Company Overview - The Chefs' Warehouse, Inc. is a premier distributor of specialty food products in the United States, the Middle East, and Canada [3] - The company serves chefs operating leading independent restaurants, fine dining establishments, country clubs, hotels, caterers, culinary schools, bakeries, patisseries, chocolateries, cruise lines, casinos, and specialty food stores [3] - It carries and distributes over 88,000 products to more than 50,000 customer locations [3] Upcoming Event - The company will participate in a fireside chat at the BMO Global Farm to Market Conference in New York on May 14, 2025, starting at 11:00 a.m. ET [1] - Investors and interested parties can listen to a webcast of the fireside chat on the company's investor relations website [2]

Financial Performance - Net sales for the thirteen weeks ended March 28, 2025, were $950,748, an increase of $76,260 or 8.7% compared to $874,488 for the same period in 2024[64] - Gross profit increased to $225,995, reflecting a $16,559 increase or 7.9% from $209,436 in the prior year, with a gross profit margin of 23.8%[66] - Net income for the period was $10,288, a significant increase from $1,931 in the prior year, driven by improved operational performance[64] Expenses - Selling, general and administrative expenses rose to $202,763, an increase of $12,442 or 6.5%, representing 21.3% of net sales, down from 21.8%[67] - Interest expense decreased by $2,991 or 22.6%, totaling $10,253, due to lower debt levels and interest rates[69] Taxation - The effective tax rate improved to 17.6% from 30.0% in the prior year, reflecting a discrete tax benefit related to stock awards[70] Cash Flow and Capital Expenditures - Cash provided by operating activities was $49,566, an increase of $18,666 from $30,900 in the prior year, attributed to sales growth and improved working capital management[76] - Capital expenditures for fiscal 2025 are expected to be approximately $40,000 to $50,000[75] Share Repurchase and Indebtedness - The company has a remaining share repurchase authorization of $82.6 million as of March 28, 2025, with no repurchases made during the current quarter[74] - As of March 28, 2025, total indebtedness was $359.3 million, with a significant portion bearing variable interest rates, indicating exposure to interest rate risk[80] Compliance and Governance - The company filed Amendment No. 7 to the ABL Facility on March 12, 2025[92] - Certifications of the Chief Executive Officer and Chief Financial Officer were completed pursuant to the Sarbanes-Oxley Act of 2002[92] - The report was signed on behalf of the registrant on April 30, 2025[94] - James Leddy serves as the Chief Financial Officer and Timothy McCauley as the Chief Accounting Officer[96]

"First quarter 2025 business activity displayed typical seasonal cadence as revenue trends coming out of January increased steadily into February and March. During the quarter, our business units, international and domestic, delivered strong growth in unique item placements and solid operating leverage versus the prior year first quarter", said Christopher Pappas, Chairman and Chief Executive of the Company. "As we entered the second quarter, revenue builds during the first few weeks of April continued to d ...

Core Viewpoint - Chefs' Warehouse (CHEF) reported quarterly earnings of $0.25 per share, exceeding the Zacks Consensus Estimate of $0.21 per share, and showing an increase from $0.15 per share a year ago, indicating a strong performance in the specialty food distribution sector [1][2]. Financial Performance - The company achieved revenues of $950.75 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 2.36% and reflecting a year-over-year increase from $874.49 million [2]. - Chefs' Warehouse has consistently outperformed consensus EPS estimates over the last four quarters, achieving this four times [2]. Stock Performance - Chefs' Warehouse shares have increased approximately 8% since the beginning of the year, contrasting with a decline of 5.5% in the S&P 500 [3]. - The stock's immediate price movement will largely depend on management's commentary during the earnings call and future earnings expectations [3]. Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.45, with projected revenues of $1.01 billion, and for the current fiscal year, the estimate is $1.70 on revenues of $4.02 billion [7]. - The estimate revisions trend for Chefs' Warehouse is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expectations of underperformance in the near future [6]. Industry Context - The Food - Miscellaneous industry, to which Chefs' Warehouse belongs, is currently ranked in the bottom 43% of over 250 Zacks industries, suggesting potential challenges ahead [8]. - The performance of Chefs' Warehouse may also be influenced by the overall outlook for the industry, as top-ranked industries tend to outperform lower-ranked ones significantly [8].

