execution of our strategy and continued progress on our self-help initiatives,' added Dirk Locascio, CFO. 'We delivered top-line growth and margin expansion combined with accretive share buybacks, which resulted in 28% Adjusted EPS growth. US Foods continues to generate strong cash flow, funding record capital investment to support growth and drive attractive returns, while delivering on our commitment to return capital to shareholders through share repurchases.' Second Quarter Fiscal Year 2025 Results Total case volume increased 0.9% from the prior year driven by a 2.7% increase in independent restaurant case volume, a 4.9% increase in healthcare volume and a 2.4% increase in hospitality volume, partially offset by a 4.0% decrease in chain volume. Total organic case volume increased 0.5%, which includes 2.3% organic independent restaurant case volume growth. Net sales of $10.1 billion for the quarter increased 3.8% from the prior year, driven by case volume growth and food cost inflation of 2.5%. Gross profit of $1.8 billion increased by $71 million, or 4.2%, from the prior year, primarily as a result of an increase in total case volume, improved cost of goods sold and inventory management, partially offset by an unfavorable year-over-year LIFO adjustment. Gross profit as a percentage of net sales was 17.6%. Adjusted Gross profit was $1.8 billion, an increase of $85 million, or 5.0% from the prior year. Adjusted Gross profit as a percentage of net sales was 17.8%. Operating expenses of $1.4 billion increased by $52 million, or 3.8%, from the prior year, primarily as a result of an increase in total case volume and higher distribution, selling and administrative costs, partially offset by continued distribution productivity improvement as well as actions to streamline administrative processes and costs. Operating expenses as a percentage of net sales were 13.9%. Adjusted Operating expenses were $1.2 billion, an increase of $31 million, or 2.6% from the prior year. Adjusted Operating expenses as a percentage of net sales were 12.3%. Net income of $224 million, increased by $26 million, or 13.1%, from the prior year. Net income margin was 2.2%, an increase of 18 basis points compared to the prior year. Adjusted EBITDA of $548 million, increased by $59 million, or 12.1%, from the prior year. Adjusted EBITDA margin was 5.4%, an increase of 40 basis points compared to the prior year. Diluted EPS was $0.96; Adjusted Diluted EPS was $1.19. Cash Flow and Debt Cash flow provided by operating activities for the first six months of fiscal year 2025 was $725 million, an increase of $104 million from the prior year driven by higher net income. Cash capital expenditures for the first six months of fiscal year 2025 totaled $161 million, an increase of $5 million from the prior year, related to investments in information technology, property and equipment and improvement of distribution facilities. Net Debt at the end of the second quarter fiscal year 2025 was $4.8 billion. The ratio of Net Debt to Adjusted EBITDA was 2.6x at the end of the second quarter of fiscal year 2025, compared to 2.8x at the end of fiscal year 2024. On May 7, 2025, the Board authorized a new share repurchase program of up to $1 billion. During the second quarter of fiscal year 2025, the Company repurchased 3.2 million shares of common stock at an aggregate purchase price of approximately $250 million. Outlook for Fiscal Year 2025 2 The Company is updating its Fiscal Year 2025 guidance provided on February 13, 2025 of: Net Sales growth of 4% to 6%, remains unchanged Adjusted EBITDA growth of 9.5% to 12%, compared to previous guidance of 8% to 12% Adjusted Diluted EPS growth of 19.5% to 23%, compared to previous guidance of 17% to 23% Conference Call and Webcast Information US Foods will host a live webcast to discuss the second quarter of fiscal year 2025 results on Thursday, August 07, 2025, at 8 a.m. CDT. The call can also be accessed live over the phone by dialing (877) 344-2001; the conference ID number is 2528845. Presentation slides will be available shortly before the webcast begins. The webcast, slides, and a copy of this press release can be found in the Investor Relations section of our website at About US Foods With a promise to help its customers Make It, US Foods is one of America's great food companies and a leading foodservice