Performance Food Group Company (NYSE:PFGC) Q2 2026 Earnings call February 04, 2026 09:00 AM ET Company ParticipantsBen Wood - VP of Equity ResearchBill Marshall - SVP and Head of Investor RelationsEdward Kelly - Managing Director and Equity Research analystPatrick Hatcher - CFOScott McPherson - EVP and Chief Field Operations OfficerConference Call ParticipantsAlex Slagle - SVP and Equity Research AnalystBrian Harbour - Executive Director and Senior Equity Research AnalystDanilo Gargiulo - Senior AnalystJeff ...

Welcome back to Market on Close. I'm Sam Bartis on the floor of the New York Stock Exchange. So shares of Cisco, that's the food and beverage supplier having its best day in over 5 years after a strong earnings report and that is the focus of today's overlooked stock.So I'm joined by George Ser, senior markets correspondent. Talk us through what we heard from this company and you know obviously the reaction we're seeing today off the back of this report card. George.Yeah, I mean if you think about what's go ...

Financial Data and Key Metrics Changes - The company has maintained a strong profit growth trajectory, achieving a 10% EBITDA and 20% EPS compound annual growth rates despite industry-related top-line pressures [10][12][52] - The company is focused on controlling costs and driving productivity, which has allowed it to offset rising expenses while continuing to invest in the business [12][18] Business Line Data and Key Metrics Changes - The company has seen consistent market share gains in independent restaurants for 18 consecutive quarters, indicating strong performance in this segment [35] - The Pronto initiative is expected to significantly contribute to revenue growth, with projections raised to $1.5 billion over the midterm from $1 billion [39] Market Data and Key Metrics Changes - The consumer backdrop remains stable, with expectations for a stronger consumer environment in 2026 due to potential tax refunds and lower interest rates [5][6] - Independent restaurants have been outperforming chain restaurants, a trend that is expected to continue [9] Company Strategy and Development Direction - The company is focused on three core customer types: independent restaurants, healthcare, and hospitality, which are the fastest-growing and most profitable segments [16] - The company is actively pursuing tuck-in M&A opportunities to enhance local market scale and improve delivery efficiency [22][23] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about the future, citing strong momentum and a clear focus on profitable segments [51][52] - The company is confident in its ability to sustain improvements in EBITDA margins and overall earnings through process improvements and technology enablements [48] Other Important Information - The company is transitioning to a 100% commission compensation model, which is expected to align incentives and enhance sales effectiveness [24][30] - The company has not experienced increased turnover during the pilot phase of the new compensation model, indicating positive reception among the sales force [28][34] Q&A Session Summary Question: How is the company viewing the health of the consumer? - Management believes the consumer backdrop is stable, with hopes for improvement in 2026 due to lower interest rates and potential stimulus [5] Question: What is the company's strategy regarding M&A? - The company is focused on tuck-in acquisitions that align with its existing strategy, while remaining open to larger opportunities if they make sense [22] Question: How does the company plan to balance new account growth and penetration growth? - The company is actively working on both fronts, with a focus on minimizing lost business and generating new accounts [36] Question: What are the key initiatives driving margin improvements? - Strategic Vendor Management is highlighted as a significant initiative, along with other technology and process improvements [47]