Financial Data and Key Metrics Changes - Net sales increased by approximately 8.7% to $950.7 million from $874.5 million in Q1 2024 [10] - Gross profit increased by 7.9% to $226 million, with gross profit margins decreasing by approximately 18 basis points to 23.8% [12] - GAAP net income was $10.3 million or $0.25 per diluted share, compared to $1.9 million or $0.05 per diluted share in Q1 2024 [13] - Adjusted EBITDA for Q1 2025 was $47.5 million compared to $40.2 million in the prior year [13] Business Line Data and Key Metrics Changes - Specialty sales grew by 10.7%, driven by unique customer growth of approximately 4.5% and placement growth of 7.7% [6] - Gross margins in the specialty category increased by approximately six basis points, while gross margins in the center of the plate category decreased by approximately 83 basis points year over year [7] Market Data and Key Metrics Changes - Net inflation was reported at 5.2%, with 4.8% inflation in the specialty category and 5.9% in the center of the plate category [10] - Average revenue per case in Hardee's increased approximately 12% versus Q1 2024, influenced by the mix of lower volume, higher revenue cases [11] Company Strategy and Development Direction - The company is focusing on digital platform investments to improve profitability and enhance customer-facing functionality [9] - The management emphasized a disciplined approach to capital expenditures and is exploring technology to build smaller, more efficient facilities [32][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand environment, noting that April trends were as expected and that the restaurant business remains strong [21] - The company remains cautiously optimistic about future performance despite some concerns regarding tourism and economic conditions [82] Other Important Information - Total liquidity at the end of Q1 was $278.9 million, comprising $116.5 million in cash and $162.4 million available under the ABL facility [14] - Full-year guidance for 2025 estimates net sales between $3.96 billion and $4.04 billion, with adjusted EBITDA between $234 million and $246 million [15][16] Q&A Session Summary Question: Inquiry about tariffs and input costs - Management indicated that tariffs are a small percentage of overall business and that they have diversified their supply chain to mitigate risks [18][20] Question: Impact of international travel on sales - Management noted that while tourism is significant, they do not foresee a material headwind due to a strong local customer base [28] Question: Slowdown in new restaurant formation - Management reported no significant slowdown in new restaurant openings, particularly in areas with population growth [40] Question: Update on Chef Middle East performance - The business is performing well, with continued growth and a new facility opened in December [43] Question: Impact of non-core customer attrition on margins - Management explained that the attrition of low-margin customers has impacted reported volume growth but is expected to lead to a more profitable business in the long run [62][92]

