US Foods Holding Corp. (NYSE: USFD) has reported its financial results for the fourth quarter and full fiscal year 2025, showcasing significant growth and resilience in its business model.
For fiscal year 2025, the company saw a 4.1% increase in net sales, reaching $39.4 billion. Net income also surged by 36.8% to $676 million, while diluted earnings per share (EPS) grew by 45.5% to $2.94. Adjusted EBITDA for the year climbed by 11.0% to $1.93 billion, and adjusted diluted EPS saw a 26.3% increase, reaching $3.98.
In the fourth quarter of fiscal 2025, total case volume grew by 0.8%, with independent restaurant case volume increasing by 4.1%. Net sales for the quarter rose by 3.3% to $9.8 billion, and gross profit increased by 3.2% to $1.7 billion. Notably, net income surged by 178.8% to $184 million, while adjusted EBITDA rose by 11.1% to $490 million.
The company also highlighted its strong operational performance, with an increase in total case volume and higher distribution, selling, and administrative costs. Additionally, US Foods successfully repurchased $934 million of shares during fiscal year 2025, reflecting its commitment to driving shareholder value.
Looking ahead to fiscal year 2026, US Foods is forecasting net sales growth of 4% to 6%, adjusted EBITDA growth of 9% to 13%, and adjusted diluted EPS growth of 18% to 24%. The company's strategic focus on market share expansion and operational excellence, under the leadership of CEO Dave Flitman and CFO Dirk Locascio, is expected to drive sustained double-digit adjusted EPS growth beyond 2027.
US Foods' financial position also remains robust, with cash flow provided by operating activities for fiscal year 2025 reaching $1.37 billion, an increase of $195 million from the prior year. Moreover, the company's net debt at the end of fiscal year 2025 stood at $5.2 billion, with the ratio of net debt to adjusted EBITDA at 2.7x.
Furthermore, the recent acquisition of Shetakis, an independent food distributor in Las Vegas, Nevada, demonstrates US Foods' commitment to strategic expansion and strengthening its market presence.
The company's upcoming live webcast to discuss its financial results and future outlook will provide stakeholders with an opportunity to gain further insights into its performance and growth strategies.
Following these announcements, the company's shares moved 0.62%, and are now trading at a price of $85.71. For the full picture, make sure to review US Foods's 8-K report.