distributor, partnering with approximately 250,000 customer locations to help their businesses succeed. With more than 70 broadline locations and more than 90 cash and carry stores, US Foods and its 30,000 associates provides its customers with a broad and innovative food offering and a comprehensive suite of e-commerce, technology and business solutions. US Foods is headquartered in Rosemont, Ill. Visit to learn more. ____________________ 1 This earnings release includes several metrics, including Adjusted EBITDA and Adjusted Diluted EPS, that are not calculated in accordance with U.S. generally accepted accounting principles ('GAAP'). Please refer to the 'Non-GAAP Financial Measures' and 'Non-GAAP Reconciliation' sections of this press release for the definitions and reconciliation of these non-GAAP financial measures to their respective most comparable financial measure calculated in accordance with GAAP. 2 The Company is not providing a reconciliation of certain forward-looking non-GAAP financial measures, including Adjusted EBITDA and Adjusted Diluted EPS, because the Company is unable to predict with reasonable certainty the financial impact of certain significant items, including restructuring activity and asset impairment charges, share-based compensation expenses, non-cash impacts of LIFO reserve adjustments, losses on extinguishments of debt, business transformation costs, other gains and losses, business acquisition and integration related costs and divestiture costs and diluted earnings per share. These items are uncertain, depend on various factors, and could have a material impact on GAAP reported results for the guidance periods. For the same reasons, the Company is unable to address the significance of the unavailable information, which could be material to future results. Expand Forward-Looking Statements Statements in this press release which are not historical in nature, including those under the heading 'Outlook for Fiscal Year 2025,' are 'forward-looking statements' within the meaning of the federal securities laws. These statements often include words such as 'believe,' 'expect,' 'project,' 'anticipate,' 'intend,' 'plan,' 'outlook,' 'estimate,' 'target,' 'seek,' 'will,' 'may,' 'would,' 'should,' 'could,' 'forecast,' 'mission,' 'strive,' 'more,' 'goal,' or similar expressions (although not all forward-looking statements may contain such words) and are based upon various assumptions and our experience in the industry, as well as historical trends, current conditions, and expected future developments. However, you should understand that these statements are not guarantees of performance or results and there are a number of risks, uncertainties and other important factors, many of which are beyond our control, that could cause our actual results to differ materially from those expressed in the forward-looking statements, including, among others: economic factors affecting consumer confidence and discretionary spending and reducing the consumption of food prepared away from home; cost inflation/deflation and commodity volatility; competition; reliance on third party suppliers and interruption of product supply or increases in product costs; changes in our relationships with customers and group purchasing organizations; our ability to increase or maintain the highest margin portions of our business; achievement of expected benefits from cost savings initiatives; increases in fuel costs; changes in consumer eating habits; cost and pricing structures; the impact of climate change or related legal, regulatory or market measures; impairment charges for goodwill, indefinite-lived intangible assets or other long-lived assets; the impact of governmental regulations; product recalls and product liability claims; our reputation in the industry; labor relations and increased labor costs and continued access to qualified and diverse labor; indebtedness and restrictions under agreements governing our indebtedness; interest rate increases; disruption of existing technologies and implementation of new technologies; cybersecurity incidents and other technology disruptions; risks associated with intellectual property, including potential infringement; effective consummation of pending acquisitions and effective integration of acquired businesses; potential costs associated with shareholder activism; changes