Financial Performance - Net earnings for the 13-week period ended December 28, 2024, were $406 million, compared to $415 million for the same period in 2023, reflecting a decrease of approximately 2.2%[58] - Basic earnings per share for the 13-week period ended December 28, 2024, were $0.83, slightly up from $0.82 in the prior year[58] - Comprehensive income for the second quarter of fiscal 2025 was $176 million, down from $552 million in fiscal 2024, indicating a decline of approximately 68%[59] - The total comprehensive income for the first 26 weeks of fiscal 2025 was $839 million, compared to $982 million for the same period in 2024, representing a decrease of about 14.5%[59] - Total operating income for Sysco was $712 million for the 13-week period ended Dec. 28, 2024, compared to $700 million for the same period in 2023, reflecting a growth of 1.7%[85] - Earnings before income taxes were $533 million for the 13-week period ended Dec. 28, 2024, compared to $545 million in the same period in 2023, indicating a decrease of 2.2%[85] Sales Performance - U.S. Foodservice Operations sales increased to $14,044 million for the 13-week period ended Dec. 28, 2024, compared to $13,494 million for the same period in 2023, representing a growth of 4.1%[85] - Total sales for Sysco reached $20,151 million for the 13-week period ended Dec. 28, 2024, up from $19,288 million in the prior year, marking an increase of 4.5%[85] - International Foodservice Operations reported sales of $3,728 million for the 13-week period ended Dec. 28, 2024, an increase from $3,597 million in the prior year, representing a growth of 3.6%[85] - SYGMA's sales increased to $2,116 million for the 13-week period ended Dec. 28, 2024, compared to $1,914 million in the same period last year, showing a growth of 10.6%[85] Shareholder Information - The weighted-average diluted shares outstanding for the 13-week period ended December 28, 2024, were 492,803,849, compared to 505,929,342 in the prior year[58] - Approximately 3,161,000 securities were excluded from the diluted earnings per share calculation for the second quarter of fiscal 2025 due to anti-dilutive effects[58] - In the first 26 weeks of fiscal 2025, the total share-based compensation cost recognized was $60 million, up from $53 million in the same period of fiscal 2024[75] - Sysco granted 466,716 performance share units (PSUs) in the first 26 weeks of fiscal 2025, with a weighted average grant-date fair value of $82.63[72] - The company expects to recognize $152 million of unrecognized compensation cost related to share-based compensation arrangements over a weighted-average period of 1.93 years[75] Other Comprehensive Income - Other comprehensive income (loss) for the 13-week period ended December 28, 2024, included a foreign currency translation adjustment of $(257) million[60] - The company reported a total other comprehensive income (loss) of $(222) million for the 13-week period ended December 28, 2024[60] - The total other comprehensive income for the 26-week period ended December 30, 2023, was $65 million, reflecting a significant improvement compared to the previous year[65] - The company experienced a foreign currency translation adjustment of $55 million for the 26-week period ended December 30, 2023[65] - As of December 28, 2024, the total accumulated other comprehensive loss was $1,396 million, an increase from $1,166 million as of September 28, 2024[67] Tax and Legal Matters - The effective tax rate for the first 26 weeks of fiscal 2025 was 23.8%, higher than the statutory tax rate of 21.0% due to state income taxes[76] - As of December 28, 2024, the gross amount of unrecognized tax benefits was $35 million, with related accrued interest of $13 million[78] - Sysco's legal proceedings are assessed as ranging from remote to reasonably possible, with management believing that the outcomes will not materially affect the company's financial position[82] Operating Expenses - Interest expense for Sysco was $160 million for the 13-week period ended Dec. 28, 2024, up from $150 million in the same period last year[85] - Sysco's Global Support Center incurred an operating loss of $240 million for the 13-week period ended Dec. 28, 2024, slightly improved from a loss of $247 million in the same period last year[85] Market Risks - There have been no significant changes to Sysco's market risks since June 29, 2024, which include interest rate risk, foreign currency exchange rate risk, fuel price risk, and investment risk[169]

Core Insights - Sysco Corporation reported strong second-quarter fiscal 2025 results, with both sales and earnings increasing year over year, surpassing the Zacks Consensus Estimate [1][4] Financial Performance - Adjusted earnings per share were 93 cents, in line with expectations, reflecting a 4.5% year-over-year increase [4] - Total sales reached $20,151 million, a 4.5% increase year over year, exceeding the consensus estimate of $20,102 million [4] - Gross profit rose 3.9% to $3.7 billion, although gross margin contracted by 11 basis points to 18.1% [5] - Operating income increased by 1.7% to $712 million, while adjusted operating income rose 5.1% to $783 million [6] Segment Performance - U.S. Foodservice Operations saw sales rise 4.1% to $14,044 million, with local case volumes down 0.9% [7] - International Foodservice Operations reported a 3.6% increase in sales to $3,728 million, with adjusted operating income growing 27.5% on a constant currency basis [8] - SYGMA's sales increased by 10.6% year over year, reaching $2,116 million [8] - The Other segment experienced a sales decline of 7.1% to $263 million [9] Future Outlook - Sysco reaffirmed its full-year guidance, expecting sales growth of 4-5% and adjusted EPS growth of 6-7% [3] - The company increased its share repurchase plan for the year to $1.25 billion from $1 billion [3] Financial Health - As of the end of the quarter, Sysco had cash and cash equivalents of $793 million and long-term debt of $11,393 million [11] - Cash flow from operations for the first 26 weeks of fiscal 2025 was $498 million, with free cash flow at $331 million [11] - Sysco returned $803 million to shareholders through share buybacks and dividends during the same period [12]

