Sysco (NYSE:SYY) earnings for fiscal third quarter of 2020 have SYY stock taking a beating on Tuesday. This is due to its adjusted earnings per share (EPS) of 45 cents missing Wall Street’s estimate of 62 cents. The food company’s revenue of $13.7 billion also comes in below analysts’ estimates of $13.72 billion.
Now, let’s take a closer look at the most recent Sysco earnings report.
- Adjusted per-share earnings are down 43% from 79 cents during the same time last year.
- Revenue for the quarter comes in 6.5% lower than the $14.7 billion in the fiscal third quarter of 2019.
- Operating income of $60.27 million is an 88.6% drop year-over-year from $529.59 million.
- The Sysco earnings report also includes a net loss of -$3.3 million.
- That’s an incredible decline compared to its net income of $440.08 million in the same period of the year prior.
Kevin Hourican, president and CEO of Sysco, said this in the Q3 earnings report:
“In these unprecedented times, Sysco has a foundation which allows us to operate from a position of financial strength and flexibility. Soon after the onset of the crisis, Sysco took swift and decisive action to adjust to the new operating environment. Our strong balance sheet provides the stability to navigate the current environment, and we remain confident in our ability to achieve continued success and growth over the long term.”
Sysco doesn’t include an outlook update in its current earnings report. That makes sense considering the effects of the novel coronavirus on the economy. Many other companies are also withholding guidance during this time.
SYY stock was down 5.6% as of Tuesday afternoon.
As of this writing, William White did not hold a position in any of the aforementioned securities.