Core Viewpoint - Colabor Group Inc. has entered into protection under the Companies' Creditors Arrangement Act (CCAA) to facilitate its restructuring efforts, with an initial order granted by the Superior Court of Quebec [1][2]. Group 1: CCAA Proceedings - The Superior Court of Quebec has issued an initial order granting Colabor and its subsidiaries protection under the CCAA, allowing for a stay of proceedings against the company and its subsidiaries, including a stay of creditor claims [1][2]. - Raymond Chabot Inc. has been appointed as the Monitor to assist Colabor with its restructuring and to report to the Court [2]. - The initial order includes approval for debtor-in-possession financing (DIP Financing) from The Toronto-Dominion Bank, The Bank of Montreal, and the Bank of Nova Scotia, which will support the sale and investment solicitation process and the company's operations during restructuring [2][3]. Group 2: Management and Operations - The Court has approved a Sale and Investment Solicitation Process (SISP) to allow interested parties to submit proposals for the best possible transaction for Colabor and its stakeholders [3]. - Management will continue to oversee day-to-day operations while under CCAA protection, with oversight from the Monitor [3]. - Mr. Marc-Antoine Daoust has been appointed as Chief Financial Officer, succeeding Mr. Yanick Blanchard, who will now serve as Chief Restructuring Officer [4]. Group 3: Company Overview - Colabor is a distributor and wholesaler of food and related products, serving the hotel, restaurant, and institutional markets in Quebec and the Atlantic provinces, as well as the retail market [7].

Core Viewpoint - Colabor Group Inc. has entered into protection under the Companies' Creditors Arrangement Act (CCAA) to facilitate its restructuring efforts and manage its financial obligations [1][2]. Group 1: CCAA Proceedings - The Superior Court of Quebec has issued an Initial Order granting Colabor and its subsidiaries protection under the CCAA, which includes a stay of proceedings against the Company and its subsidiaries [1][2]. - Raymond Chabot Inc. has been appointed as the Monitor to assist Colabor with its restructuring and report to the Court [2]. - The Initial Order allows for debtor-in-possession financing (DIP Financing) from The Toronto-Dominion Bank, The Bank of Montreal, and the Bank of Nova Scotia to support the Company's operations during the restructuring process [2]. Group 2: Sale and Investment Solicitation Process - The Court has approved a Sale and Investment Solicitation Process (SISP) to enable interested parties to submit proposals for the best possible transaction for Colabor and its stakeholders [3]. Group 3: Management Changes - Mr. Marc-Antoine Daoust has been appointed as Chief Financial Officer, succeeding Mr. Yanick Blanchard, who will now serve as Chief Restructuring Officer [4]. Group 4: Company Overview - Colabor is a distributor and wholesaler of food and related products, serving the hotel, restaurant, and institutional markets in Quebec and the Atlantic provinces, as well as the retail market [7].

Core Viewpoint - Groupe Colabor Inc. and its subsidiaries are seeking initial court protection under the Companies' Creditors Arrangement Act (CCAA) to restructure and facilitate a formal sale and investment solicitation process [1][2]. Group 1: Court Proceedings and Financial Restructuring - The company is requesting an initial order to approve a formal sale and investment solicitation process to allow interested parties to submit proposals for the best possible transaction [2]. - The request also aims to suspend creditor claims and certain contractual rights, and to approve temporary debtor-in-possession financing from major banks to support the restructuring process [2]. - Raymond Chabot Inc. is proposed to be appointed as the monitor to oversee the CCAA proceedings and report to the court, while the company's management will remain responsible for day-to-day operations under the monitor's supervision [2]. Group 2: Financial Obligations and Stock Trading - This announcement follows a previous disclosure on December 15, 2025, indicating that the company failed to meet its obligation to provide non-binding letters of intent for refinancing its credit facilities and raising a minimum of $15 million [3]. - Trading of the company's common shares on the Toronto Stock Exchange (TSX) has been halted, and the TSX is reviewing the potential delisting of its securities under an accelerated review process [4]. Group 3: Company Overview - Colabor is a distributor and wholesaler of food products serving the hospitality, restaurant, and institutional markets in Quebec and Atlantic provinces, offering a range of specialized food products including meats, fish, and seafood [5].

