HOUSTON, Sept. 14, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY) (“Sysco” or the “Company”) today announced that it intends to make an offering of $1.0 billion of shares of its common stock (the “Offering”). Sysco’s common stock is listed on the New York Stock Exchange under the symbol “SYY.”
Sysco intends to grant the underwriters of the Offering a 30-day option to purchase up to an additional $150 million of shares of common stock, solely to cover overallotments, if any, at the same price per share as the other shares of common stock purchased by the underwriters in the Offering.
Sysco intends to use the net proceeds from the Offering to finance a portion of the consideration for its pending acquisition of Jetro Restaurant Depot. The Offering is not contingent on the consummation of the acquisition.
Goldman Sachs & Co. LLC and TD Securities (USA) LLC are acting as lead book-running managers for the Offering. BofA Securities, J.P. Morgan Securities LLC and Wells Fargo Securities, LLC are also acting as book-running managers for the Offering.
The Offering will be made by means of a prospectus supplement under Sysco’s shelf registration statement on Form S-3ASR, as filed with the Securities and Exchange Commission (the “SEC”).
This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities, nor does it constitute an offer, solicitation or sale of any securities in any jurisdiction in which such offer, solicitation or sale is unlawful. The Offering is being made only by means of a prospectus supplement relating to the Offering and the accompanying prospectus.
Copies of the preliminary prospectus supplement for the Offering and the accompanying prospectus may be obtained free of charge by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, copies may be obtained from:
Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, NY 10282, by telephone at 1-866-471-2526, or by e-mail at [email protected];TD Securities (USA) LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or by email at [email protected];BofA Securities, Attention: Prospectus Department, 201 North Tryon Street, Charlotte, NC 28255-0001, or by e-mail at [email protected];J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, or by e-mail at [email protected] and [email protected]; orWells Fargo Securities, LLC, 90 South 7th Street, 5th Floor, Minneapolis, MN 55402, by telephone at 800-645-3751 (option #5) or by email at [email protected].
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 333 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 670,000 customer locations. The company generated sales of more than $84 billion in fiscal year 2026 that ended June 27, 2026.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions.
SYY-INVESTORS
Forward-Looking Statements
Statements made in this press release include statements that are forward-looking or that express management’s beliefs, expectations or hopes and are forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements include, among other things, statements regarding the terms, timing and completion of the Offering and our anticipated use of the proceeds thereof, statements about our future financial performance and results, business strategy, plans, goals and objectives, and other statements that are not historical facts, including expectations regarding our future growth, including growth in sales and earnings per share, expectations regarding cost savings associated with AI, as well as statements about the expected timing and completion of the proposed transaction with Jetro Restaurant Depot and the anticipated benefits of such proposed transaction.
Such forward-looking statements reflect the views of management at the time such statements are made and are subject to a number of risks, uncertainties, estimates, and assumptions, including those outside of Sysco’s control. Risks and uncertainties include without limitation: the impact of geopolitical, economic and market conditions and developments, including changes in global trade policies and tariffs and foreign conflicts; risks related to our business initiatives; periods of significant or prolonged inflation or deflation and their impact on our product costs, volume, foot traffic, and profitability generally; risks related to our efforts to implement our transformation initiatives and meet our other long-term strategic objectives; risks of interruption of supplies and increase in product costs; risks related to changes in consumer eating habits; and impact of natural disasters or adverse weather conditions, public health crises, adverse publicity or lack of confidence in our products, and product liability claims as well as risks and uncertainties associated with our proposed transaction with Jetro Restaurant Depot, including but not limited to, the occurrence of any event, change or other circumstances that could give rise to the right of either or both parties to terminate the merger agreement; the risk that regulatory approvals may not be obtained or other closing conditions may not be satisfied in a timely manner or at all, as well as the risk that regulatory approvals are obtained subject to conditions that are not anticipated; the risk of other delays in closing the transaction; the possibility that any of the anticipated benefits and projected synergies of the transaction will not be realized or will not be realized within the expected time period; and the risk that the proposed transaction and its announcement could have an adverse effect on the market price of the common stock of Sysco. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those indicated in our forward-looking statements. Therefore, you should not place undue reliance on any of the forward-looking statements contained herein. For more information on these risks and other concerning factors that could cause actual results to differ from those expressed or forecasted, see our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC. We do not undertake to update our forward-looking statements, except as required by applicable law.
For more information contact: Kevin KimCassandra Mauel Investor ContactMedia Contact [email protected]@sysco.com T 281-584-1219T 281-584-1390
When you see the so-called golden arches of a McDonald's (MCD -0.20%) sign, you know exactly what to expect. Burgers, fries, soda, milkshakes, and an apple pie lie beyond the doors of the restaurant. The reliability of its offerings has helped McDonald's thrive as a business for a very long time. And the company is on the cusp of another impressive achievement, Dividend King status. Here's why I think this is the year it gets there.
