On Oct. 30, Sysco (NYSE:SYY) released first-quarter earnings for the period ending Sept. 30.

  • SYSCO continues to do performance reviews with its customers. According to the company, it experienced increased sales from customers participating.
  • EPS declined 9.1% because of the cumulative effect of accounting changes of $39.7 million. Adjusting for the accounting changes, EPS increased, rising from $0.31 to $0.37.
  • FCF declined 46.1% as a result of increased working capital requirements, the accounting changes, and increased capital expenditures for facility replacements and expansions, construction of fold-out operations, and additions to fleet.

(Figures in thousands, except per-share data)

Income Statement Highlights

Avg. Est.

Q1 2007

Q1 2006

Change

Sales

$8,525

$8,672

$8,010

8.3%

Net Profit

--

$189

$208

(9.3%)

EPS

$0.36

$0.30

$0.33

(9.1%)

Diluted Shares

--

625

635

(1.5%)



Get back to basics with a look at the income statement.

Margin Checkup

Q1 2007

Q1 2006

Change*

Gross Margin

19.25%

19.10%

0.15

Operating Margin

4.51%

4.41%

0.10

Net Margin

2.18%

2.60%

(0.42)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q1 2007

Q1 2006

Change

Cash + ST Invest.

$181

$178

1.6%

Accounts Rec.

$2,637

$2,407

9.6%

Inventory

$1,716

$1,569

9.4%



Liabilities

Q1 2007

Q1 2006

Change

Accounts Payable

$1,914

$1,806

6%

Total Debt

$1,846

$1,653

11.7%



Learn the ways of the balance sheet.

Cash Flow Highlights

1Q 2007

1Q 2006

Change

Cash From Ops.

$173

$200

(13.6%)

Capital Expenditures

$116

$94

23.2%

Free Cash Flow

$57

$106

(46.1%)



Find out why Fools always follow the money.

Related Companies:

  • Performance Food Group (NASDAQ:PFGC)
  • United Natural Foods (NASDAQ:UNFI)
  • Ahold (NYSE:AHO)

Related Foolishness:

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