in tax laws and regulations and resolution of tax disputes; certain provisions in our governing documents; health and safety risks to our associates and related losses; adverse judgments or settlements resulting from litigation; extreme weather conditions, natural disasters and other catastrophic events; and management of retirement benefits and pension obligations. For a detailed discussion of these risks, uncertainties and other factors that could cause our actual results to differ materially from those anticipated or expressed in any forward-looking statements, see the section entitled 'Risk Factors' in US Foods' Annual Report on Form 10-K for the fiscal year ended December 28, 2024 filed with the Securities and Exchange Commission ('SEC') on February 13, 2025. Additional risks and uncertainties are discussed from time to time in current, quarterly and annual reports filed by the Company with the SEC, which are available on the SEC's website at Additionally, we operate in a highly competitive and rapidly changing environment; new risks and uncertainties may emerge from time to time, and it is not possible to predict all risks nor identify all uncertainties. The forward-looking statements contained in this press release speak only as of the date of this press release and are based on information and estimates available to us at this time. We undertake no obligation to update or revise any forward-looking statements, except as may be required by law. Non-GAAP Financial Measures We report our financial results in accordance with U.S. generally accepted accounting principles ('GAAP'). However, Adjusted Gross profit, Adjusted Operating expenses, EBITDA, Adjusted EBITDA, Adjusted EBITDA margin, Net Debt, Adjusted Net income and Adjusted Diluted EPS are non-GAAP financial measures regarding our operational performance and liquidity. These non-GAAP financial measures exclude the impact of certain items and, therefore, have not been calculated in accordance with GAAP. We use Adjusted Gross profit and Adjusted Operating expenses as supplemental measures to GAAP measures to focus on period-over-period changes in our business and believe this information is helpful to investors. Adjusted Gross profit is Gross profit adjusted to remove the impact of the LIFO inventory reserve adjustments. Adjusted Operating expenses are Operating expenses adjusted to exclude amounts that we do not consider part of our core operating results when assessing our performance. We believe EBITDA, Adjusted EBITDA and Adjusted EBITDA margin provide meaningful supplemental information about our operating performance because they exclude amounts that we do not consider part of our core operating results when assessing our performance. EBITDA is Net income (loss), plus Interest expense-net, Income tax provision (benefit), and Depreciation and amortization. Adjusted EBITDA is EBITDA adjusted for (1) Restructuring activity and asset impairment charges; (2) Share-based compensation expense; (3) the non-cash impact of LIFO reserve adjustments; (4) loss on extinguishment of debt; (5) Business transformation costs; and (6) other gains, losses or costs as specified in the agreements governing our indebtedness. Adjusted EBITDA margin is Adjusted EBITDA divided by total net sales. We use Net Debt as a supplemental measure to GAAP measures to review the liquidity of our operations. Net Debt is defined as total debt net of total Cash, cash equivalents and restricted cash remaining on the balance sheet as of the end of the most recent fiscal quarter. We believe that Net Debt is a useful financial metric to assess our ability to pursue business opportunities and investments. Net Debt is not a measure of our liquidity under GAAP and should not be considered as an alternative to Cash Flows Provided by Operations or Cash Flows Used in Financing Activities. We believe that Adjusted Net income is a useful measure of operating performance for both management and investors because it excludes items that are not reflective of our core operating performance and provides an additional view of our operating performance including depreciation, interest expense, and Income taxes on a consistent basis from period to period. Adjusted Net income is Net income (loss) excluding such items as restructuring activity and asset impairment charges, Share-based