The increase in case volume was primarily attributable to national volume growth of 4.3%. This reflects growth in both broadline and specialty businesses.

Sysco sold its interest in a joint venture partnership in Mexico, which was part of its International Foodservice Operations. This operation was not significant to Sysco's business.

Sysco acquired Campbells Prime Meat, a leading specialty meat business based in Scotland. This acquisition provides a strategic opportunity to enable total team selling in this region.

This represents a 13-basis point and 15-basis point improvement from the second quarter and first 26 weeks of fiscal 2024, respectively, due to supply chain and Global Support Center efficiencies and gains from sale leaseback transactions.

Business transformation initiatives are progressing, which include promoting our specialty programs for produce, protein and Italian products, and our customer growth initiatives.

The decrease is primarily due to decreases in colleague-related costs, fuel hedging program expenses, and other miscellaneous costs.

The company identifies the impact of geopolitical, economic and market conditions and developments, including the impact of the U.S. presidential election, as a risk factor that could materially affect results.

The company identifies the risk of significant or prolonged inflation or deflation and their impact on product costs and profitability generally as a risk factor that could materially affect results.

The company identifies the risk related to unfavorable changes to the mix of locally managed customers versus corporate-managed customers as a risk factor that could materially affect results.

National customer volume has grown faster than local customer volume and is the result of contract renewals with existing customers and the addition of new customers.

From these actions, as a part of our Recipe for Growth, the benefits of our developing capabilities are apparent in the new customers we are winning and in the progress we are making toward increasing market share.

The company identifies the risk that competition in our industry and the impact of GPOs may adversely impact our margins and our ability to retain customers and make it difficult for us to maintain our market share, growth rate and profitability as a risk factor that could materially affect results.

Adjusted operating expenses were 14.2% of sales during both the second quarter and first 26 weeks of fiscal 2025, which is a 13-basis point and 15-basis point improvement from the second quarter and first 26 weeks of fiscal 2024, respectively, due to supply chain and Global Support Center efficiencies and gains from sale leaseback transactions.

The company identifies the risk that our efforts to modify truck routing, including our small truck initiative, in order to reduce outbound transportation costs may be unsuccessful as a risk factor that could materially affect results.

The company identifies the risk that we may not be able to accelerate and/or identify additional administrative cost savings in order to compensate for any gross profit or supply chain cost leverage challenges as a risk factor that could materially affect results.

In November 2023, the Financial Accounting Standards Board (FASB) issued ASU 2023-07, Segment Reporting (Topic 280), Improvements to Reportable Segment Disclosures to improve reportable segment disclosure requirements through enhanced disclosures about significant segment expenses.

In December 2023, the FASB issued 2023-09, Income Taxes (Topic 740), Improvements to Income Tax Disclosures to enhance income tax information primarily through changes in the rate reconciliation and income taxes paid information.

The company identifies the risk due to our reliance on technology, any technology disruption or delay in implementing new technology could have a material negative impact on our business as a risk factor that could materially affect results.

As of December 28, 2024, Sysco had a remaining authorization of approximately $2.5 billion. We repurchased 286,506 additional shares under our authorization from the end of our fiscal second quarter through January 10, 2025.

In November 2024, we declared our regular quarterly dividend for the second quarter of fiscal 2025 of $0.51 per share, which was paid in January 2025.

Capital expenditures in the first 26 weeks of fiscal 2025 were $14 million lower than in the first 26 weeks of fiscal 2024 due to reduced spending in investments to advance our Recipe for Growth strategy.

The company is evaluating the impact of various initiatives, including risks related to the implementation of various initiatives, the timing and successful completion of acquisitions, construction schedules and the possibility that other cash requirements could result in delays or cancellations of capital spending.

The company identifies the risk related to labor issues, including the renegotiation of union contracts and shortage of qualified labor as a risk factor that could materially affect results.

The company identifies the potential requirement to pay material amounts under our multiemployer defined benefit pension plans as a risk factor that could materially affect results.

Foot traffic to restaurants decreased approximately 2% for the second quarter of fiscal 2025, which represents a moderate improvement compared to the decrease of 3.6% experienced in the first quarter of fiscal 2025.

We expect to see continued improvements in foot traffic trends in the second half of fiscal 2025. Despite the current macroeconomic landscape, we expect to grow both sales and net earnings in fiscal 2025.

The company identifies the impact of geopolitical, economic and market conditions and developments, including the impact of the U.S. presidential election, as a risk factor that could materially affect results.