US Foods (USFD) Q4 2024 Earnings
How Did USFD Stock React to Q4 2024 Earnings?
S&P 500 over the same 30 days: −7.99%.
Did USFD Beat Earnings? Q4 2024 Results
Yes. US Foods reported Q4 2024 earnings of $0.84 a share on Feb 13, 2025, beating the $0.80 consensus estimate by 4.4%. Revenue was $9.5B against a $9.5B estimate.
US Foods closed out fiscal 2024 on a strong note, posting Q4 adjusted diluted EPS of $0.84, beating the consensus estimate of $0.80 by 4.37%, even as net sales of $9.49 billion came in just a hair below the $9.50 billion estimate. Revenue still climbed 6.2% year over year, fueled by total case volume growth of 3.5% and food cost inflation of 2.9%, with independent restaurant case volume, a closely watched margin indicator, rising 3.2% in the quarter. The clearest driver of adjusted outperformance was a 13.7% jump in Q4 Adjusted EBITDA to $441.00 million, reflecting pricing optimization and distribution productivity gains, even as a $124.00 million pension termination charge weighed heavily on GAAP results. The company also flagged a potential sale of its CHEF'STORE business to sharpen focus on delivered broadline operations. Looking ahead, management guided for fiscal 2025 Adjusted Diluted EPS growth of 17% to 23%, anchoring a new three-year plan that targets a 20% Adjusted Diluted EPS CAGR and more than $4.00 billion in cumulative cash flow through 2027.
- Total case volume increased 3.5% in Q4; independent restaurant case volume grew 3.2%
- Food cost inflation of 2.9% contributed to net sales growth
- Improved cost of goods sold and pricing optimization drove gross profit growth
- Continued distribution productivity improvement offset higher labor costs
- Healthcare volume increased 4.7%, hospitality 2.4%, and chain volume 2.6% in Q4
- Adjusted EBITDA margin expanded 30 basis points to 4.6% in Q4
“We delivered another strong quarter which resulted in Adjusted EBITDA growth of 11.7% to a record $1.74 billion for 2024, capping off the final year of our long-range plan. We are proud to have achieved the key financial outcomes from our three-year plan, underpinned by the focused execution of our strategy.”
US Foods CEO, on the earnings call
What Was US Foods's Outlook in Q4 2024?
For fiscal year 2025, US Foods is guiding for net sales growth of 4% to 6%, Adjusted EBITDA growth of 8% to 12%, and Adjusted Diluted EPS growth of 17% to 23%. Over the longer term, the company is targeting a 5% sales CAGR, 10% Adjusted EBITDA CAGR, and 20% Adjusted Diluted EPS CAGR through 2027, with expectations to generate more than $4 billion of cumulative cash flow over that period.
USFD YoY Financials
| Metric | Q4 2024 | Q4 2023 | Year over year |
|---|---|---|---|
| Revenue | $9.5B | $8.9B | +6.2% |
| Gross Profit | $1.7B | $1.6B | +4.8% |
| Operating Income | $302.0M | $278.0M | +8.6% |
| Net Income | $66.0M | $147.0M | −55.1% |
Figures from SEC filings and company reports. Not investment advice.