compensation expense, the non-cash impacts of LIFO reserve adjustments, amortization expense, loss on extinguishment of debt, Business transformation costs and other items, and adjusted for the tax effect of the exclusions and discrete tax items. We believe that Adjusted Net income may be used by investors, analysts, and other interested parties to facilitate period-over-period comparisons and provides additional clarity as to how factors and trends impact our operating performance. We use Adjusted Diluted Earnings per Share, which is calculated by adjusting the most directly comparable GAAP financial measure, Diluted Earnings per Share, by excluding the same items excluded in our calculation of Adjusted EBITDA to the extent that each such item was included in the applicable GAAP financial measure. We believe the presentation of Adjusted Diluted Earnings per Share is useful to investors because the measurement excludes amounts that we do not consider part of our core operating results when assessing our performance. We also believe that the presentation of Adjusted EBITDA, Adjusted EBITDA margin and Adjusted Diluted Earnings per Share is useful to investors because these metrics may be used by securities analysts, investors and other interested parties in their evaluation of the operating performance of companies in our industry. Management uses these non-GAAP financial measures (a) to evaluate our historical and prospective financial performance as well as our performance relative to our competitors as they assist in highlighting trends, (b) to set internal sales targets and spending budgets, (c) to measure operational profitability and the accuracy of forecasting, (d) to assess financial discipline over operational expenditures, and (e) as an important factor in determining variable compensation for management and employees. EBITDA and Adjusted EBITDA are also used in connection with certain covenants and restricted activities under the agreements governing our indebtedness. We also believe these and similar non-GAAP financial measures are frequently used by securities analysts, investors, and other interested parties to evaluate companies in our industry. We caution readers that our definitions of Adjusted Gross profit, Adjusted Operating expenses, EBITDA, Adjusted EBITDA, Adjusted EBITDA margin, Net Debt, Adjusted Net income and Adjusted Diluted EPS may not be calculated in the same manner as similar measures used by other companies. Definitions and reconciliations of the non-GAAP financial measures to their most comparable GAAP financial measures are included in the schedules attached to this press release. US FOODS HOLDING CORP. Consolidated Statements of Operations (Unaudited) For the 13 weeks ended For the 26 weeks ended ($ in millions, except share and per share data) June 28, 2025 June 29, 2024 June 28, 2025 June 29, 2024 Net sales $ 10,082 $ 9,709 $ 19,433 $ 18,658 Cost of goods sold 8,305 8,003 16,042 15,457 Gross profit 1,777 1,706 3,391 3,201 Distribution, selling and administrative costs 1,403 1,354 2,788 2,671 Restructuring activity and asset impairment charges 2 (1 ) 7 12 Total operating expenses 1,405 1,353 2,795 2,683 Operating income 372 353 596 518 Other (income) expense—net (2 ) 3 (3 ) 2 Interest expense—net 74 81 151 160 Income before income taxes 300 269 448 356 Income tax provision 76 71 109 76 Net income $ 224 $ 198 $ 339 $ 280 Net income per share Basic $ 0.97 $ 0.81 $ 1.47 $ 1.14 Diluted $ 0.96 $ 0.80 $ 1.45 $ 1.13 Weighted-average common shares outstanding Basic 230,302,132 245,729,372 230,402,236 245,396,094 Expand US FOODS HOLDING CORP. Consolidated Statements of Cash Flows (Unaudited) For the 26 weeks ended ($ in millions) June 28, 2025 June 29, 2024 Cash flows from operating activities: Net income $ 339 $ 280 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 227 213 Deferred tax provision (benefit) 15 (11 ) Share-based compensation expense 45 30 Provision for doubtful accounts 17 15 Other non-cash activities 1 4 Changes in operating assets and liabilities: Increase in receivables (230 ) (181 ) Decrease in inventories 65 19 (Increase) decrease in prepaid expenses and other assets (18 ) 13 Increase in accounts payable and cash overdraft liability 268 277 Decrease in accrued expenses and other liabilities (4 ) (38 ) Net cash provided by operating activities 725 621 Cash