NASDAQ$CHEF

The Chefs' Warehouse Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

The company reported an increase in net sales and net income compared to the same quarter last year.

The Chefs' Warehouse reported an 8.2% increase in net sales, reaching $426.5 million, and a GAAP net income of $10.9 million, or $0.36 per diluted share, for the fourth quarter of 2019. The company's performance was driven by solid revenue growth and a healthy consumer demand environment.

  • Net sales increased by 8.2% to $426.5 million.
  • GAAP net income was $10.9 million, or $0.36 per diluted share.
  • Adjusted EPS was $0.39 compared to $0.32 for the fourth quarter of 2018.
  • Adjusted EBITDA was $28.2 million compared to $24.6 million for the fourth quarter of 2018.

Headline financials

Total Revenue

$427M

Previous: $394M+8.2%
EPS (adj)

$0.39

Previous: $0.32+21.9%
Organic Sales Growth

4.1%

No prior period
Net Income

$10.9M

Previous: $8.88M+22.6%
Operating Income

$18.4M

Previous: $17.8M+3.6%
Gross Profit

$108M

Previous: $102M+5.3%
Cash & Equivalents

$140M

Previous: $42.4M+230.7%
Total Assets

$1.01B

Previous: $732M+38.4%
Stock-Based Comp

$1.49M

Previous: $1.1M+35.9%

Revenue & EPS history

Chefs' Warehouse · Revenue · Quarterly

$427M

Q4 2019+8.2%vs Q4 2018
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Forward guidance

The Company provided financial guidance for fiscal year 2020.

Tailwinds

  • Net sales between $1.85 billion and $1.91 billion
  • Gross profit between $478.0 million and $492.0 million
  • Net income between $26.9 million and $29.8 million
  • Net income per diluted share between $0.86 and $0.95
  • Adjusted EBITDA between $102.0 million and $106.0 million

Headwinds

  • Adjusted EPS between $0.91 and $1.00
  • Guidance is based on an effective tax rate of approximately 28.0% for fiscal 2020.
  • Full year estimated diluted share count is approximately 33.6 million shares.
  • The Company expects its senior convertible notes to be dilutive for the full year.
  • Shares that could be issued upon conversion of the notes are included in the fully diluted share count.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2019

Historical avgQ4 2019

+1.8%

Avg return

Earnings day

+3.2%

Avg return

5 days after

+5.7%

Avg return

30 days after

59%

38 / 64 earnings

Positive

+24.6%

Q3 2023

Best reaction

-28.8%

Q2 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+17.8%+21.4%+19.1%
Q4 2025-1.9%+4.7%-1.2%
Q3 2025+6.2%+3.6%+4.6%
Q1 2025+6.9%+14.0%+19.7%
Q4 2024+9.4%+19.9%-3.7%
Q3 2024-3.2%-3.0%+8.5%
Q2 2024-1.5%-10.4%+3.9%
Q1 2024+11.7%+14.1%+19.2%
Q4 2023+3.7%+10.3%+12.8%
Q3 2023+24.6%+26.8%+43.2%
Q2 2023-17.2%-17.6%-22.1%
Q1 2023+4.5%+7.1%-1.7%
Q4 2022-5.1%-3.4%-15.4%
Q3 2022+4.1%+7.3%+10.9%
Q2 2022-2.6%-4.2%-9.1%
Q1 2022+1.1%+2.6%-1.7%
Q4 2021+7.5%+6.3%-8.8%
Q3 2021+14.9%+21.9%+6.4%
Q2 2021+10.2%+6.1%+13.6%
Q1 2021-8.1%-10.5%-12.6%
Q4 2020-2.2%-0.1%+13.3%
Q3 2020-13.2%-13.8%+45.7%
Q2 2020+4.4%-4.4%+39.7%
Q1 2020+10.7%+25.3%+59.1%
Q4 2019-4.1%-5.5%-55.5%
Q3 2019-14.4%-11.7%-8.1%
Q2 2019+3.3%+2.8%+7.2%
Q1 2019+1.7%+5.5%-3.1%
Q4 2018-4.2%-4.8%-14.0%
Q3 2018+4.1%+3.9%+13.3%
Q2 2018+7.8%+7.1%+9.1%
Q1 2018+11.7%+9.1%+5.0%
Q4 2017+9.2%+11.1%+22.0%
Q3 2017-19.2%-9.5%+0.2%
Q2 2017+18.2%+22.3%+13.7%
Q1 2017+9.5%+6.2%+11.4%
Q4 2016-3.5%-4.7%-12.7%
Q3 2016+1.8%+1.8%+18.4%
Q2 2016-28.8%-32.0%-29.5%
Q1 2016-17.5%
Q4 2015+21.4%
Q3 2015+13.3%
Q2 2015-9.9%
Q1 2015+5.2%
Q4 2014+0.9%
Q3 2014-0.2%
Q2 2014-0.2%
Q1 2014-6.2%
Q4 2013-2.2%
Q3 2013-5.5%
Q2 2013+10.3%
Q1 2013+11.4%
Q4 2012+4.3%
Q3 2012-4.8%
Q2 2012-19.1%
Q1 2011-2.7%
Q1 2012+4.4%
Q2 2011+4.4%
Q4 2011+4.4%
Q4 2009+4.4%
Q3 2010-4.4%
Q3 2011+9.4%
Q4 2010+9.4%
Q2 2010+9.4%
Q1 2010

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