What does McDonald's do? On the surface, McDonald's is a restaurant that sells food to customers. However, there's more to the story. As noted above, every McDonald's sells basically the same thing with the same basic quality and speed. That consistency is a core part of the McDonald's story. It basically helped to create the fast-food segment of the restaurant industry.
Image source: Getty Images.
McDonald's also helped create the franchise industry. The company not only owns and operates its own locations, but it also effectively sells the right to operate McDonald's restaurants to others (its franchisees). The franchised locations pay fees to McDonald's. Often, McDonald's owns the property on which a franchise is located, as well, which adds even more upside to the proposition as property values increase.
Very few people would tell you that McDonald's serves good food, but it is most certainly affordable and reliable. And that has allowed the brand to grow to more than 45,000 locations in more than 100 countries. Roughly 95% of its restaurants are franchised. In the second quarter of 2026, the company's restaurants generated $37 billion in revenues, up 5% year over year, with same-store sales up 1.3%.
Systemwide sales aren't the same as the revenue that McDonald's itself generates. That's because most of its revenues come from franchise fees. McDonald's second-quarter revenues came in at roughly $7.1 billion, up 4% year over year. Earnings per share in the quarter were $3.32, up 6% year-over-year.
McDonald's is well-positioned for the current environment It was a pretty good quarter, given that inflation has consumers tightening their budgets. But then, affordable, trustworthy food would be a good option for eating out in that situation. While some customers may simply stop going out, others will be trading down to McDonald's. And when economic concerns abate, and customers trade up again, McDonald's will benefit as less wealthy customers start eating out again.
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The strength of the business model, coupled with the ubiquity of the brand, is what has enabled McDonald's to achieve 49 consecutive annual dividend increases. It is what I believe will allow the company to increase the dividend again in the fourth quarter, which is when it typically announces an increase. That will be increase number 50, making this Dow component a Dividend King.
Don't underestimate the importance of this achievement. The list of Dividend Kings includes just 58 stocks. While there's a restaurant supplier on the list, Sysco (SYY +1.09%), and a number of consumer staples companies, there are no restaurants. That McDonald's is on the verge of Dividend King status is a testament to the impressive success, and ongoing strength, of its business model.
Is McDonald's worth buying? With a dividend payout ratio of roughly 60%, there is ample room for another increase. Now add in a 2.9% yield, which is well above the market's 1% yield, and there is a lot for a dividend investor to like here. And a recent 25% stock pullback, as of this writing, has left McDonald's price-to-sales and price-to-earnings ratios below their five-year averages, suggesting it is attractively priced. If you are a conservative dividend investor focused on dividend consistency, McDonald's, a soon-to-be Dividend King, could be a good addition to your portfolio.
Key Takeaways Sysco targets at least $500M in AI-powered efficiency savings by fiscal 2029.AI initiatives span truck routing, warehouse productivity, procurement and back-office activities.Sysco raised fiscal 2028-2029 sales growth to 4-7% and adjusted EPS growth to 9-11%. Sysco Corporation (SYY - Free Report) is sharpening focus on profitable growth and operating efficiency as it enters fiscal 2027 with solid momentum. The foodservice distribution giant reaffirmed its fiscal 2027 financial outlook while unveiling a multi-year AI-powered efficiency program aimed at lowering structural costs and supporting stronger earnings growth over the next several years.
For fiscal 2027, Sysco continues to expect net sales growth of roughly 6-7%, taking revenues to about $90 billion. Adjusted earnings are projected between $5.02 and $5.12 per share, implying growth of 9-11% on a 53-week basis. Excluding the extra week, the midpoint of the adjusted EPS outlook remains at the high end of the company’s long-term growth range.
A major part of the update is Sysco’s target of at least $500 million in AI-powered efficiency savings by fiscal 2029. The initiative builds on the $100 million of net cost savings already incorporated into the fiscal 2027 outlook. Key areas include modernizing truck-routing systems, improving warehouse productivity, reducing miles driven, automating merchandising and procurement, strengthening strategic sourcing, controlling indirect spending and simplifying back-office activities.
The expected savings also underpin higher targets for fiscal 2028 and 2029. Sysco now projects annual net sales growth of 4-7%, compared with its previous 4-6% range. Adjusted EPS growth is targeted at 9-11% annually, well above the earlier 6-8% expectation. Greater efficiencies should also support faster deleveraging following the expected completion of the Jetro Restaurant Depot transaction by the third quarter of fiscal 2027.