flows from investing activities: Proceeds from sales of property and equipment 5 2 Proceeds from divestitures 38 — Purchases of property and equipment (161 ) (156 ) Cash paid for acquisitions (87 ) (214 ) Net cash used in investing activities (205 ) (368 ) Cash flows from financing activities: Principal payments on debt and financing leases (4,303 ) (1,568 ) Principal payments on debt repricing — (14 ) Proceeds from debt repricing — 14 Proceeds from debt borrowings 4,069 1,503 Repurchase of common stock (270 ) (54 ) Debt financing costs and fees — (1 ) Proceeds from employee stock purchase plan 16 14 Proceeds from exercise of stock options 5 9 Purchase of interest rate caps (1 ) — Tax withholding payments for net share-settled equity awards (34 ) (20 ) Net cash used in financing activities (518 ) (117 ) Net increase in cash, cash equivalents and restricted cash 2 136 Cash, cash equivalents and restricted cash—beginning of period 59 269 Cash, cash equivalents and restricted cash—end of period $ 61 $ 405 Supplemental disclosures of cash flow information: Interest paid—net of amounts capitalized $ 149 $ 147 Income taxes paid—net 80 57 Property and equipment purchases included in accounts payable 45 29 Leased assets obtained in exchange for financing lease liabilities 135 94 Leased assets obtained in exchange for operating lease liabilities 68 19 Expand US FOODS HOLDING CORP. Non-GAAP Reconciliation (Unaudited) For the 13 weeks ended ($ in millions, except share and per share data) June 28, 2025 June 29, 2024 Change % Net income and Net income margin (GAAP) $ 224 2.2 % $ 198 2.0 % $ 26 13.1 % Interest expense—net 74 81 (7 ) (8.6 )% Income tax provision 76 71 5 7.0 % Depreciation expense 102 96 6 6.3 % Amortization expense 13 12 1 8.3 % EBITDA and EBITDA margin (Non-GAAP) 489 4.9 % 458 4.7 % 31 6.8 % Adjustments: Restructuring activity and asset impairment charges (1) 2 (1 ) 3 (300.0 )% Share-based compensation expense (2) 23 15 8 53.3 % LIFO reserve adjustment (3) 14 — 14 NM Business transformation costs (4) 13 9 4 44.4 % Business acquisition, integration related costs, divestitures and other (5) 7 8 (1 ) (12.5 )% Adjusted EBITDA and Adjusted EBITDA margin (Non-GAAP) 548 5.4 % 489 5.0 % 59 12.1 % Depreciation expense (102 ) (96 ) (6 ) 6.3 % Interest expense—net (74 ) (81 ) 7 (8.6 )% Income tax provision, as adjusted (6) (95 ) (81 ) (14 ) 17.3 % Adjusted Net income (Non-GAAP) $ 277 $ 231 $ 46 19.9 % Diluted EPS (GAAP) $ 0.96 $ 0.80 $ 0.16 20.0 % Restructuring activity and asset impairment charges (1) 0.01 — 0.01 NM Share-based compensation expense (2) 0.10 0.06 0.04 66.7 % LIFO reserve adjustment (3) 0.06 — 0.06 NM Business transformation costs (4) 0.06 0.04 0.02 50.0 % Business acquisition, integration related costs, divestitures and other (5) 0.03 0.03 — — % Income tax provision, as adjusted (6) (0.03 ) — (0.03 ) NM Adjusted Diluted EPS (Non-GAAP) (7) $ 1.19 $ 0.93 $ 0.26 28.0 % Weighted-average diluted shares outstanding 232,971,905 248,312,117 Gross profit (GAAP) $ 1,777 $ 1,706 $ 71 4.2 % LIFO reserve adjustment (3) 14 — 14 NM Adjusted Gross profit (Non-GAAP) $ 1,791 $ 1,706 $ 85 5.0 % Operating expenses (GAAP) $ 1,405 $ 1,353 $ 52 3.8 % Depreciation expense (102 ) (96 ) (6 ) 6.3 % Amortization expense (13 ) (12 ) (1 ) 8.3 % Restructuring activity and asset impairment charges (1) (2 ) 1 (3 ) (300.0 )% Share-based compensation expense (2) (23 ) (15 ) (8 ) 53.3 % Business transformation costs (4) (13 ) (9 ) (4 ) 44.4 % Business acquisition, integration related costs, divestitures and other (5) (7 ) (8 ) 1 (12.5 )% Adjusted Operating expenses (Non-GAAP) $ 1,245 $ 1,214 $ 31 2.6 % Expand NM - Not Meaningful (1) Consists primarily of severance and related costs, organizational realignment costs and other impairment charges. (2) Share-based compensation expense for expected vesting of stock awards and employee stock purchase plan. (3) Represents the impact of LIFO reserve adjustments. (4) Transformational costs represent non-recurring expenses prior to formal launch of strategic projects with anticipated long-term benefits to the Company. These costs generally relate to third party consulting and non-capitalizable technology. For the 13 weeks ended June 28, 2025 and June 29, 2024, respectively, business transformation costs related to projects associated with information technology infrastructure initiatives