Core Viewpoint - Colabor Group Inc. and its subsidiaries are seeking creditor protection under the Companies' Creditors Arrangement Act (CCAA) due to financial difficulties and are initiating a formal sale and investment solicitation process (SISP) to explore potential transactions [1][2]. Group 1: CCAA Application and SISP - The company is applying for an initial order to protect itself from creditors and to facilitate a SISP, allowing interested parties to submit proposals for the best possible transaction [2]. - The application includes a request for a stay of proceedings against the company and its subsidiaries, as well as interim debtor-in-possession (DIP) financing from major banks to support operations during the restructuring [2]. Group 2: Financial Obligations and Trading Status - The announcement follows a previous disclosure that the company failed to meet its obligations to provide non-binding letters of intent for refinancing and raising at least $15 million in equity by December 15, 2025 [3]. - Trading of the company's common shares on the Toronto Stock Exchange (TSX) has been halted, and the company is under delisting review due to its financial situation [4]. Group 3: Company Overview - Colabor is a distributor and wholesaler of food products serving the hotel, restaurant, and institutional markets in Quebec and the Atlantic provinces, as well as the retail market [5].

Core Insights - The article emphasizes the importance of efficiency levels in assessing a company's potential for profit generation, with a high efficiency level correlating positively with price performance [1] Efficiency Ratios - The article identifies key efficiency ratios for stock selection, including Receivables Turnover, Asset Utilization, Inventory Turnover, and Operating Margin, which help gauge a company's ability to manage credit, assets, inventory, and operating expenses effectively [2][3][4][5] - A favorable Zacks Rank (1 Strong Buy) is also included as a criterion to enhance the profitability of the stock screening process [6] Stock Screening Results - The screening process narrowed down over 7,906 stocks to 16, highlighting five companies that excel in efficiency ratios compared to industry averages [7] - The top five stocks identified are: - **United Natural Foods (UNFI)**: A leading distributor with a 52.10% average four-quarter earnings surprise [8][9] - **Northrim BanCorp (NRIM)**: A full-service commercial bank with a 19% average four-quarter earnings surprise [10] - **Lightspeed POS (LSPD)**: A commerce platform provider with a 17.9% average four-quarter earnings surprise [11] - **Ulta Beauty (ULTA)**: A prominent beauty retailer with a 15.7% average four-quarter earnings surprise [12] - **Electromed (ELMD)**: A manufacturer of airway clearance therapy products with a 13.6% average four-quarter earnings surprise [13]

Core Viewpoint - The Chefs' Warehouse, Inc. will participate in a fireside chat at the ICR Conference on January 13, 2026, at 11:30 a.m. ET, highlighting its role as a premier distributor of specialty food products [1]. Company Overview - The Chefs' Warehouse, Inc. is a leading distributor of specialty food products in the United States, the Middle East, and Canada, catering to chefs and operators of independent restaurants, fine dining establishments, and various culinary businesses [3]. - The company distributes over 88,000 products to more than 50,000 customer locations across its operational regions [3]. Investor Engagement - Investors and interested parties can access a webcast of the fireside chat through the company's investor relations website [2]. Contact Information - For further inquiries, the company's CFO, Jim Leddy, can be contacted at (718) 684-8415 [4].

Core Viewpoint - Colabor Group Inc. is currently facing challenges in securing satisfactory refinancing options and is exploring strategic alternatives to address its financial situation [1][3][4]. Financial Situation - The company extended its forbearance agreement with senior lenders and Investissement Québec until January 30, 2026, requiring maintenance of $1 million in liquidity and a minimum trailing twelve-month EBITDA [2]. - Colabor must provide non-binding letters of intent for refinancing and raise at least $15 million in equity by December 15, 2025, but it does not anticipate meeting these requirements [2][3]. Strategic Alternatives - The company is negotiating further amendments to the forbearance agreements to secure additional liquidity for short-term cash needs and to continue its strategic alternatives review [4]. - In the absence of successful strategic alternatives, Colabor's operations could be significantly impacted, and the company is considering seeking protection under creditor protection laws [5]. Business Overview - Colabor operates as a distributor and wholesaler of food products, serving the hotel, restaurant, and institutional markets in Quebec and the Atlantic provinces, as well as the retail market [6].