US Foods' business grows as restaurant restrictions shrink

ROSEMONT - US Foods Holding Corp., one of the largest food service distributors in the U.S., announced on Monday results for the second quarter of its 2021 fiscal year, including net sales of $7.7 billion, up 68% from the prior year quarter at the onset of the pandemic.

The increase in net sales was a result of markets lifting in-person dining restrictions on restaurants and an increase in leisure travel, US Foods said.

Gross profit of $1.2 billion increased $498 million, or 74.2%, from the prior year quarter, primarily as a result of an increase in total restaurant sales volume and inflation in multiple product categories, including poultry and pork. Food cost inflation of 8.2% increased net sales totals in the second quarter.

"As markets around the United States reopen without restrictions, we have seen strong demand for our products, services and consultative expertise," said chairman and CEO Pietro Satriano. "While supply chain labor is expected to remain challenging for the next few quarters, we remain focused on delivering profitable growth as our industry continues to recover."

Operating expenses were $1 billion in the quarter, an increase of $315 million or 43.2% from the prior year period. The increase was primarily due to higher distribution and labor costs as a result of an increase in restaurant business.