and related workforce efficiencies. (5) Includes: (i) aggregate acquisition, integration related costs and divestiture costs of $7 million and $8 million for the 13 weeks ended June 28, 2025 and June 29, 2024, respectively, and (ii) other gains, losses or costs that we are permitted to addback for purposes of calculating Adjusted EBITDA under certain agreements governing our indebtedness. (6) Represents our income tax provision adjusted for the tax effect of pre-tax items excluded from Adjusted Net income and the removal of applicable discrete tax items. Applicable discrete tax items include changes in tax laws or rates, changes related to prior year unrecognized tax benefits, discrete changes in valuation allowances, and excess tax benefits associated with share-based compensation. The tax effect of pre-tax items excluded from Adjusted Net income is computed using a statutory tax rate after taking into account the impact of permanent differences and valuation allowances. Expand US FOODS HOLDING CORP. Non-GAAP Reconciliation (Unaudited) For the 26 weeks ended ($ in millions, except share and per share data) June 28, 2025 June 29, 2024 Change % Net income and Net income margin (GAAP) $ 339 1.7 % $ 280 1.5 % $ 59 21.1 % Interest expense—net 151 160 (9 ) (5.6 )% Income tax provision 109 76 33 43.4 % Depreciation expense 200 189 11 5.8 % Amortization expense 27 24 3 12.5 % EBITDA and EBITDA margin (Non-GAAP) 826 4.3 % 729 3.9 % 97 13.3 % Adjustments: Restructuring activity and asset impairment charges (1) 7 12 (5 ) (41.7 )% Share-based compensation expense (2) 45 30 15 50.0 % LIFO reserve adjustment (3) 19 45 (26 ) (57.8 )% Business transformation costs (4) 20 18 2 11.1 % Business acquisition, integration related costs, divestitures and other (5) 20 11 9 81.8 % Adjusted EBITDA and Adjusted EBITDA margin (Non-GAAP) 937 4.8 % 845 4.5 % 92 10.9 % Depreciation expense (200 ) (189 ) (11 ) 5.8 % Interest expense—net (151 ) (160 ) 9 (5.6 )% Income tax provision, as adjusted (6) (150 ) (131 ) (19 ) 14.5 % Adjusted Net income (Non-GAAP) $ 436 $ 365 $ 71 19.5 % Diluted EPS (GAAP) $ 1.45 $ 1.13 $ 0.32 28.3 % Restructuring activity and asset impairment charges (1) 0.03 0.05 (0.02 ) (40.0 )% Share-based compensation expense (2) 0.19 0.12 0.07 58.3 % LIFO reserve adjustment (3) 0.08 0.18 (0.10 ) (55.6 )% Business transformation costs (4) 0.09 0.07 0.02 28.6 % Business acquisition, integration related costs, divestitures and other (5) 0.09 0.04 0.05 125.0 % Income tax provision, as adjusted (6) (0.06 ) (0.12 ) 0.06 (50.0 )% Adjusted Diluted EPS (Non-GAAP) (7) $ 1.87 $ 1.47 $ 0.40 27.2 % Weighted-average diluted shares outstanding 233,576,687 248,393,517 Gross profit (GAAP) $ 3,391 $ 3,201 $ 190 5.9 % LIFO reserve adjustment (3) 19 45 (26 ) (57.8 )% Adjusted Gross profit (Non-GAAP) $ 3,410 $ 3,246 $ 164 5.1 % Operating expenses (GAAP) $ 2,795 $ 2,683 $ 112 4.2 % Depreciation expense (200 ) (189 ) (11 ) 5.8 % Amortization expense (27 ) (24 ) (3 ) 12.5 % Restructuring activity and asset impairment charges (1) (7 ) (12 ) 5 (41.7 )% Share-based compensation expense (2) (45 ) (30 ) (15 ) 50.0 % Business transformation costs (4) (20 ) (18 ) (2 ) 11.1 % Business acquisition, integration related costs, divestitures and other (5) (20 ) (11 ) (9 ) 81.8 % Adjusted Operating expenses (Non-GAAP) $ 2,476 $ 2,399 $ 77 3.2 % Expand NM - Not Meaningful (1) Consists primarily of severance and related costs, organizational realignment costs and other asset impairment charges. (2) Share-based compensation expense for expected vesting of stock awards and employee stock purchase plan. (3) Represents the impact of LIFO reserve adjustments. (4) Transformational costs represent non-recurring expenses prior to formal launch of strategic projects with anticipated long-term benefits to the Company. These costs generally relate to third party consulting and non-capitalizable technology. For the 26 weeks ended June 28, 2025 and June 29, 2024, respectively, business transformation costs related to projects associated with information technology infrastructure initiatives and related workforce efficiencies. (5) Includes: (i) aggregate acquisition, integration related costs and divestiture costs of $20 million and $10 million for the 26 weeks ended June 28, 2025 and June 29, 2024, respectively (ii) other gains, losses or costs that we are permitted to