US Foods Holding, a leading food distributor, saw an increase in sales during the third quarter, driven by a rise in case volumes.
In the period, the company reported a profit of $95 million, or 38 cents per share, compared to $109 million, or 43 cents per share, in the same quarter last year. However, after adjusting for one-time items, earnings were 70 cents per share, slightly beating analysts’ expectations of 69 cents per share.
Revenue also saw a positive trend, rising to $9.11 billion from $8.92 billion, just slightly below analysts’ projected $9.12 billion.
The growth in total case volume was a significant contributor to the company’s success, with volumes increasing by 3%. Notably, independent restaurant case volume jumped nearly 6%, while healthcare and hospitality volumes also showed improvement. This overall volume growth more than compensated for a 1.3% deflation in food costs.
The decrease in profit compared to the previous year was primarily due to a loss on extinguishment of debt and an increase in interest expense.
Overall, US Foods Holding demonstrated resilience and growth in the face of challenging market conditions, highlighting its ability to adapt and deliver results.