Performance Food Group Company Reports Unaudited Consolidated Earnings Results for the First Quarter Ended October 1, 2016; Provides Earnings Guidance for the First Half, Second Half, Full Year 2016 and for the Year 2017
November 08, 2016 at 04:16 pm EST
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Performance Food Group Company reported unaudited consolidated earnings results for the first quarter ended October 1, 2016. For the quarter, the company reported net sales of $4,046.1 million against $3,928.9 million a year ago. Operating profit was $31.6 million against $44.0 million a year ago. Income before taxes was $19.5 million against $20.8 million a year ago. Net income was $12.2 million against $12.2 million a year ago. Basic and diluted earnings per share was $0.12 against $0.14 a year ago. Net cash used in operating activities was $75.2 million against $25.9 million a year ago. Purchases of property, plant and equipment was $34.8 million against $17.7 million a year ago. EBITDA was $61.9 million against $70.0 million a year ago. Adjusted EBITDA (Non-GAAP) was $76.0 million against $80.1 million a year ago. Adjusted diluted earnings per share (Non-GAAP) was $0.20 against $0.21 a year ago. The company's net debt at the end of the first quarter was $1,257.7 million, an increase of $123.1 million compared to the end of the prior fiscal year. For the first quarter of fiscal 2017, the company invested $34.8 million in capital expenditures, or 0.9% of fiscal 2017 first-quarter net sales, an increase of $17.1 million versus the prior year.
Based on the impact of increased new business transition costs and higher corporate expenses during the first quarter of 2017, the company now expects full-year adjusted EBITDA growth to be in the 7% to 9% range on a 52 week to 52 week basis and between 5% to 7% on a 52 week to 53 week basis versus a comparable 53 week fiscal 2016 adjusted EBITDA of $366.6 million. The 53rd week fell in the fourth quarter of fiscal 2016.
Also, due to the first-quarter results and the remaining impact of new business transaction costs and other strategic investments into the second fiscal quarter, the company now expects adjusted EBITDA in the first-half of fiscal 2017 to be down slightly versus the prior year.
Second-half fiscal 2017 adjusted EBITDA growth is expected to be in the mid-to-high teens range versus the second half of fiscal 2016, excluding the extra week.
The company expects fiscal 2017 adjusted diluted EPS to grow in a range of 27% to 31% to $1.23 to $1.27 on a 52 week to 52 week basis versus a comparable fiscal 2016 adjusted diluted EPS of $0.97. The company also expects fiscal 2017 adjusted diluted EPS to grow in the range of 24% to 28% to $1.24 to $1.28 on a 52 week to 53 week basis versus a comparable 53 week fiscal 2016 adjusted diluted EPS of $1.00.
Performance Food Group Company is a food and foodservice distribution company. The Company operates through three segments: Foodservice, Vistar, and Convenience. The Foodservice segment markets and distributes food and food-related products to independent restaurants, chain restaurants, and other institutional food-away-from-home locations. The Vistar segment specializes in distributing candy, snacks, beverages, and other items nationally to vending, office coffee service, theater, retail, hospitality, and other channels. The Convenience segment distributes candy, snacks, beverages, cigarettes, other tobacco products, food and foodservice related products, and other items to convenience stores across North America. The Company, through its subsidiaries, markets and delivers food and related products to over 300,000 customer locations including independent and chain restaurants; businesses, schools and healthcare facilities; vending and office coffee service distributors; and others.
Performance Food Group Company Reports Unaudited Consolidated Earnings Results for the First Quarter Ended October 1, 2016; Provides Earnings Guidance for the First Half, Second Half, Full Year 2016 and for the Year 2017