US Foods Q2 2023 Earnings Report
Key Takeaways
US Foods reported a strong second quarter with net sales of $9.0 billion, a 2.1% increase from Q2 2022. Gross profit increased by 15% to $1.6 billion, and net income improved to $182 million. The company delivered a record adjusted EBITDA of $432 million, with an adjusted EBITDA margin expansion of 60 bps. They also raised their adjusted EBITDA guidance for fiscal year 2023 to $1.51 billion - $1.54 billion.
Net sales increased 2.1% to $9.0 billion.
Adjusted EBITDA increased 17.4% to $432 million.
Total case volume increased 2.7%; independent restaurant case volume increased 4.8%.
Adjusted EBITDA margin expanded by 60 bps.
US Foods
US Foods
Forward Guidance
The Company is updating its previously announced fiscal year 2023 guidance to: Adjusted EBITDA of $1.51-$1.54 billion, compared to previous guidance of $1.45-$1.51 billion and Adjusted Diluted EPS of $2.55-$2.65, compared to previous guidance of $2.45-$2.65.
Positive Outlook
- Adjusted EBITDA of $1.51-$1.54 billion
- Adjusted Diluted EPS of $2.55-$2.65
- Interest expense of $320-$325 million
- Total capital expenditures of $410-$430 million
- Net Debt to Adjusted EBITDA leverage below 3.0x by end of fiscal year 2023