Sysco’s Shares Up on Earnings

More good news from Sysco (SYY):

Food distributor Sysco Corp. on Monday reported better-than-expected quarterly earnings, helped by increased sales despite food cost inflation, sending shares up as much as 5 percent.
The company, which supplies food and other products to restaurants, cafeterias and other food sellers, reported net earnings of $303.4 million, or 49 cents per share, for the fiscal fourth quarter ended June 30, up from $254.1 million, or 41 cents per share, a year earlier.
Analysts were expecting the company to earn 46 cents per share, according to Reuters Estimates.
Sysco said quarterly sales rose 8.5 percent $9.23 billion, above analysts’ expectation of $9.137 billion.
Food cost inflation, measured by the change in Sysco’s cost of goods, was 6.1 percent.
The company is targeting long-term annual sales growth of 7 to 9 percent, excluding the impact of major acquisitions, and expects low-to mid-double digit annualized earnings per share growth.
Analysts expected Sysco’s 2008 profits to grow about 13 percent to $1.78 per share, and revenues to grow 8 percent to $37.83 billion, according to Reuters Estimates.

Posted by on August 13th, 2007 at 11:51 am


The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.