Why The Chefs' Warehouse Tanked 20% Wednesday

Shares of The Chefs' Warehouse, Inc. (NASDAQ: CHEF), a specialty food distributor to high-end chefs in major metropolitan areas, dropped as much as 20% Wednesday after the company announced its third-quarter financial results.

Starting from the top, net sales declined 36% to $254.0 million during the third quarter, down compared to the prior year's $396.9 million. The result failed to reach analysts' estimates of $266.7 million. Adjusted earnings checked in with a loss of $0.38 per share, much worse than the prior year's adjusted earnings of $0.23 and below analysts' estimates calling for a loss of only $0.31 per share.

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Source Fool.com