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USFD · US Foods Holding

10 filings

10-K

USFD 10-K Annual Reports

US Foods Holding - 10 annual reports

Filing record · 2016–202610-K1010-Q318-K141

2025
US Foods Holding Annual Report, Year Ended Dec 27, 2025
US Foods Holding Corp. reported fiscal year 2025 (52 weeks ended December 27, 2025) net sales of $39.42 billion, up $1,547 million, or 4.1%, from $37.88 billion in fiscal 2024, driven by case volume growth and food cost inflation of 2.6%. Total case volume rose 1.0%, with independent restaurant case volume up 3.3%, healthcare up 4.4% and hospitality up 2.9%, partly offset by a 3.5% decline in chain volume. Operating income increased $100 million to $1.20 billion, and net income rose $182 million to $676 million, or $2.94 per diluted share. Adjusted EBITDA increased $191 million, or 11.0%, to $1.93 billion, and was 4.9% of net sales compared with 4.6% a year earlier. Cash flow from operations was $1.37 billion, up from $1.17 billion, and free cash flow was $965 million. Capital expenditures were $410 million, and the company guides fiscal 2026 cash capital expenditures to $400 million to $450 million. Total debt was $5.2 billion at year-end, with about 34% of principal bearing floating rates, and the company reported approximately $1.6 billion of cash and available liquidity. During the year, the company repurchased 11,881,693 shares for approximately $934 million, and its board authorized an additional $1 billion repurchase program in November 2025, with about $1.09 billion of total remaining authorization at year end. The company completed the Jake's Finer Foods acquisition for $92 million in January 2025 and the Shetakis acquisition for $46 million in November 2025, and it sold the Freshway business for $38 million in net proceeds. Management's stated priorities include the WE HELP YOU MAKE IT strategy of More Quality, More Tools and More Deliveries, and the company recorded a $13 million intangible asset impairment in fiscal 2025.
Feb 12, 2026
2024
US Foods Holding Annual Report, Year Ended Dec 28, 2024
US Foods Holding Corp. (NYSE: USFD) reported fiscal 2024 (52 weeks ended December 28, 2024) net sales of $37.88 billion, up 6.4% from $35.60 billion, driven by case volume growth. Total case volume rose 4.2%, with independent restaurant case volume up 4.4% and organic case volume up 1.4%. Operating income increased to $1.10 billion from $1.02 billion, while net income available to common shareholders was $494 million, down slightly from $499 million. Adjusted EBITDA rose 11.7% to $1.74 billion, or 4.6% of net sales, and free cash flow was $836 million. The company's results were affected by a $124 million non-cash pension settlement charge tied to termination of the majority of its defined benefit plan, and by a $61 million LIFO expense. Total indebtedness was $4.93 billion at year-end, with about 32% of principal at floating rates. The company refinanced its term loans and issued $500 million of 5.75% senior notes due 2033 during the year. It repurchased 16.4 million shares for approximately $958 million under its amended repurchase program, leaving about $75 million of authorization remaining. The filing also discloses that the company is exploring a sale of its CHEF'STORE wholesale restaurant supply business, has agreed to sell its Freshway business (closed January 31, 2025), and completed the Jake's Finer Foods acquisition for about $92 million on January 10, 2025. Liquidity was about $1.5 billion, and management believes operating cash flow and ABL capacity are sufficient for the next 12 months.
Feb 13, 2025
2023
US Foods Holding Annual Report, Year Ended Dec 30, 2023
US Foods Holding Corp. (NYSE: USFD) reported net sales of $35,597 million for fiscal year 2023, up $1,540 million, or 4.5%, from $34,057 million in fiscal 2022, driven by case volume growth. Total case volume increased 4.4%, with independent restaurant case volume up 6.9%, healthcare up 7.2% and hospitality up 8.9%, while chain volume decreased 2.1%. Gross profit rose 11.9% to $6,148 million (17.3% of net sales, versus 16.1% in 2022), and operating income more than doubled to $1,017 million from $594 million. Net income was $506 million, compared with $265 million in fiscal 2022, and diluted EPS was $2.02 versus $1.01. Adjusted EBITDA increased $249 million, or 19.0%, to $1,559 million, with Adjusted EBITDA margin of 4.4% of net sales. Cash flow from operating activities rose to $1,140 million and Free Cash Flow reached $831 million, compared with $500 million in fiscal 2022. The company repurchased 7,396,224 shares for approximately $294 million during the year, leaving about $192 million remaining under its $500 million authorization. Total debt was $4,674 million at year end, and the company reported approximately $2.0 billion in cash and available liquidity. Investors should note the company's indebtedness of $4.7 billion, of which approximately 30% bears floating rates, and its dependence on fuel, labor and customer concentration risks, including GPOs that accounted for about 23% of net sales. The company made two 2023 acquisitions, Renzi Foodservice ($142 million purchase price) and Saladino's ($56 million), and does not pay dividends on its common stock.
