The Chefs' Warehouse, Inc.

What they do

The company distributes more than 90,000 SKUs from over 4,000 suppliers, including artisan charcuterie, specialty cheeses, oils, vinegars, truffles, caviar, chocolate, pastry products, and center-of-the-plate proteins such as custom cut beef, seafood, and hormone-free poultry. It also offers broadline staples like cooking oils, butter, eggs, milk, and flour. The company serves over 55,000 core customer locations in 23 primary geographic markets through 44 distribution centers and approximately 1,100 sales and customer service professionals, and it sells certain center-of-the-plate products directly to consumers through its Allen Brothers subsidiary.

Revenue drivers

• Specialty food products — Gourmet and hard-to-find ingredients sold to independent restaurants, fine dining establishments, hotels, and other foodservice customers; volume is measured in case count, which grew approximately 6.0% organically in Q2 2026.
• Center-of-the-plate proteins — Custom cut beef, seafood, and hormone-free poultry; volume is measured in pounds sold, which increased approximately 8.8% organically in Q2 2026.
• Broadline food products — Staple items such as cooking oils, butter, eggs, milk, and flour that complement the specialty assortment and enable customers to use the company as their primary distributor.
• Direct-to-consumer — Allen Brothers mail and e-commerce platform sells certain center-of-the-plate products directly to consumers.

Recent performance

For the second quarter of 2026, net sales increased 12.9% to $1.17 billion from $1.03 billion in the prior-year quarter, with organic sales up $126.1 million, or 12.2%. GAAP net income was $33.8 million, or $0.76 per diluted share, compared to $21.2 million, or $0.49 per diluted share, in Q2 2025. Adjusted EBITDA rose to $88.1 million from $65.4 million, and gross profit margin expanded approximately 49 basis points to 25.1%. Operating income was $58.6 million, or 5.1% of net sales, compared to $40.2 million, or 3.9% of net sales, a year earlier.

Strategy

The company's stated strategy is to drive market share gains through growth in product penetration, case volume, and unique customers while improving operational efficiency. It continues to expand its distribution network, product selection, and customer base both organically and through acquisitions, such as the October 2025 asset purchase agreement for Italco Food Products. Management emphasizes serving chefs with a wide selection of distinctive products while also offering center-of-the-plate proteins and broadline staples to be the primary distributor for its customers. It markets through approximately 1,100 sales and customer service professionals and operates 44 distribution centers, providing service six days a week in many areas. The company also sells directly to consumers through its Allen Brothers platform.

Risks

• Economic sensitivity — The company depends on consumer discretionary spending because its customers operate in the food-away-from-home industry, and a downturn could reduce dining out and demand for its products.
• Low margins and inflation — The business has relatively low margins that are sensitive to inflationary and deflationary pressures and intense competition, and the ability to pass cost changes through to customers affects gross profit margin.
• Supply chain and commodity costs — Rising costs for commodities, ingredients, packaging, raw materials, distribution, and labor, as well as fuel cost volatility, could adversely affect results.
• Acquisition integration — The company may be unable to identify new acquisitions or integrate recent or future acquisitions and may fail to realize anticipated revenue enhancements, cost savings, or other synergies.

Outlook

Management said second quarter 2026 displayed strong growth in both revenue and profitability, with regional teams delivering excellent execution across markets and product categories. The Middle East operations are improving gradually as the company enters the seasonally slower summer period; during May and June, that business operated at approximately 94% of prior year and the trend has remained fairly steady through recent weeks. The CEO thanked teams across sales, procurement, pricing, operations, and support functions for their dedication.