Chefs' Warehouse Celebrates Record Sales and Strong Growth
Chefs' Warehouse Reports Impressive Financial Performance
Today, The Chefs’ Warehouse, Inc. (NASDAQ: CHEF), a distinguished distributor of specialty food products, announced formidable financial results for its recent fourth quarter, wrapping up a successful year. The company's strong sales growth reflects its strategic advancements and commitment to excellence in service.
Financial Highlights of the Fourth Quarter
The Chefs’ Warehouse demonstrated notable financial progress, with net sales escalating 8.7% to reach $1,033.6 million, compared to $950.5 million in the same quarter the previous year. This growth illustrates the solid demand within the upscale dining sector, where The Chefs’ Warehouse has established a strong foothold.
Profits and Income Growth
GAAP net income for this quarter was reported at $23.9 million, representing an increase from $16.0 million the previous year. Consequently, this resulted in a rise in diluted earnings per share, increasing from $0.38 to $0.55. The adjusted net income also improved, with adjusted figures at $23.9 million compared to $20.2 million a year earlier.
Significant Increases in Gross Profit
Furthermore, gross profit surged to $251.0 million, increasing by 9.8%. This enhancement in gross profit was primarily attributed to substantial sales growth and price adjustments driven by inflation. As a result, gross profit margins increased slightly to 24.3%.
Managing Expenses and Operational Costs
Even though selling, general, and administrative expenses rose to $206.8 million, mainly due to higher depreciation, amortization, and increased operational costs necessary to support sales growth, they maintained a stable percentage relative to net sales. This strategic approach underlines their operational efficiency and dedication to managing costs effectively.
Optimistic Guidance for Future Growth
For fiscal 2025, The Chefs’ Warehouse is projecting net sales to be between $3.94 billion and $4.04 billion, with gross profit expected to fall between $951 million and $976 million. Moreover, they anticipate adjusted EBITDA values between $233 million and $246 million. This guidance reflects their confidence in sustained business momentum moving forward.
Leadership Remarks
Christopher Pappas, CEO of The Chefs' Warehouse, expressed appreciation for the team’s commitment amidst strong competition and a challenging market environment. "Our ability to navigate these challenges and achieve historic revenue milestones illustrates the hard work and dedication of our team," he stated.
Looking Ahead
The company plans to host a conference call to further discuss the fourth quarter results. The investment community eagerly awaits insights on future strategies, upcoming product offerings, and market trends that could shape the company’s growth trajectory.
About The Chefs’ Warehouse
The Chefs’ Warehouse, Inc. is a leading distributor known for its extensive range of specialty food products. Catering to the unique needs of esteemed chefs, it serves independent restaurants, fine dining establishments, hotels, and culinary institutions across numerous regions. This diverse customer base fuels their innovation and product development initiatives.
Contact Information
Contact:
Investor Relations
Jim Leddy, CFO, (718) 684-8415
Frequently Asked Questions
What were The Chefs' Warehouse's net sales in the fourth quarter?
The Chefs’ Warehouse reported net sales of $1,033.6 million for the fourth quarter, marking an increase of 8.7% compared to the previous year.
How much did the adjusted net income per share increase?
The adjusted net income per share increased from $0.47 to $0.55.
What is the expected range for net sales in fiscal 2025?
For fiscal 2025, The Chefs’ Warehouse expects net sales to be between $3.94 billion and $4.04 billion.
Who is the CEO of The Chefs’ Warehouse?
The CEO of The Chefs’ Warehouse is Christopher Pappas.
What is the primary market served by The Chefs’ Warehouse?
The Chefs’ Warehouse primarily serves upscale restaurants, hotels, and culinary institutions, supplying a vast range of specialty food products.
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