Feb 15, 2024
2022
US Foods Holding Annual Report, Year Ended Dec 31, 2022
US Foods Holding Corp. reported net sales of $34.06 billion for fiscal year 2022, up $4,570 million, or 15.5%, from $29,487 million in fiscal 2021, driven mainly by inflation (average inflation increase of 13.0% in multiple product categories) and total case volume growth of 1.7%. Operating income rose to $594 million from $424 million, and net income increased to $265 million from $164 million. Adjusted EBITDA grew 23.9% to $1,310 million, or 3.8% of net sales, and free cash flow was $500 million, compared with $145 million in fiscal 2021. Gross profit increased $837 million, or 18.0%, to $5,492 million, with gross margin of 16.1% versus 15.8% a year earlier. The company's balance sheet remains leveraged, with $4.9 billion of indebtedness outstanding as of December 31, 2022, and approximately 42% of total debt bearing floating rates. Management prioritized deleveraging, making $300 million of voluntary term loan prepayments in fiscal 2022 and reducing total debt from $5,011 million to $4,854 million. The company had approximately $2.0 billion in cash and available liquidity at year end, and the ABL Facility commitments were increased to $2.3 billion in December 2022. Management expects fiscal 2023 cash capital expenditures of $290 million to $310 million. The filing also highlights ongoing risks, including exposure to labor costs (about 21% of associates covered by collective bargaining agreements), customer and GPO concentration (GPO members accounted for about 21% of net sales), fuel price volatility (fuel costs of $195 million in fiscal 2022), and the influence of KKR, which owns approximately 10% of common stock on an as-converted basis through Series A Preferred Stock. The company did not pay common dividends, but it repurchased 396,069 shares for about $14 million in fiscal 2022 under a $500 million authorization, and Dirk Locascio, CFO, and David Flitman, who became CEO in January 2023, were among its executives.
Feb 17, 2023
2022
US Foods Holding Annual Report, Year Ended Jan 1, 2022
US Foods Holding Corp. reported fiscal 2021 (52 weeks ended January 1, 2022) net sales of $29.49 billion, up from $22.89 billion in fiscal 2020, which was a 53-week year. Total case volume increased 16.9% and independent restaurant case volume increased 28.0%, reflecting the easing of COVID-19 restrictions, year-over-year inflation in multiple product categories, and the April 2020 acquisition of Smart Foodservice. Gross profit rose to $4.66 billion, but gross margin compressed to 15.8% from 16.3%, mainly due to higher LIFO expense of $165 million. Operating income swung to $424 million from an operating loss of $77 million, and net income was $164 million versus a net loss of $226 million. Adjusted EBITDA increased to $1.06 billion, or 3.6% of net sales, from $648 million, and free cash flow was $145 million compared with $224 million in the prior year. The balance sheet remains leveraged. Total debt was $5.01 billion at year-end, with approximately 47% of principal bearing floating rates. The company refinanced several tranches during 2021, issuing $900 million of 4.75% notes due 2029, $500 million of 4.625% notes due 2030, and a $900 million 2021 Incremental Term Loan Facility. Liquidity was approximately $1.9 billion, including $1,722 million of available ABL Facility capacity. Management stated that it expects cash from operations and available borrowing capacity to cover obligations for the next 12 months. Fiscal 2022 cash capital expenditures are expected to be between $280 million and $300 million. The filing also flags several risks for investors. KKR holds the equivalent of approximately 10% of common stock on an as-converted basis through its $500 million Series A Preferred Stock investment. Sachem Head Capital Management disclosed on February 15, 2022 its intent to nominate seven directors to the ten-member board at the 2022 annual meeting. The company describes itself as a low-margin business and cites ongoing COVID-19 effects, labor and supply chain pressures, and integration risks from the Food Group and Smart Foodservice acquisitions.
