Revenue during the quarter grew 16.37 percent to $3,504.20 million from $3,011.30 million in the previous year period. Gross margin for the quarter contracted 5 basis points over the previous year period to 4.97 percent. Total expenses were 99.94 percent of quarterly revenues, up from 99.69 percent for the same period last year. That has resulted in a contraction of 24 basis points in operating margin to 0.06 percent.

Operating income for the quarter was $2.20 million, compared with $9.20 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $19.60 million compared with $24.10 million in the prior year period. At the same time, adjusted EBITDA margin contracted 24 basis points in the quarter to 0.56 percent from 0.80 percent in the last year period.

"Core-Mark showed solid revenue and store growth in the first quarter as well as continued progress with our core strategies, but we have more work to do to improve productivity on newly acquired business and better leverage our fixed costs," said Thomas B. Perkins, president and chief executive officer. "I'm confident we'll get there; we have a strong organization and are focused on our goal of driving enhanced profitability as we capitalize on our momentum in the marketplace."

Core-Mark Holding Company expects revenue to be in the range of $15,200 million to $15,500 million for financial year 2017. For financial year 2017, the company projects diluted earnings per share to be in the range of $1.18 to $1.25. For financial year 2017, the company projects diluted earnings per share to be in the range of $1.42 to $1.49 on adjusted basis.

The company has spent $25.20 million cash to meet investing activities during the quarter as against cash outgo of $11.10 million in the last year period.

The company has spent $134.40 million cash to carry out financing activities during the quarter as against cash outgo of $40.10 million in the last year period.

Cash and cash equivalents stood at $25.10 million as on Mar. 31, 2017, up 118.26 percent or $13.60 million from $11.50 million on Mar. 31, 2016.

Working capital increases sharply
Core-Mark Holding Company Inc has recorded an increase in the working capital over the last year. It stood at $521.40 million as at Mar. 31, 2017, up 49.78 percent or $173.30 million from $348.10 million on Mar. 31, 2016. Current ratio was at 1.97 as on Mar. 31, 2017, up from 1.63 on Mar. 31, 2016.

Cash conversion cycle (CCC) has decreased to 13 days for the quarter from 19 days for the last year period. Days sales outstanding went down to 10 days for the quarter compared with 11 days for the same period last year.

Days inventory outstanding has decreased to 6 days for the quarter compared with 13 days for the previous year period. At the same time, days payable outstanding went down to 4 days for the quarter from 5 for the same period last year.