The outlook is supported by a solid fiscal 2026 foundation. In fiscal 2026, sales rose 3.9%, while free cash flow increased 16.3% to $2.1 billion. Continued volume growth, productivity improvements and AI-led cost reductions could strengthen margins and earnings leverage, making execution on the new efficiency targets an important factor to watch.
SYY’s Zacks Rank & Share Price PerformanceShares of this Zacks Rank #3 (Hold) company have gained 1.7% in the past year against the industry’s decline of 18.3%. However, SYY has underperformed the broader Consumer Staples sector and the S&P 500 index’s growth of 3.4% and 18.4%, respectively, during the same period.
SYY Stock's Past Year Performance
Image Source: Zacks Investment Research
Is Sysco Corporation a Value Play Stock?Sysco Corporation currently trades at a forward 12-month P/E ratio of 15.84 compared with the industry average of 14.7. This valuation places the stock at a premium relative to peers, indicating broader market expectations around its business stability and ability to navigate current cost and demand dynamics.
SYY Valuation Picture
Image Source: Zacks Investment Research
Stocks to ConsiderThe Chefs' Warehouse, Inc. (CHEF - Free Report) distributes specialty food and center-of-the-plate products in the United States, the Middle East and Canada. At present, CHEF flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The consensus estimate for Chefs' Warehouse’s current fiscal-year sales and earnings implies growth of 10.6% and 33.7%, respectively, from the year-ago reported figures. Chefs' Warehouse delivered a trailing four-quarter earnings surprise of 30.4%, on average.
The Vita Coco Company, Inc. (COCO - Free Report) develops, manufactures, markets and distributes coconut water products under the Vita Coco brand name in the United States, Canada, Europe, the Middle East, Africa and the Asia Pacific. COCO currently sports a Zacks Rank #1. The company delivered a trailing four-quarter earnings surprise of 21.9%, on average.
The Zacks Consensus Estimate for Vita Coco’s current fiscal-year sales and earnings indicates growth of 31.6% and 64.7%, respectively, from the year-ago reported numbers.
Darling Ingredients Inc. (DAR - Free Report) develops, produces and sells sustainable natural ingredients from edible and inedible bio-nutrients in North America, Europe, China, South America and internationally. At present, Darling Ingredients holds a Zacks Rank of 2 (Buy). DAR delivered a trailing four-quarter earnings surprise of 38.9%, on average.
The consensus estimate for Darling Ingredients’ current fiscal-year sales and earnings implies growth of 11.5% and 926.5%, respectively, from the year-ago figures.
California State Teachers Retirement System boosted its holdings in Sysco Corporation (NYSE:SYY – Free Report) by 10,045.8% during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The fund owned 63,555,151 shares of the company’s stock after buying an additional 62,928,735 shares during the quarter. California State Teachers Retirement System owned 13.28% of Sysco worth $5,311,940,000 as of its most recent SEC filing.
A number of other institutional investors and hedge funds also recently modified their holdings of SYY. Lloyd Advisory Services LLC. acquired a new stake in shares of Sysco during the fourth quarter worth $25,000. Motiv8 Investments LLC acquired a new position in shares of Sysco in the 4th quarter valued at $25,000. N.E.W. Advisory Services LLC purchased a new position in Sysco in the 2nd quarter worth about $29,000. Sunbelt Securities Inc. increased its stake in Sysco by 87.6% in the 1st quarter. Sunbelt Securities Inc. now owns 364 shares of the company’s stock worth $26,000 after purchasing an additional 170 shares in the last quarter. Finally, Bard Associates Inc. acquired a new stake in Sysco during the 4th quarter worth about $27,000. Institutional investors and hedge funds own 83.41% of the company’s stock.
Wall Street Analyst Weigh In SYY has been the subject of several recent analyst reports. Piper Sandler raised their target price on shares of Sysco from $77.00 to $84.00 and gave the stock a “neutral” rating in a report on Wednesday, August 5th. Weiss Ratings upgraded shares of Sysco from a “hold (c+)” rating to a “buy (b-)” rating in a report on Wednesday, August 19th. Morgan Stanley upped their price target on shares of Sysco from $84.00 to $88.00 and gave the company an “equal weight” rating in a research report on Thursday, July 16th. Citigroup raised their price objective on shares of Sysco from $82.00 to $86.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 5th. Finally, Wall Street Zen cut shares of Sysco from a “buy” rating to a “hold” rating in a research report on Sunday. Nine research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $89.50.
Check Out Our Latest Report on Sysco Insider Activity In other news, EVP Ronald Phillips sold 506 shares of the business’s stock in a transaction on Monday, August 24th. The shares were sold at an average price of $84.09, for a total transaction of $42,549.54. Following the transaction, the executive vice president directly owned 36,313 shares in the company, valued at $3,053,560.17. The trade was a 1.37% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders have sold 14,508 shares of company stock worth $1,215,250. Company insiders own 0.56% of the company’s stock.
