Wed, Aug 14, 8:18 PM (153 days ago)
Performance Food Group Company (PFGC) reported a net income of $436 million for fiscal year 2024, a 9.7% increase from the previous year. Net sales rose to $58.3 billion, driven by a 1.8% increase in case volumes and a 3.7% inflation rate on product costs. Gross profit grew by 5.2% to $6.6 billion. Operating expenses increased by 4.8%, primarily due to higher personnel and insurance costs. The company's Adjusted EBITDA reached $1.5 billion, reflecting a 10.5% improvement. PFGC's strategic focus includes the acquisition of Cheney Brothers for $2.1 billion, expected to enhance its market position. The transaction will be financed through additional borrowings and new senior unsecured notes. The company maintains a robust liquidity position with $27.7 million in cash and a significant borrowing capacity of $2.7 billion under its ABL facility. Key risk factors include reliance on third-party suppliers, labor availability, and fluctuating commodity prices. PFGC's financial condition remains stable, supported by a diverse customer base across three segments: Foodservice, Vistar, and Convenience, which collectively serve over 300,000 locations.