US Foods Holding Corp. (NYS:USFD) shares rose 1.2% before market open after the foodservice distributor reported second-quarter sales that topped Wall Street's estimates. The company's stock closed Wednesday's session up 1% at $32.30. US Foods reported revenue of $8.827 billion, compared with $7.663 billion in the same period last year. Analysts tracked by FactSet were looking for sales of $8.701 billion. US Foods' net income was $61 million, or diluted earnings of 27 cents a share, compared with net income of $46 million, or 20 cents a share in the prior year's quarter. On adjusted basis, US Foods earned 67 cents a share, compared with 58 cents a share in the year-ago quarter. Analysts tracked by FactSet were looking for earnings of 68 cents a share. "Our results this quarter demonstrate significant progress on the execution of our long-range plan," said US Foods interim CEO Andrew Iacobucci, in a statement. "Our strategic initiatives are driving results as we grew market share with gains in key customer types, implemented key supply chain initiatives to improve service levels, and expanded our omnichannel strategy with continued CHEF'STORE growth." US Foods still sees full-year adjusted earnings of $1.95 to $2.25 a share. Analysts tracked by FactSet are looking for adjusted full-year earnings of $2.31 a share. The food distributor's shares have fallen 7.3% this year, compared with the S&P 500 Index's (S&P:SPX) decline of 11.7%.
Aug. 11, 2022, 8:20 a.m. EDT