$SYY Guidance:

"During FY '25, we expect net sales growth of 4% to 5%. Net sales growth includes continued inflation of approximately 2%, positive volume growth of low single digits and contributions from M&A during the year. All in, we are guiding to adjusted EPS growth of 6% to 7% in line with our financial algorithm range. We continue to believe the second half will improve from investments in the sales professionals and other growth initiatives. Additionally, we expect margin benefits as we leverage our unique scale advantages to expand strategic sourcing efforts to include a wider basket of categories, more efficiently harness our global buying power and improve in [indiscernible] freight logistics to minimize touch points across our networks.

Combined with recent actions around our organizational optimization at our GSE we expect over $100 million of annualized savings to benefit gross profit dollars and operating expenses starting in the second half. This figure highlights our ability to be disciplined with expenses and offset macro industry environment headwinds in the first half and fund business investments this year. This is consistent with our focus on driving continual business improvements, and we plan to explore additional actions going forward.

In addition to these self-help initiatives, which we expect to drive the majority of our second half lift, we continue to expect a stronger macro and modest industry traffic improvements. All in, we expect a stronger rate of adjusted EPS growth in the second half of the year, growing at a positive high single-digit growth rate with similar rates of growth across Q3 and Q4. Consistent with our ROIC focus, we divested our joint venture in Mexico in mid-December. This is expected to impact international sales by approximately $500 million on an annualized basis and be immaterial from a profit standpoint."
#SYY