Chefs' Warehouse Q1 Profit Surges, Ups Outlook

Chefs' Warehouse reported first quarter 2025 net sales of $950.7 million, an 8.7% year-over-year increase, and net income of $10.3 million, up from $1.9 million in the same period last year. Adjusted earnings per share reached $0.25, a 19% earnings surprise that exceeded analyst expectations. Gross profit grew 7.9% to $226 million despite a slight decline in gross margin, with organic growth in specialty category case count (up 5.7%), unique customers (up 4.5%), and placements (up 7.7%), while the center-of-the-plate category saw a 1.3% drop in organic pounds sold. The company is investing in its facilities and digital initiatives and projects full-year 2025 net sales between $3.96 and $4.04 billion. Chefs' Warehouse has beaten consensus EPS estimates for four consecutive quarters and its share price is up 8% year-to-date. Management noted strong operating leverage and thanked employees, customers, and partners for a solid start to the year.