PFGC Q3 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Wed, May 6, 2026 astatine 9:40 AM CDT 39 min read

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DATE

Wednesday, May 6, 2026 astatine 9:00 a.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Scott E. McPherson

• Chief Financial Officer — H. Patrick Hatcher

• Investor Relations — Bill Marshall

Full Conference Call Transcript

Scott E. McPherson: Excited to stock our results from the 3rd quarter, which show the spot of our strategy, coagulated execution successful the field, and gathering momentum that we expect to proceed done the 4th fourth and into fiscal 2027. At our Investor Day past May, we laid retired the semipermanent imaginativeness for the company. Central to this program is leveraging the diversification of our concern crossed the full food-away-from-home market. We judge that our wide presumption crossed the U.S. is simply a unsocial spot for Performance Food Group Company and volition effect successful galore years of sustained growth. The astir caller 4th demonstrates the benefits of this strategy.

There has been overmuch treatment astir the challenges facing our industry, including brushed ft postulation into restaurants, terms inflation, large upwind events, and governmental disruption. Despite these items, we were capable to execute the precocious extremity of our guidance outlined successful February, exceeding expectations successful respective of the metrics that underpinned our projections. All 3 of our operating segments displayed affirmative signs of resilience and a beardown instauration to turn upon successful aboriginal quarters. Let america sermon immoderate of the concern highlights from the 4th successful each of our businesses. I volition past crook the telephone implicit to Patrick, who volition reappraisal our fiscal show and updated outlook for the fiscal year.

Starting with our Foodservice segment, beardown income execution combined with disciplined borderline absorption translated into precocious single-digit EBITDA maturation successful our foodservice concern excluding Cheney. This show underscores the durability of our foodservice exemplary and our quality to turn profitably adjacent successful a choppy macro environment. Our quality to summation marketplace stock and turn autarkic cases has been a spot of Performance Food Group Company's concern passim our history. Consistent with that theme, we are incredibly arrogant of our income enactment and their autarkic show successful the 3rd quarter. For the period, autarkic cases accelerated from the 2nd quarter, increasing 6.5%, exceeding our stated benchmark of 6%.

Our show was the effect of accordant marketplace stock gains done the 4th and wallet stock gains from existing customers. Net caller relationship maturation was astir 5.4% arsenic relationship wins proceed to thrust the bulk of our lawsuit growth. At the aforesaid time, we were pleased to spot a 100 ground constituent differential betwixt caller relationship maturation and full lawsuit growth, which indicates affirmative trends successful relationship penetration wrong existing accounts. This show occurred wrong a backdrop of accordant low-single-digit ft postulation declines according to Black Box, demonstrating the beardown execution of our salesforce. Our absorption connected recruiting, training, and incentivizing our salesforce is simply a cardinal origin successful our multiyear outperformance wrong the autarkic edifice space.