Sysco Trading Up 2.3% NYSE:SYY opened at $81.68 on Thursday. The stock has a market cap of $39.13 billion, a PE ratio of 22.32, a price-to-earnings-growth ratio of 2.72 and a beta of 0.63. Sysco Corporation has a fifty-two week low of $68.19 and a fifty-two week high of $91.85. The company has a debt-to-equity ratio of 4.62, a current ratio of 1.28 and a quick ratio of 0.77. The stock’s 50-day moving average is $82.96 and its two-hundred day moving average is $80.07.
Sysco (NYSE:SYY – Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $1.53 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.51 by $0.02. The business had revenue of $22.12 billion during the quarter, compared to analyst estimates of $21.95 billion. Sysco had a net margin of 2.08% and a return on equity of 95.05%. The firm’s revenue was up 4.7% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.48 earnings per share. Sysco has set its FY 2027 guidance at 5.025-5.117 EPS and its Q1 2027 guidance at 1.180-1.200 EPS. As a group, equities research analysts forecast that Sysco Corporation will post 5.12 earnings per share for the current fiscal year.
Sysco Announces Dividend The business also recently announced a quarterly dividend, which will be paid on Friday, October 23rd. Shareholders of record on Friday, October 2nd will be given a $0.55 dividend. The ex-dividend date is Friday, October 2nd. This represents a $2.20 dividend on an annualized basis and a yield of 2.7%. Sysco’s dividend payout ratio is presently 60.11%.
Sysco Profile (Free Report)
Sysco Corporation (NYSE:SYY) is a global foodservice distributor that supplies restaurants, health care and educational institutions, hospitality businesses, government facilities, and other customers. Its product portfolio includes fresh and frozen foods, meat and seafood, dairy products, produce, pantry staples, beverages, and specialty items, along with nonfood products such as kitchen equipment, cleaning supplies, and disposable serving products.
In addition to distribution, Sysco provides services designed to support foodservice operators, including menu planning, culinary consulting, merchandising assistance, supply-chain solutions, and business-management resources.
Featured Articles Five stocks we like better than Sysco Qualcomm’s Data Center Bet Looks More Real After Amazon’s AI Deal GE Aerospace’s $11.75B Deal Puts Howmet Aerospace in Focus Casey’s Post-Earnings Drop May Give Investors a Better Entry Into a Quality Retailer Sovereign AI: Palantir and Nebius Cut the Cloud Cord Want to see what other hedge funds are holding SYY? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Sysco Corporation (NYSE:SYY – Free Report).
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Arizona State Retirement System boosted its position in shares of Sysco Corporation (NYSE:SYY – Free Report) by 5.4% in the second quarter, according to the company in its most recent disclosure with the SEC. The firm owned 137,099 shares of the company’s stock after purchasing an additional 6,981 shares during the quarter. Arizona State Retirement System’s holdings in Sysco were worth $11,459,000 as of its most recent SEC filing.
Several other large investors have also recently bought and sold shares of the company. Lloyd Advisory Services LLC. acquired a new stake in shares of Sysco during the fourth quarter worth about $25,000. Motiv8 Investments LLC acquired a new position in shares of Sysco in the 4th quarter valued at approximately $25,000. N.E.W. Advisory Services LLC bought a new stake in Sysco during the 2nd quarter worth approximately $29,000. Sunbelt Securities Inc. increased its stake in Sysco by 87.6% during the 1st quarter. Sunbelt Securities Inc. now owns 364 shares of the company’s stock worth $26,000 after purchasing an additional 170 shares in the last quarter. Finally, Bard Associates Inc. acquired a new stake in Sysco during the 4th quarter worth approximately $27,000. Institutional investors own 83.41% of the company’s stock.
Sysco Stock Performance Shares of NYSE SYY opened at $81.68 on Thursday. The company has a current ratio of 1.28, a quick ratio of 0.77 and a debt-to-equity ratio of 4.62. The company has a market capitalization of $39.13 billion, a P/E ratio of 22.32, a P/E/G ratio of 2.72 and a beta of 0.63. Sysco Corporation has a 12 month low of $68.19 and a 12 month high of $91.85. The stock has a 50 day moving average of $82.96 and a 200-day moving average of $80.07.
