Mar 29

Sysco Q3 2025 Earnings Report

Sysco reported a slight revenue increase but faced pressures from adverse weather and weakening consumer confidence.

Key Takeaways

Sysco's Q3 2025 performance showed resilience amid external challenges, with sales growth but declines in net earnings and gross profit.

Sales grew by 1.1% year-over-year to $19.6 billion.

Net earnings declined 5.6% to $401 million.

Gross profit fell 0.8% to $3.6 billion, mainly due to lower volumes and product mix.

The company maintained strong liquidity and returned $1.5 billion to shareholders year-to-date.

Total Revenue
$19.6B
Previous year: $19.4B
+1.1%
EPS
$0.96
Previous year: $0.96
+0.0%
U.S. Broadline Case Growth
-2%
U.S. Local Case Growth
-3.5%
Sysco Brand Sales (U.S. Broadline)
35.5%
Previous year: 36.22%
-2.0%
Gross Profit
$3.58B
Previous year: $3.6B
-0.5%
Cash and Equivalents
$1.53B
Previous year: $598M
+155.2%
Free Cash Flow
$954M
Previous year: $334M
+185.7%
Total Assets
$26.3B
Previous year: $24.7B
+6.6%

Sysco

Sysco

Sysco Revenue by Segment

Sysco Revenue by Geographic Location

Forward Guidance

Sysco expects approximately 3% sales growth and at least 1% adjusted EPS growth for fiscal year 2025.

Positive Outlook

  • Expecting sales growth of approximately 3% for FY25.
  • Adjusted EPS expected to grow at least 1% in FY25.
  • Maintains strong liquidity with $4 billion available.
  • Plans to return approximately $2.25 billion to shareholders.
  • Continued focus on transformational initiatives and cost savings.

Challenges Ahead

  • Impact from weakening consumer confidence expected to persist.
  • External factors like weather events continue to pose risks.
  • Volume declines in U.S. Foodservice segment remain a concern.
  • Cost inflation pressures in dairy and meat categories.
  • Global macroeconomic uncertainties could affect future growth.

Revenue & Expenses

Visualization of income flow from segment revenue to net income