Core Insights - Sysco reported revenue of $20.15 billion for the quarter ended December 2024, reflecting a 4.5% increase year-over-year and a surprise of +0.24% over the Zacks Consensus Estimate of $20.1 billion [1] - The company's EPS for the quarter was $0.93, consistent with the consensus estimate, showing no EPS surprise [1] Financial Performance Metrics - International Foodservice Operations revenue was $3.73 billion, exceeding the average estimate of $3.64 billion, representing a +3.7% change year-over-year [4] - U.S. Foodservice Operations revenue reached $14.04 billion, slightly below the average estimate of $14.12 billion, with a year-over-year increase of +4.1% [4] - Other sales amounted to $263 million, falling short of the average estimate of $283.80 million, indicating a year-over-year decline of -7.2% [4] - SYGMA revenue was $2.12 billion, surpassing the average estimate of $2.03 billion, with a year-over-year growth of +10.6% [4] - SYGMA gross profit was reported at $163 million, exceeding the average estimate of $157.85 million [4] - Other gross profit was $65 million, below the average estimate of $73.22 million [4] - Operating income (GAAP) for SYGMA was $19 million, slightly below the average estimate of $19.48 million [4] - Operating income (GAAP) for Other was $4 million, significantly below the average estimate of $8.88 million [4] Stock Performance - Sysco shares returned +0.7% over the past month, compared to a +0.8% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]

Sysco (SYY) came out with quarterly earnings of $0.93 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.89 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this food distributor would post earnings of $1.13 per share when it actually produced earnings of $1.09, delivering a surprise of -3.54%.Over the last four quarters, the company has surpassed consensus EPS estimates two times.Sysco, which belongs to the Zacks ...

SYSCO REPORTS SECOND QUARTER FISCAL YEAR 2025 RESULTS HOUSTON, January 28, 2025 - Sysco Corporation (NYSE: SYY) ("Sysco" or the "company") today announced financial results for its 13-week second fiscal quarter ended December 28, 2024. Key financial results for the second quarter of fiscal year 2025 include the following (comparisons are to the same period in fiscal year 2024): "Sysco delivered another quarter of disciplined financial performance fueled by top and bottom line growth that was consistent with ...

HOUSTON, Jan. 28, 2025 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE: SYY) (“Sysco” or the “company”) today announced financial results for its 13-week second fiscal quarter ended December 28, 2024. Key financial results for the second quarter of fiscal year 2025 include the following (comparisons are to the same period in fiscal year 2024): Sales increased 4.5%; U.S. Foodservice volume increased 1.4%;Gross profit increased 3.9% to $3.7 billion;Operating income increased 1.7% to $712 million, and adjusted ope ...

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Sysco Corporation (SYY) is likely to register top-and bottom-line growth when it reports second-quarter fiscal 2025 earnings on Jan. 28. The Zacks Consensus Estimate for net sales is pegged at $20.1 billion, suggesting an increase of 4.2% from the prior-year quarter. The consensus mark for fiscal second-quarter earnings has remained unchanged in the past 30 days at 93 cents per share, indicating growth of 4.5% from the figure reported in the year-ago quarter. SYY has a negative trailing four-quarter earning ...

Core Viewpoint - Analysts expect Sysco (SYY) to report quarterly earnings of $0.93 per share, reflecting a year-over-year increase of 4.5%, with revenues projected at $20.11 billion, up 4.3% from the previous year [1] Group 1: Earnings and Revenue Estimates - The consensus EPS estimate has remained unchanged over the past 30 days, indicating analysts have not revised their projections [1] - Analysts predict 'Sales- Other' to be $283.80 million, a change of +0.2% year-over-year [4] - 'Sales- SYGMA' is expected to reach $2.03 billion, indicating a +5.8% change from the prior year [4] - 'Revenue- International Foodservice Operations' is forecasted at $3.64 billion, suggesting a +1.1% year-over-year change [4] - 'Revenue- U.S. Foodservice Operations' is projected to be $14.12 billion, reflecting a +4.7% increase from the previous year [5] Group 2: Profit Estimates - 'SYGMA- Gross Profit' is expected to be $157.85 million, up from $148.51 million year-over-year [5] - 'Gross Profit- Other' is projected at $73.22 million, compared to $73.01 million in the same quarter last year [5] - 'Operating income (GAAP)- SYGMA' is estimated at $19.48 million, an increase from $16.35 million year-over-year [6] - 'Operating income (GAAP)- Other' is expected to reach $8.88 million, compared to $8.39 million in the same quarter last year [6] Group 3: Gross Profit and Operating Income - The consensus for 'Gross Profit- U.S. Foodservice Operations' stands at $2.66 billion, compared to $2.58 billion in the previous year [7] - 'Gross Profit- International Foodservice Operations' is expected to be $731.87 million, up from $708.10 million year-over-year [7] - 'Operating income adjusted for Certain Items (Non-GAAP)- U.S. Foodservice Operations' is projected at $852.63 million, slightly up from $851.13 million year-over-year [8] - 'Operating income adjusted for certain items (Non-GAAP)- International Foodservice Operations' is estimated at $128.44 million, compared to $102.38 million in the same quarter last year [8] Group 4: Stock Performance - Sysco shares have shown a return of -5.3% over the past month, contrasting with the Zacks S&P 500 composite's +2.7% change [10] - Sysco holds a Zacks Rank 3 (Hold), indicating it is expected to perform in line with the overall market in the near future [10]

Wall Street expects a year-over-year increase in earnings on higher revenues when Sysco (SYY) reports results for the quarter ended December 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on January 28, 2025, might help the stock move higher if these key numbers are better than expecta ...