Apr 01, 2023

PFG Q3 2023 Earnings Report

PFG's Q3 2023 results were announced, featuring accelerated organic case volume, double-digit profit growth, and strong cash flow.

Key Takeaways

Performance Food Group Company reported a 5.3% increase in net sales to $13.8 billion and a 32.3% increase in Adjusted EBITDA to $314.7 million for the third quarter of fiscal year 2023. The company also raised and tightened its fiscal 2023 Adjusted EBITDA outlook range.

Total case volume grew 3% in the third quarter.

Net sales increased 5% to $13.8 billion.

Gross profit improved 12% to $1.5 billion.

Adjusted EBITDA increased 32% to $314.7 million.

Total Revenue
$13.8B
Previous year: $13.1B
+5.3%
EPS
$0.83
Previous year: $0.51
+62.7%
Total Case Volume Growth
3%
Previous year: 35%
-91.4%
Adjusted EBITDA
$315M
Previous year: $238M
+32.3%
Gross Profit
$1.51B
Previous year: $1.35B
+12.4%
Cash and Equivalents
$8.2M
Free Cash Flow
$480M
Previous year: $165M
+191.8%
Total Assets
$12.2B
Previous year: $12B
+1.8%

PFG

PFG

PFG Revenue by Segment

Forward Guidance

PFG expects net sales to be in the range of $57 billion to $57.5 billion and Adjusted EBITDA to be in the range of $1.34 billion to $1.36 billion for the full fiscal year 2023. The company continues to expect to achieve annual net sales of $62 to $64 billion and Adjusted EBITDA between $1.5 and $1.7 billion in fiscal 2025.

Positive Outlook

  • Net sales expected between $57B and $57.5B.
  • Adjusted EBITDA expected between $1.34B and $1.36B.
  • Reiterated net sales target of $62B-$64B in fiscal 2025.
  • Reiterated Adjusted EBITDA target of $1.5B-$1.7B in fiscal 2025.
  • Solid execution

Challenges Ahead

  • Excludes the impact of certain income and expense items that management believes are not part of underlying operations.
  • Cannot estimate the impact of these income and expense items on its reported net income.
  • Difficult to predict impact of these income and expense items.
  • Impact of these income and expense items may be highly variable.
  • Outlook is subject to risks

Revenue & Expenses

Visualization of income flow from segment revenue to net income