On May 10, Richmond, Virginia-based Performance Food Group (PFG) announced its fiscal third-quarter earnings, showing solid sales growth during 2023’s January-March period, albeit slower growth compared to how the company started the fiscal year.

PFG posted net sales of $13.8 billion, an increase of 5% year-over-year, but down slightly from 2Q (October-December 2022), when sales were $13.9 billion, and 1Q (July-September 2022), when sales were $14.7 billion. PFG experienced sales growth of 8% in 2Q and 42% in 1Q.

3Q total case volume grew 3% for a second straight quarter after increasing by 16% in 1Q. Organic independent restaurant case growth in PFG’s Foodservice segment grew 8.3% in 3Q, the company said.

3Q gross profit increased 5% to $1.5 billion while adjusted EBITDA rose 32% to $314.7 million.

PFG also reported overall financials for the first nine months of its 2023 fiscal year. Compared to the first nine months of fiscal 2022, total case volume grew 7%, net sales increased 17%, gross profit improved 22% and adjusted EBITDA rose 48%.

“PFG’s three reportable segments continued to deliver solid results in the fiscal third quarter with accelerated organic case volume and favorable cost control producing strong profit growth,” PFG Chairman and CEO George Holm said in a news release. “Due to our organization’s solid execution, PFG produced robust cash flow, allowing for a reinvestment behind growth opportunities and leverage reduction. We believe that our unique market position is a competitive advantage producing solid top-line momentum, margin expansion, and a healthy balance sheet.”