Feb 17, 2022
2021
US Foods Holding Annual Report, Year Ended Jan 2, 2021
US Foods Holding Corp. reported a difficult fiscal year 2020, a 53-week period ended January 2, 2021, in which the COVID-19 pandemic sharply reduced demand from restaurant, hospitality and education customers. Net sales fell $3,054 million, or 11.8%, to $22,885 million, and total case volume decreased 11.0%. The company posted an operating loss of $77 million, compared with operating income of $699 million in fiscal 2019, and a net loss of $226 million, or $(1.15) per share after $28 million of preferred dividends. Adjusted EBITDA declined $546 million, or 45.7%, to $648 million, with the margin falling to 2.8% of net sales from 4.6%. The company made two significant acquisitions during the period: the Food Group, completed in September 2019 for $1.8 billion, and Smart Foodservice, completed in April 2020 for $972 million. Management states that it is prioritizing deleveraging. Total indebtedness was $5,748 million as of January 2, 2021, and roughly 57% of debt bore floating rates. Two rating agencies downgraded the company's credit ratings in May and September 2020. To bolster liquidity, the company issued $1.0 billion of 6.25% senior secured notes, sold $500 million of Series A convertible preferred stock to KKR, and expanded its ABL facility to $1,990 million. Cash rose to $828 million at year-end. Management expects sufficient liquidity to fund operations through 2022 even if case volumes stay at current levels, though it cautions that this is not assured. Cash flow from operations was $413 million, down from $760 million, and free cash flow was $224 million, compared with $502 million. Management expects fiscal 2021 capital expenditures of $290 million to $305 million. The company does not pay common dividends. Management states that it does not expect a full recovery until widespread vaccination of the American public, and that case volumes will recover only gradually.
Feb 16, 2021
2019
US Foods Holding Annual Report, Year Ended Dec 28, 2019
US Foods Holding Corp. reported fiscal year 2019 net sales of $25.94 billion, up from $24.18 billion in fiscal 2018, driven by an increase in total case volume of 4.6% and a net sales rate per case increase of 2.7%. Gross profit rose to $4.59 billion (17.7% of net sales, versus 17.8% in 2018), and operating income increased to $699 million from $658 million. Net income declined to $385 million from $407 million, while Adjusted EBITDA rose 8.3% to $1.19 billion. Management attributes the sales growth to organic case volume and inflation in grocery, poultry, beef and produce, and notes that operating expenses rose 6.6% largely due to higher distribution-related wage costs and the Food Group acquisition. The central event of the year was the $1.8 billion all-cash acquisition of five foodservice companies (the Food Group) from Services Group of America, completed September 13, 2019, which expands the company's network in the West and Northwest. The Food Group contributed $843 million of net sales and a net loss of $21 million in fiscal 2019. The acquisition was financed with a $1.5 billion incremental term loan and revolver borrowings, pushing total debt to $4.74 billion at year-end from $3.46 billion a year earlier. Management says it prioritizes deleveraging following the acquisition, and approximately 65% of debt bears floating rates. Cash flow from operations improved to $760 million from $609 million, and free cash flow (operating cash flow less capital expenditures) reached $502 million versus $374 million. The company paid no dividends and has no plans to do so in the foreseeable future. Management expects moderate positive growth in the U.S. foodservice distribution industry in fiscal 2020 and notes that fiscal 2020 will be a 53-week year, with capital additions expected between $325 million and $335 million.