Sysco (NYSE:SYY – Get Free Report) last announced its earnings results on Tuesday, August 4th. The company reported $1.53 EPS for the quarter, topping the consensus estimate of $1.51 by $0.02. Sysco had a net margin of 2.08% and a return on equity of 95.05%. The business had revenue of $22.12 billion during the quarter, compared to the consensus estimate of $21.95 billion. During the same quarter in the previous year, the firm posted $1.48 EPS. Sysco’s revenue was up 4.7% compared to the same quarter last year. Sysco has set its FY 2027 guidance at 5.025-5.117 EPS and its Q1 2027 guidance at 1.180-1.200 EPS. As a group, equities research analysts predict that Sysco Corporation will post 5.12 EPS for the current year. Sysco Dividend Announcement The company also recently declared a quarterly dividend, which will be paid on Friday, October 23rd. Investors of record on Friday, October 2nd will be paid a $0.55 dividend. The ex-dividend date is Friday, October 2nd. This represents a $2.20 annualized dividend and a yield of 2.7%. Sysco’s payout ratio is 60.11%.
Insider Buying and Selling In related news, EVP Ronald Phillips sold 7,350 shares of the company’s stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $83.61, for a total value of $614,533.50. Following the transaction, the executive vice president directly owned 38,650 shares in the company, valued at approximately $3,231,526.50. This represents a 15.98% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 14,508 shares of company stock valued at $1,215,250. Corporate insiders own 0.56% of the company’s stock.
Analysts Set New Price Targets A number of brokerages recently commented on SYY. Citigroup raised their price objective on shares of Sysco from $82.00 to $86.00 and gave the stock a “neutral” rating in a report on Wednesday, August 5th. Piper Sandler upped their target price on shares of Sysco from $77.00 to $84.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 5th. Melius Research cut Sysco from a “hold” rating to a “sell” rating in a report on Tuesday, July 7th. Weiss Ratings raised Sysco from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Wednesday, August 19th. Finally, Wall Street Zen lowered Sysco from a “buy” rating to a “hold” rating in a report on Sunday. Nine research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $89.50.
Get Our Latest Research Report on SYY
About Sysco (Free Report)
Sysco Corporation (NYSE:SYY) is a global foodservice distributor that supplies restaurants, health care and educational institutions, hospitality businesses, government facilities, and other customers. Its product portfolio includes fresh and frozen foods, meat and seafood, dairy products, produce, pantry staples, beverages, and specialty items, along with nonfood products such as kitchen equipment, cleaning supplies, and disposable serving products.
In addition to distribution, Sysco provides services designed to support foodservice operators, including menu planning, culinary consulting, merchandising assistance, supply-chain solutions, and business-management resources.
Featured Articles Five stocks we like better than Sysco Qualcomm’s Data Center Bet Looks More Real After Amazon’s AI Deal GE Aerospace’s $11.75B Deal Puts Howmet Aerospace in Focus Casey’s Post-Earnings Drop May Give Investors a Better Entry Into a Quality Retailer Sovereign AI: Palantir and Nebius Cut the Cloud Cord Want to see what other hedge funds are holding SYY? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Sysco Corporation (NYSE:SYY – Free Report).
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Sysco Corporation (SYY) Barclays 19th Annual Global Consumer Staples Conference September 9, 2026 12:00 PM EDT
Company Participants
Kevin Hourican - CEO & Chairman
Brandon Sewell - Interim Chief Financial Officer
Conference Call Participants
Jeffrey Bernstein
Presentation
Jeffrey Bernstein
Good afternoon, everyone. It is noon on day 2. So we're pushing into the back half of our conference here. We want to thank everyone for joining us here. Hopefully, people had a chance to grab some lunch or we'll do so afterwards.
My name is Jeff Bernstein, and I'm the Restaurant and Food service distribution analyst here at Barclays. We are thrilled to introduce our next presenting company, which is Sysco Corporation. With us on stage all the way from Houston, Texas. We have Kevin Hourican to my immediate right, who is the Chairman and CEO; and Brandon Sewell, who is the Interim CFO. By way of background, for those perhaps not familiar, Sysco distributes food and related products to the $380 billion roughly food service industry. The company has 335 or so distribution facilities around the world, serving 730,000 customer locations.
2027 guidance is for $90 billion in sales, up 6% to 7% year-on-year. And I should say their fiscal '27 began July 1. That's led by local case growth ultimately generating 9% to 11% EPS growth and all was reiterated this morning. So for those who did not see the 8-K that was published this morning, all fiscal '27 guidance was reiterated. In addition, this morning, Sysco noted that momentum to close fiscal '26, again, which ended in June has carried into early fiscal '27, which is very encouraging to hear.
And in addition to the fiscal '27 guidance reiteration, management raised their midterm guidance range for sales and EPS and introduced a target of at least $500 million of
HOUSTON, Sept. 09, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY) (“Sysco” or the “Company”) is reaffirming its fiscal 2027 financial guidance (originally issued on August 4, 2026) ahead of the Company’s webcast presentation from the Barclays 19th Annual Global Consumer Staples Conference in Boston scheduled for today, Wednesday, September 9, at 12:00 p.m. ET. The live conference webcast can be accessed at investors.sysco.com.
