Sysco’s Earnings Report

Speaking of Wrigley (WWY), a similar stock on our Buy List is Sysco (SYY), which is up nicely today on a strong earnings report. The WSJ reports:

Food-distribution giant Sysco Corp. posted a 9% rise in fiscal third-quarter net income as strong sales growth more than offset increasing food-cost inflation.
The supplier of food service and equipment to businesses, schools and health-care institutions reported net income of $240.9 million, or 40 cents a share, for the quarter ended March 29, up from $221 million, or 35 cents a share, a year earlier.
Sales rose 6.7% to $9.15 billion. A year ago, an accounting-rule reduced sales by 0.9%.
Analysts polled by Thomson Reuters had expected earnings of 39 cents a share on revenue of $9.21 billion.
The economic downturn amid rising food costs has spelled trouble for restaurant sales. Sysco said Monday it saw food costs jump 6.2% in the quarter.

Here’s a look at SYY’s sales and earnings of the past few years.
Year…………..Sales……………EPS
1998……..$15,327.54……..$0.47
1999……..$17,422.82……..$0.54
2000……..$19,303.27……..$0.68
2001……..$21,784.50……..$0.88
2002……..$23,350.50……..$1.01
2003……..$26,140.34……..$1.18
2004……..$29,335.40……..$1.37
2005……..$30,281.91……..$1.47
2006……..$32,628.44……..$1.35
2007……..$35,042.08……..$1.60
If you’re new to investing, those numbers above are very good.
The fiscal year ends in June, so SYY has already made $1.26 for the first nine months of 2008. The company is on track to make about $1.80 this year, and $2 next year.

Posted by on April 28th, 2008 at 10:58 am


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