Performance Food Group Company (NYSE:PFGC) Q2 2023 Earnings Conference Call February 8, 2023 9:00 AM ET

Company Participants

Bill Marshall - Vice President of Investor Relations

George Holm - Chief Executive Officer

Patrick Hatcher - Chief Financial Officer

Conference Call Participants

Edward Kelly - Wells Fargo

Jake Bartlett - Truist Securities

John Heinbockel - Guggenheim Partners

Alex Slagle - Jefferies

Mark Carden - UBS

Brian Harbour - Morgan Stanley

Jeffrey Bernstein - Barclays

Kelly Bania - BMO Capital Markets

Andrew Wolf - CL King

William Reuter - Bank of America

Joshua Long - Stephens Inc.

Carla Casella - JPMorgan

Peter Saleh - BTIG

Fred Wightman - Wolfe Research

Lauren Silberman - Credit Suisse

Bill Marshall

Thank you and good morning. We're here with George Holm, PFG's CEO; and Patrick Hatcher, PFG's CFO. We issued a press release regarding our 2023 Fiscal Second Quarter Results this morning which can be found in the Investor Relations section of our website at pfgc.com.

During our call today, unless otherwise stated, we are comparing results to the same period in our 2022 fiscal second quarter. As a reminder, in the second quarter of fiscal 2022, we changed our operating segments to reflect how we manage the business. The results discussed on this call will include GAAP and non-GAAP results adjusted for certain items. The reconciliation of these non-GAAP measures to the corresponding GAAP measures, can be found at the back of the earnings release. As a reminder, in the fiscal first quarter of 2023, we updated our segment reporting metrics to adjusted EBITDA, from the prior EBITDA metric. Accordingly, the segment results for the second fiscal quarter of 2022 have been restated to reflect this change.

Our remarks on this call and in the earnings release contain forward-looking statements and projections of future results. Please review the cautionary forward-looking statements section in today's earnings release and our SEC filings for various factors that could cause our actual results to differ materially from our forward-looking statements and projections.

Now, I'd like to turn the call over to George.

George Holm

Thanks, Bill. Good morning, everyone and thank you for joining our call today. The momentum we saw in the fiscal first quarter carried through in the second quarter with solid top line results and larger-than-anticipated margin gains which drove a nice profit beat compared to our published expectations. We are also experiencing, very encouraging signs in the more recent weeks, with an acceleration in our case growth, particularly in the independent restaurant channel. Some of this improvement may be related to the impact from Omicron in the prior year period. However, we believe there are signs of more stable landscape to begin calendar 2023.