Re-affirming fiscal 2027 guidance including 9% to 11% adjusted EPS growth (on a 53 week basis)Introducing target of at least $500 million for AI powered efficiency to be realized by fiscal year 2029Raising mid-term guidance range for net sales growth of 4%-7% and adjusted EPS growth of 9%-11% in fiscal 2028 and fiscal 2029
In conjunction with this reaffirmation of guidance, Sysco also introduced a $500 million multi-year AI powered efficiency improvement program. The AI program will help remove structural cost from the business across the next three fiscal years. The program includes and builds upon the AI and technology enabled efficiency work the Company outlined on its fourth quarter earnings call, which identified $100 million of expected in-year savings included within fiscal 2027 guidance targets. These expected savings, in addition to the Company’s core business performance, will build over time and are expected to deliver meaningful adjusted EPS growth across the three year time horizon. All in, these actions provide confidence in raising the Company’s mid-term growth algorithm which now includes net sales growth of approximately 4%-7% (previously 4%-6%) and adjusted EPS growth of 9%-11% (previously 6%-8%).
“We finished fiscal 2026 with momentum, and that momentum has carried into the new year,” said Kevin Hourican, Sysco’s Chair of the Board and Chief Executive Officer. “The $500 million of AI powered efficiency improvement will deploy over the next three years. These savings reflect a durable change in how we execute our day-to-day business across truck routing, merchandising, and sales. As the leader in the industry, we are incredibly excited about raising the long-term growth algorithm across sales and adjusted EPS growth. Our technology transformation initiatives and recent Board appointments help to unlock the power of our industry-leading sales force to further strengthen the service levels our customers receive, accelerate the Company’s earnings profile for our shareholders, and position Sysco to delever quickly following the expected closure of the Jetro Restaurant Depot transaction by the third quarter of fiscal 2027.”
Sysco is reaffirming the following expectations for the fiscal year 2027, all of which reflect core Sysco on a standalone basis and include the benefit of the 53rd week:
Net sales growth of approximately 6% to 7%, to approximately $90 billion;Adjusted earnings per share of approximately $5.02 to $5.12, representing growth of approximately 9% to 11%; andExcluding the 53rd week, the midpoint of the Company’s adjusted EPS guidance sits at the high end of its long-term growth algorithm.
Sysco is also raising mid-term financial targets for fiscal year 2028 and 2029, all of which reflect core Sysco on a standalone basis:
Annualized net sales growth of approximately 4% to 7% (previously 4% to 6%)Annualized adjusted earnings per share growth of approximately 9% to 11% (previously 6% to 8%) Multi-Year AI Technology Transformation, Enabling Efficiency Improvement
Sysco is targeting at least $500 million of AI powered efficiency savings to be realized by fiscal 2029. For fiscal 2027, we remain on-target for the $100 million of in-year net cost savings previously introduced. Going forward, our overarching cost out efforts position Sysco to accelerate our savings on a multi-year basis. Additionally, the entire organization is aligned on these efforts as achievement of structural cost-out targets has been added to the Company’s long-term equity performance program.
The program is anchored in the following workstreams:
Supply chain productivity: routing software modernization, warehouse selector efficiency, and reduction in miles driven;Automation across merchandising and procurement, including strategic sourcing;Indirect spend management; andCustomer experience and back-office simplification About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 333 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 670,000 customer locations. The Company generated sales of more than $84 billion in fiscal year 2026 that ended June 27, 2026.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions. For more information, visit www.sysco.com. For important news and key information for Sysco investors, visit the Investor Relations section of the company’s website at investors.sysco.com.
SYY-INVESTORS
Forward-Looking Statements
Statements made in this press release include statements that are forward-looking or that express management’s beliefs, expectations or hopes and are forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements include, among other things, statements about our future financial performance and results, business strategy, plans, goals and objectives, and other statements that are not historical facts, including expectations regarding our future growth, including growth in sales and earnings per share, expectations regarding cost savings associated with AI, as well as statements about the expected timing and completion of the proposed transaction with Jetro Restaurant Depot and the anticipated benefits of such proposed transaction.