addback for purposes of calculating Adjusted EBITDA under certain agreements governing our indebtedness. (6) Represents our income tax provision adjusted for the tax effect of pre-tax items excluded from Adjusted Net income and the removal of applicable discrete tax items. Applicable discrete tax items include changes in tax laws or rates, changes related to prior year unrecognized tax benefits, discrete changes in valuation allowances, and excess tax benefits associated with share-based compensation. The tax effect of pre-tax items excluded from Adjusted Net income is computed using a statutory tax rate after taking into account the impact of permanent differences and valuation allowances. (7) Adjusted Diluted EPS is calculated as Adjusted Net income divided by weighted average diluted shares outstanding. Expand US FOODS HOLDING CORP. Non-GAAP Reconciliation Net Debt and Net Leverage Ratios ($ in millions, except ratios) June 28, 2025 December 28, 2024 June 29, 2024 Total Debt (GAAP) $ 4,831 $ 4,928 $ 4,707 Cash, cash equivalents and restricted cash (61 ) (59 ) (405 ) Net Debt (Non-GAAP) $ 4,770 $ 4,869 $ 4,302 Adjusted EBITDA (1) $ 1,833 $ 1,741 $ 1,635 Net Leverage Ratio (2) 2.6 2.8 2.6 Expand (1) Trailing Twelve Months (TTM) Adjusted EBITDA (2) Net Debt/TTM Adjusted EBITDA Expand
Yahoo
15-07-2025
- Business
- Yahoo
US Foods Holding Corp. (USFD): Jim Cramer Discusses Performance Foods Deal
We recently published . US Foods Holding Corp. (NYSE:USFD) is one of the stocks Jim Cramer recently discussed. US Foods Holding Corp. (NYSE:USFD) is one of the largest food distribution companies in America. It is one of the few companies in its group whose shares have gained year-to-date. US Foods Holding Corp. (NYSE:USFD)'s stock is up by 19.5% so far as the firm has benefited from strong earnings performance and optimistic analyst sentiment. US Foods Holding Corp. (NYSE:USFD)'s shares also gained in July after a Bloomberg report claimed that the firm was going to acquire Performance Foods. The combined entity could have $100 billion in revenue, and here's what Cramer said: '15 billion dollar company. 15 billion. . .This could be US Foods. This could be US Foods. The same company.' A loading dock filled with dry goods and frozen food being loaded onto a truck. Artisan Partners mentioned US Foods Holding Corp. (NYSE:USFD) in its Q1 2025 investor letter. Here is what they said: 'Notable adds in the quarter included CCC Intelligent Solutions and US Foods Holding Corp. (NYSE:USFD). US Foods stands as the second-largest food distribution company in the US, catering to independent restaurants, national chains, health care providers and hospitality venues. Historically fragmented, the food distribution industry has consolidated into three dominant players, driven by strategic M&A, procurement efficiencies, private label expansion and technological advancements. US Foods leads the industry with best-in-class asset and inventory turnover metrics, reflecting exceptional productivity. We believe the company is well positioned to achieve continued margin growth through several self improvement initiatives, including a new warehousing operating and management system, advanced routing, flexible scheduling, small truck service expansion, warehouse automation and enhanced vendor rebate programs. By following through on these operational enhancements, we believe US Foods is poised to strengthen its competitive edge, drive higher profitability and reinforce its standing as an industry leader. During Q1, the company reported thesis affirming earnings results, including 14% earnings growth, and we added to the position.' While we acknowledge the potential of USFD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
11-07-2025
- Business
- Bloomberg
US Foods Shows Interest In a Performance Food Takeover
Performance Food Group Co. has attracted takeover interest from US Foods Holding Corp., a potential deal that would create a food distribution company with combined sales of roughly $100 billion, people familiar with the matter said. Rosemont, Illinois-based US Foods has been evaluating an acquisition of Performance Food and expressed interest about a potential combination in recent months, according to the people, who asked not to be identified because the information is private. Bloomberg's Crystal Tse reports. (Source: Bloomberg)
