Ryan Hanley

Ryan Hanley inquired about the foodservice segment's flat volumes despite strong organic net sales growth, asking if all pricing tools were implemented and how customers were responding to price increases, as well as the outlook for top-line and margins.

Answer

President John Ghingo highlighted the foodservice segment's strong start with 7% organic net sales growth, marking its 10th consecutive quarter of growth, driven by a differentiated model, direct sales team, innovative solutions, and diversified channels. He noted that flat volume delivery was positive given rising protein markets and prices. He confirmed that pricing was catching up with market movements, helping to recover margins lost in the previous quarter.

Ryan Hanley inquired about the foodservice segment's flat volumes, asking if all pricing tools were fully implemented and how customers were responding to price increases, seeking insights into top-line and margin dynamics going forward.

Answer

President John Ghingo highlighted strong foodservice performance with 7% organic net sales growth, marking 10 consecutive quarters. He attributed this to a differentiated model, direct sales team, innovative solutions, and diversified channels. He confirmed that pricing in foodservice typically lags market movements but was catching up in Q1, helping to recover margins lost in Q4.