Such forward-looking statements reflect the views of management at the time such statements are made and are subject to a number of risks, uncertainties, estimates, and assumptions, including those outside of Sysco’s control. Risks and uncertainties include without limitation: the impact of geopolitical, economic and market conditions and developments, including changes in global trade policies and tariffs and foreign conflicts; risks related to our business initiatives; periods of significant or prolonged inflation or deflation and their impact on our product costs, volume, foot traffic, and profitability generally; risks related to our efforts to implement our transformation initiatives and meet our other long-term strategic objectives; risks of interruption of supplies and increase in product costs; risks related to changes in consumer eating habits; and impact of natural disasters or adverse weather conditions, public health crises, adverse publicity or lack of confidence in our products, and product liability claims as well as risks and uncertainties associated with our proposed transaction with Jetro Restaurant Depot, including but not limited to, the occurrence of any event, change or other circumstances that could give rise to the right of either or both parties to terminate the merger agreement; the risk that regulatory approvals may not be obtained or other closing conditions may not be satisfied in a timely manner or at all, as well as the risk that regulatory approvals are obtained subject to conditions that are not anticipated; the risk of other delays in closing the transaction; the possibility that any of the anticipated benefits and projected synergies of the transaction will not be realized or will not be realized within the expected time period; and the risk that the proposed transaction and its announcement could have an adverse effect on the market price of the common stock of Sysco. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those indicated in our forward-looking statements. Therefore, you should not place undue reliance on any of the forward-looking statements contained herein. For more information on these risks and other concerning factors that could cause actual results to differ from those expressed or forecasted, see our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC. We do not undertake to update our forward-looking statements, except as required by applicable law.
For more information contact: Kevin KimCassandra MauelInvestor ContactMedia [email protected]@sysco.comT 281-584-1219T 281-584-1390
Wall Street watches a company's quarterly report closely to understand as much as possible about its recent performance and what to expect going forward. Of course, one figure often stands out among the rest: earnings.
Life and the stock market are both about expectations, and rising above what is expected is often rewarded, while falling short can come with negative consequences. Investors might want to try to capture stronger returns by finding positive earnings surprises.
The ability to identify stocks that are likely to top quarterly earnings expectations can be profitable, but it's no simple task. Here at Zacks, our Earnings ESP filter helps make things easier.
The Zacks Earnings ESP, ExplainedThe Zacks Expected Surprise Prediction, or ESP, works by locking in on the most up-to-date analyst earnings revisions because they can be more accurate than estimates from weeks or even months before the actual release date. The thinking is pretty straightforward: analysts who provide earnings estimates closer to the report are likely to have more information.
The core of the ESP model is comparing the Most Accurate Estimate to the Zacks Consensus Estimate, where the resulting percentage difference between the two equals the Expected Surprise Prediction. The Zacks Rank is also factored into the ESP metric to better help find companies that appear poised to top their next bottom-line consensus estimate, which will hopefully help lift the stock price.
Bringing together a positive earnings ESP alongside a Zacks Rank #3 (Hold) or better has helped stocks report a positive earnings surprise 70% of the time. Furthermore, by using these parameters, investors have seen 28.3% annual returns on average, according to our 10 year backtest.
Most stocks, about 60%, fall into the #3 (Hold) category, and they are expected to perform in-line with the broader market. Stocks with a #2 (Buy) and #1 (Strong Buy) rating, or the top 15% and top 5% of stocks, respectively, should outperform the market, with Strong Buy stocks outperforming more than any other rank.
Should You Consider RH?The last thing we will do today, now that we have a grasp on the ESP and how powerful of a tool it can be, is to quickly look at a qualifying stock. RH (RH - Free Report) holds a #3 (Hold) at the moment and its Most Accurate Estimate comes in at $0.96 a share three days away from its upcoming earnings release on September 10, 2026.
RH has an Earnings ESP figure of +127.49%, which, as explained above, is calculated by taking the percentage difference between the $0.96 Most Accurate Estimate and the Zacks Consensus Estimate of $0.42. RH is one of a large database of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
RH is one of just a large database of Consumer Staples stocks with positive ESPs. Another solid-looking stock is Sysco (SYY - Free Report) .
Sysco, which is readying to report earnings on October 27, 2026, sits at a Zacks Rank #2 (Buy) right now. Its Most Accurate Estimate is currently $1.19 a share, and SYY is 50 days out from its next earnings report.
The Zacks Consensus Estimate for Sysco is $1.17, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of +1.90%.
RH and SYY's positive ESP metrics may signal that a positive earnings surprise for both stocks is on the horizon.
Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
A month has gone by since the last earnings report for Sysco (SYY - Free Report) . Shares have lost about 2.9% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Sysco due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
SYY Q4 Earnings Beat Estimates on Volume and Cost GainsSysco's fourth-quarter fiscal 2026 top and bottom lines increased year over year and came ahead of the respective Zacks Consensus Estimate. The company ended fiscal 2026 with positive case growth across its local, national and international businesses. Supply-chain productivity, improved Sysco Brand penetration and cost-saving actions supported profit growth, while investments in sales capacity continued.
