Chefs' Warehouse (CHEF) Surpasses Q1 Earnings and Revenue Estimates

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].