Sysco FY 3Q13 Earnings Call Notes

posted in: Notes | 0

This post is part of a series of posts called “Company Notes.” These posts contain quotes and exhibits from earnings calls, conference presentations, analyst days and SEC filings. The quotes are generally pieces of information that I find interesting or helpful to understanding the company, industry or economy and are not meant to provide summaries of the full content of the call. Other posts in this series can be found by clicking here. Full transcripts can be found at Seeking Alpha.

“Consumers appear to have become increasingly judicious with their disposable income, and it’s clear from the decline in restaurant traffic in January and February that going out to eat has not been a high priority of late.”

“While we experienced good case growth in our large national and regional customers, our street case volume was particularly soft during the quarter.”

“when you look at that 1% to 2% growth, probably most of that is going to come in ethnic segments, and we’re going to have to continue to strengthen our ability to focus in on those groups, focus in on certain geographies where we have a lot more upside from a market share standpoint”

“February was just ugly. And so we just saw a significant falloff as you see in some of the restaurant publications in February. So I’d say it’s still been somewhat soft here in March and April, but the trends are better than what we saw in February.”

“I mean, if you guys go back and listen, I’ve probably done 25 calls since I’ve been back here 6 years. I hate talking about weather. But — I don’t think you’d find that I’ve talked about it hardly at all. But we have had weather issues going back to last year where it was a very favorable winter. This year, some strange weather in some different places”

“Warehouse and delivery are not part of the ERP rollout. We have excellent systems, and from day one, we never included those in the deployments. So those systems are the best-in-breed and operating fine. Obviously, they need to be interfaced with SAP, and we’re — so there’s no issue there. The hub of the system, the operating system itself, is more on the sales inventory replenishment, purchasing side of the business as well as, over time, the financial reporting”

“we generally have [mother’s day] week and there’s a week right around when the schools go back in session maybe the week before Labor Day, which typically are our 2 biggest weeks of the year.”

“if you look at the quarter, it’s a — I think it’s largely a sales story.”