Feb 13, 2020
2018
US Foods Holding Annual Report, Year Ended Dec 29, 2018
US Foods Holding Corp. reported net sales of $24.18 billion for fiscal 2018 (52 weeks ended December 29, 2018), essentially flat versus $24.15 billion in 2017. Total case volume decreased 1.2%, reflecting planned national chain customer exits partially offset by independent restaurant growth (independent restaurant case volume increased 3.8%). The sales rate per case rose 1.3%, mostly from inflation. Gross profit increased $88 million, or 2.1%, to $4.31 billion, with gross margin of 17.8% versus 17.5% in 2017. Operating income rose $70 million, or 11.9%, to $658 million, and net income was $407 million, down from $444 million in 2017. Adjusted EBITDA increased 4.3% to $1.10 billion. Cash flow from operations was $609 million, down from $749 million, which the company attributed in part to a $35 million incremental voluntary pension contribution and higher income tax payments. Free cash flow was $374 million. Total debt was $3.46 billion at year-end, with approximately 41% of principal at variable rates after interest rate swaps. The company was in compliance with all debt covenants. Management expects positive growth in the U.S. foodservice distribution industry in 2019 and a moderate amount of inflation, with capital additions of $335 million to $345 million planned for 2019. The filing also describes the pending $1.8 billion cash acquisition of the Services Group of America Food Group Companies, announced in July 2018 and subject to regulatory approvals, which is supported by a $1.5 billion senior secured term loan commitment. The company reports no pending material legal proceedings that it believes would have a material adverse effect.
Feb 14, 2019
2017
US Foods Holding Annual Report, Year Ended Dec 30, 2017
US Foods Holding Corp. (Nasdaq-listed under NYSE symbol USFD) reported fiscal 2017 net sales of $24.15 billion, up $1.23 billion, or 5.4%, from $22.92 billion in 2016. Case volume rose 2.9%, with independent restaurant case volume up 5.2%. Acquisitions added approximately $387 million to net sales, and the company completed five acquisitions in 2017. Operating income rose $160 million, or 38.6%, to $574 million, and net income increased to $444 million from $210 million. Operating income as a percentage of net sales rose to 2.4% from 1.8%, and Adjusted EBITDA increased $86 million, or 8.8%, to $1.058 billion, or 4.4% of net sales. Net income in 2017 was helped by a discrete $173 million tax benefit from the Tax Cuts and Jobs Act, which lowered deferred tax liabilities. Gross margin slipped to 17.5% from 17.7%, reflecting higher inbound freight costs and LIFO adjustments, partly offset by acquisition margins. Cash flow from operations rose to $748 million, and free cash flow was used to fund a $280 million repurchase of 10 million shares from an underwriter during a secondary offering by the Sponsors (CD&R and KKR), which fully liquidated their stake. Total debt was $3.76 billion at year-end, with approximately 46% at variable rates. Management expects positive industry growth in 2018, moderating inflation, and capital expenditures of $330 million to $340 million. The company notes high competitive intensity, a low-margin business model, and reliance on about 25% of net sales through GPO-negotiated terms, which are key risk factors for investors.
Feb 27, 2018
2016
US Foods Holding Annual Report, Year Ended Dec 31, 2016
US Foods Holding Corp. (USFD) reported fiscal 2016 net sales of $22.92 billion, down $208 million, or 0.9%, from $23.13 billion in fiscal 2015, which included a 53rd week. Excluding the extra week, net sales rose $141 million, or 0.6%, driven by a 2.9% increase in case volume partly offset by a 2.3% decline in the rate per case from deflation and product mix. Net income increased to $210 million from $168 million, and operating income rose to $414 million from $190 million. Fiscal 2015 had also included $288 million of net acquisition termination fees from the terminated Sysco merger, so year-over-year comparisons are affected by that item. Adjusted EBITDA rose to $972 million from $875 million, and the company reported free cash flow of $392 million. The balance sheet improved meaningfully during the year. The company completed its IPO in June 2016, with net proceeds of $1,114 million used to repay senior notes, and refinanced its term loan and senior notes. Total debt fell to $3,782 million at December 31, 2016, from $4,745 million a year earlier, and shareholders' equity rose to $2,538 million. The company remains highly leveraged, with $2.9 billion of floating-rate debt, and its Sponsors, CD&R and KKR, each hold approximately 28.34% of common stock after a January 2017 secondary offering, giving them control as a controlled company under NYSE rules. Management expects positive industry growth in 2017 and a continuation of deflation, and it plans capital additions of $330 million to $350 million. Key risks include thin margins, competition, reliance on independent restaurant customers, labor relations, multiemployer pension exposure, and the Sponsors' controlling influence.
Feb 28, 2017