Financial Data and Key Metrics Changes - Net sales increased by approximately 8.7% to $950.7 million from $874.5 million in Q1 2024 [12] - Gross profit increased by 7.9% to $226 million, with gross profit margins decreasing by approximately 18 basis points to 23.8% [14] - GAAP net income was $10.3 million or $0.25 per diluted share, compared to $1.9 million or $0.05 per diluted share in Q1 2024 [15] - Adjusted EBITDA was $47.5 million for Q1 2025, compared to $40.2 million for the prior year [15] Business Line Data and Key Metrics Changes - Specialty sales grew by 10.7%, driven by unique customer growth of approximately 4.5% and placement growth of 7.7% [8] - Gross margins in the specialty category increased by approximately six basis points, while gross margins in the center of the plate category decreased by approximately 83 basis points year over year [9] Market Data and Key Metrics Changes - Net inflation was 5.2%, with 4.8% inflation in the specialty category and 5.9% in the center of the plate category [12] - Average revenue per case in Hardee's increased approximately 12% versus Q1 2024 [13] Company Strategy and Development Direction - The company is focusing on digital platform investments to improve profitability and customer engagement, with 58% of customers ordering online [11] - The company is diversifying its supply chain to mitigate tariff impacts and has alternative sources for many products [22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand environment, noting that April trends were as expected and that the company is well-positioned for economic fluctuations [24][25] - The company remains cautiously optimistic about future growth, despite some concerns regarding tourism and economic conditions [80] Other Important Information - Total liquidity at the end of Q1 was $278.9 million, with net debt approximately $535.2 million [16] - Full year 2025 guidance estimates net sales between $3.96 billion and $4.04 billion [17] Q&A Session Summary Question: Inquiry about tariffs and input costs - Management indicated that tariffs are a small percentage of overall business and that they have diversified their supply chain to mitigate risks [20][22] Question: Impact of international travel on sales - Management noted that while tourism is significant, most business is conducted in suburban areas, which are less affected by tourism fluctuations [30][32] Question: Slowdown in new restaurant formation - Management reported no significant slowdown in new restaurant openings, particularly in growing areas [41] Question: Update on Chef Middle East performance - The business is performing well, with growth continuing and a new facility opened [45] Question: Impact of non-core customer exits on margins - Management explained that attrition from low-margin customers was anticipated and factored into guidance, with a focus on improving profitability [87][90]

Financial Performance - Sales increased by 8.7% in Q1 2025 compared to Q1 2024[6] - Specialty sales grew by 10.7% in Q1 2025 compared to Q1 2024[6] - Adjusted EBITDA increased by 18.2% in Q1 2025 compared to Q1 2024[16] - The company repurchased $17.4 million of common stock in 2024[18] - Q1 2025 Free Cash Flow was $37 million, with a FY estimate remaining at $60-100 million[20] Operational Efficiency - Gross Profit per Route increased by 33.5% in LTM Q1 2025 compared to 2019[10] - Adjusted EBITDA per headcount increased by 19% in LTM Q1 2025 compared to 2019[10] - Adjusted Operating Expenses as a percentage of Gross Profit improved by 127 bps in LTM Q1 2025 compared to 2019[10] Digital Transformation - Approximately 58% of specialty location customers are ordering via the digital platform[15] - Unique customers ordering online (specialty) reached 58% in LTM Q1 2025[13] Capital Allocation - The company repaid $20 million on its ABL line in Q1 2025[18] - Net Debt Leverage was 2.4x in Q1 2025[18]

RIDGEFIELD, Conn., April 30, 2025 (GLOBE NEWSWIRE) -- The Chefs’ Warehouse, Inc. (NASDAQ: CHEF) (the “Company” or “Chefs’”), a premier distributor of specialty food products in the United States, the Middle East, and Canada, today reported financial results for its first quarter ended March 28, 2025. Financial highlights for the first quarter of 2025: Net sales increased 8.7% to $950.7 million for the first quarter of 2025 from $874.5 million for the first quarter of 2024.GAAP net income was $10.3 million, ...

The Chefs' Warehouse, Inc. (http://www.chefswarehouse.com) is a premier distributor of specialty food products in the United States, the Middle East and Canada focused on serving the specific needs of chefs who own and/or operate some of the nation's leading menu-driven independent restaurants, fine dining establishments, country clubs, hotels, caterers, culinary schools, bakeries, patisseries, chocolateries, cruise lines, casinos and specialty food stores. The Chefs' Warehouse, Inc. carries and distributes ...

RIDGEFIELD, Conn., March 06, 2025 (GLOBE NEWSWIRE) -- The Chefs’ Warehouse, Inc. (NASDAQ: CHEF) (the “Company” or “Chefs’”), a premier distributor of specialty food products in the United States, the Middle East, and Canada, today announced it will host an Investor Day in New York on Thursday, March 13, 2025. The event will feature a presentation and a question and answer session with Chefs’ executive management team. The event will begin at 10:00 a.m. ET and is expected to conclude by 11:30 a.m. ET. The ev ...