The 10-second takeaway
For the quarter ended Sep. 28 (Q3), Chefs' Warehouse beat expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share grew.
Gross margins dropped, operating margins expanded, net margins grew.
Chefs' Warehouse reported revenue of $124.8 million. The four analysts polled by S&P Capital IQ expected revenue of $116.9 million on the same basis. GAAP reported sales were 23% higher than the prior-year quarter's $101.7 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.21. The four earnings estimates compiled by S&P Capital IQ forecast $0.21 per share. GAAP EPS were $0.18 for Q3 against -$0.06 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 25.9%, 30 basis points worse than the prior-year quarter. Operating margin was 5.9%, 60 basis points better than the prior-year quarter. Net margin was 3.1%, 430 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $137.3 million. On the bottom line, the average EPS estimate is $0.28.
Next year's average estimate for revenue is $467.1 million. The average EPS estimate is $0.84.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Chefs' Warehouse is buy, with an average price target of $19.50.
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