US Foods Raises 'Adjusted' EBITDA Outlook For Q2, Repurchases $166M Worth Of Shares
Portfolio Pulse from Lekha Gupta
US Foods Holding Corp (USFD) reported Q2 2023 sales growth of 2.1% Y/Y to $9.01 billion, missing the consensus of $9.34 billion. Adjusted gross profit increased 8.8% Y/Y to $1.6 billion. Adjusted EBITDA grew 17.4% Y/Y to $432 million. The company repurchased 4.2 million shares worth $166 million in the quarter. US Foods revised the outlook for adjusted EPS to $2.55-$2.65 from $2.45 - $2.65 and raised adjusted EBITDA to $1.51 billion-$1.54 billion from $1.45 billion- $1.51 billion.
August 10, 2023 | 2:18 pm
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US Foods reported lower than expected Q2 sales but higher adjusted EBITDA. The company also repurchased $166 million worth of shares and raised its outlook for adjusted EPS and EBITDA.
US Foods' Q2 sales were lower than expected, which could negatively impact the stock. However, the company's higher adjusted EBITDA, share repurchase, and raised outlook could offset this and potentially drive the stock price up in the short term.
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IMPORTANCE 80
RELEVANCE 100