Performance Food Group (PFGC) Reports Strong Fiscal 2026 Results

By Ahmed Jamerson • Wednesday, August 12 13:02 • Permanent Link

Performance Food Group ended fiscal 2026 with higher sales, stronger case volume, and improved cash generation, while fourth-quarter profit and EBITDA also moved up sharply from a year earlier.

In the fourth quarter, total case volume rose 3.5%, led by an 8.0% increase in total independent foodservice case volume and a 5.8% increase in organic independent foodservice case volume. Net sales climbed 6.4% to $18.0 billion. Gross profit increased 8.3% to $2.2 billion, outpacing a 6.4% rise in operating expenses to $1.8 billion. Net income advanced 23.4% to $162.3 million, while diluted EPS increased 22.6% to $1.03. Adjusted EBITDA rose 7.4% to $587.5 million, and adjusted diluted EPS increased 2.6% to $1.59.

For the full fiscal year, total case volume increased 5.1%, with total independent foodservice case volume up 10.2% and organic independent foodservice case volume up 5.9%. Net sales increased 7.2% to $67.8 billion. Gross profit rose 9.1% to $8.1 billion. Operating expenses increased 9.1% to $7.2 billion. Net income grew 5.6% to $359.3 million, diluted EPS rose 5.0% to $2.29, and adjusted diluted EPS increased 1.6% to $4.55. Adjusted EBITDA climbed 9.2% to $1,929.4 million.

Cash generation improved materially. Operating cash flow rose to $1,413.7 million from $1,210.1 million a year earlier, while capital expenditures fell to $384.1 million from $506.0 million. Free cash flow increased to $1,029.6 million from $704.1 million.

By segment in the fourth quarter, foodservice net sales rose 6.8% to $9.8 billion and adjusted EBITDA increased 2.2% to $395.5 million. Convenience net sales grew 5.7% to $6.8 billion and adjusted EBITDA rose 10.4% to $132.5 million. Specialty net sales increased 6.6% to $1.3 billion, while adjusted EBITDA edged down 0.5% to $92.7 million.

For fiscal 2027, the company projected net sales of $72.5 billion to $73.0 billion and adjusted EBITDA of $2.125 billion to $2.225 billion. Following these announcements, the company's shares moved -6.7%, and are now trading at a price of $106.32. For more information, read the company's full 8-K submission here.

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