Sysco Reports 3.3% Sales Growth in Fiscal Year 2024

By Tamara Parker • Wednesday, August 28 07:56 • Permanent Link

Sysco Corporation has recently released its 10-K report, providing a detailed look at the company's financial performance and operations for the fiscal year ended June 29, 2024. Sysco is a leading distributor of food and related products to the foodservice industry, operating in the United States, Canada, the United Kingdom, France, and internationally. The company serves a wide range of customers including restaurants, healthcare facilities, educational institutions, lodging establishments, and other foodservice venues.

In the fiscal year 2024, Sysco achieved sales growth that surpassed the previous year's levels by 3.3%. This growth was driven by both volume growth, partially from acquisitions, and inflation. The company also demonstrated positive operating leverage, with gross profit growing faster than operating expenses, and operating income growing faster than sales.

Here is a comparison of Sysco's fiscal 2024 results to fiscal 2023: Sales increased by 3.3% to $78.8 billion Operating income increased by 5.4% to $3.2 billion Net earnings increased by 10.5% to $2.0 billion Basic earnings per share increased by 11.7% to $3.90 Diluted earnings per share increased by 12.1% to $3.89 EBITDA increased by 12.7% to $4.0 billion

Sysco's management believes that adjusting its operating expenses, operating income, and other financial metrics to remove certain items provides an important perspective on the company's underlying business trends and results. The company also uses non-GAAP financial measures such as adjusted EBITDA and free cash flow to evaluate its financial results and for internal planning and forecasting purposes.

Key performance indicators for Sysco include adjusted operating income growth, adjusted diluted earnings per share growth, adjusted EBITDA, case volume growth for U.S. Foodservice and International Foodservice operations, Sysco brand penetration for U.S. Broadline operations, and free cash flow. These metrics are used to evaluate the company's business and plan for near and long-term operating and strategic decisions.

Today the company's shares have moved -1.0% to a price of $76.2. Check out the company's full 10-K submission here.

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