Sysco reports 2013 fiscal Q3 results

Sysco Corporation (NYSE:SYY) announced financial results for its 13-week third fiscal quarter ended March 30, 2013.

Sales for the third fiscal quarter were $10.9 billion, an increase of 4.0% from $10.5 billion in the third quarter of fiscal 2012. Gross profit was $1.9 billion, an increase of 2.1% over the prior year. Operating expenses in the third quarter rose $140 million, or 9.8%, from those in the prior year period. Operating income totaled $337 million, a decrease of 23.2% compared with $439 million in the prior year’s third quarter. Net earnings for the third quarter totaled $201 million, down $58 million, or 22% from the prior year.

Year-to-date for fiscal 2013, sales were $32.8 billion, an increase of 4.7% from $31.3 billion in the first 39 weeks of fiscal 2012. Gross profit for the first 39 weeks totaled $5.8 billion, an increase of 2.9% compared with the prior year. Operating expenses rose $343 million, or 8.0% from the prior year period. Operating income was $1.2 billion in the first 39 weeks, falling $177 million, or 12.8%, compared with the prior year. Net earnings were $709 million, a decrease of $103 million, or 12.7% compared with the prior year.

“Our financial results reflect in part the difficult market conditions we experienced in our underlying business during the third quarter,” said Bill DeLaney, Sysco’s president and chief executive officer. “Sales and operating earnings were negatively impacted by economic and weather related headwinds, which dampened consumers’ willingness to spend on meals away from home. We remain committed to and highly focused on both improving the consistency of our business plan execution and successfully driving out our key strategic initiatives in a manner that contributes to the long-term success of our customers and shareholders.”

For more information, visit www.sysco.com.