Sysco Corporation (NYSE:SYY) came out Monday with second-quarter numbers for investors to ponder.
The Houston-based company reported sales increased 2.5% to $14.8 billion. Gross profit increased 2.7% to $2.8 billion; gross margin increased four basis points. Moreover, operating income decreased 14.5% to $451.9 million; adjusted operating income increased 4.8% to $603.3 million. EPS decreased $0.03 to $0.51; adjusted¹ EPS decreased $0.03 to $0.75
According to CEO Tom Bené, "Our second-quarter results were in line with our expectations. We saw solid top-line growth, while we continue making investments in our business, particularly in our international segment.
"We remain focused on exceeding our customers’ expectations, while continuing to manage costs, and anticipate seeing additional benefit from our cost savings initiatives in the second half of this fiscal year."
Cash flow from operations was $917.8 million for the first 26 weeks of fiscal 2019, which was $15.4 million lower compared to the same period last year. Free cash flow for the first 26 weeks of fiscal 2019 was $700.9 million, which was $22.4 million higher compared to the prior year.
Capital expenditures, net of proceeds from sales of plant and equipment, totaled $216.9 million for the first 26 weeks of fiscal 2019, which was $37.8 million lower compared to the same period last year.
Sysco prides itself on being "the global leader in selling, marketing and distributing food products to restaurants, healthcare and educational facilities, lodging establishments and other customers who prepare meals away from home."
Shares flew $3.05, or 4.8%, to $66.62