Adjusted earnings were $1.53 per share, up 3.4% year over year, outpacing the Zacks Consensus Estimate of $1.51. Sales grew 4.7% to $22,124 million and beat the consensus mark of $21,921 million.
Sysco’s top line benefited from positive case growth across local and national customers in the United States, along with continued international gains. U.S. Foodservice volume increased 2.5%, while local volume advanced 2.6%.
Comparable sales on a constant-currency basis were $22,077 million, up 4.4% year over year. Foreign exchange added $47 million to total reported sales, including a $46-million benefit to International Foodservice Operations.
Gross profit increased 3.7% year over year to $4,134 million. Growth reflected higher volumes, improved mix from increased Sysco Brand penetration, strategic sourcing efficiencies and effective management of product costs. Product cost inflation was 2.8% at the total enterprise level, primarily reflecting higher costs in meat and fresh produce. Adjusted operating expenses increased 3.6% to $2,994 million as sales headcount and capacity investments were partly offset by cost-out efficiencies.
Adjusted operating income rose 4.1% to $1,140 million. Adjusted operating margin was 5.15%, down three basis points from the prior-year quarter as adjusted expense growth slightly outpaced the increase in gross profit. Adjusted EBITDA advanced 4.7% to $1,346 million, reflecting the benefit of operating productivity and continued business growth.
Sysco’s Segments Deliver Broad-Based Sales GrowthU.S. Foodservice Operations sales increased 4.4% to $15,406 million. Total case volume rose 2.5%, while local case volume advanced 2.6%. Gross profit grew 3% to $2,958 million, though gross margin contracted 26 basis points to 19.20%. Adjusted operating income edged up 0.1% to $1,059 million.
International Foodservice Operations sales climbed 6.7% to $4,191 million. On a constant-currency basis, sales increased 5.6% to $4,145 million. Gross margin expanded 12 basis points to 21.69%, while adjusted operating income jumped 15.7% to $228 million. Constant-currency adjusted operating income rose 14.7%.
SYGMA sales increased 3.1% to $2,231 million. Gross profit rose 2.9% to $175 million, while operating income advanced 11.1% to $30 million despite a two-basis-point decline in gross margin.
The Other segment generated sales of $296 million, up 2.8%. Gross margin expanded 273 basis points to 26.69%, while adjusted operating income increased 30% to $13 million.
SYY’s Cash Flow Supports Capital ReturnsFor fiscal 2026, cash flow from operations increased 5.1% to $2,638 million. Free cash flow rose 16.3% to $2,114 million, aided by lower additions to plant and equipment compared with the prior year. Sysco returned $1,237 million to shareholders through $1,037 million in dividends and $200 million in share repurchases. The company ended fiscal 2026 with cash and cash equivalents of $1,786 million and total liquidity of $4,800 million.
Sysco Issues Fiscal 2027 Growth GuidanceManagement introduced fiscal 2027 guidance, calling for sales growth of 6-7% and adjusted earnings growth of 9-11% on a 53-week basis. The outlook reflects expectations for continued positive momentum and further productivity gains. The guidance includes approximately $100 million in cost savings from AI-enabled inventory management, improved forecasting accuracy, coding efficiency, routing optimization and back-office automation. Sysco expects these initiatives and previously announced cost actions to support profit growth and operating-margin expansion.
How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a downward trend in estimates revision.
VGM ScoresCurrently, Sysco has a average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. However, the stock has a score of B on the value side, putting it in the second quintile for value investors.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions looks promising. Notably, Sysco has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.
Performance of an Industry PlayerSysco is part of the Zacks Food - Miscellaneous industry. Over the past month, Chefs' Warehouse (CHEF - Free Report) , a stock from the same industry, has gained 4.5%. The company reported its results for the quarter ended June 2026 more than a month ago.
Chefs' Warehouse reported revenues of $1.17 billion in the last reported quarter, representing a year-over-year change of +12.9%. EPS of $0.78 for the same period compares with $0.52 a year ago.
For the current quarter, Chefs' Warehouse is expected to post earnings of $0.61 per share, indicating a change of +22% from the year-ago quarter. The Zacks Consensus Estimate has changed +11.7% over the last 30 days.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #1 (Strong Buy) for Chefs' Warehouse. Also, the stock has a VGM Score of B.
Key Takeaways Sysco targets 6-7% fiscal 2027 sales growth and 9-11% adjusted earnings growth.SYY expects about $100M in fiscal 2027 cost savings as sourcing, routing and technology support margins.Sysco sees 2.5% local case growth, while traffic, inflation, pricing and Restaurant Depot risks remain. Sysco Corporation (SYY - Free Report) enters fiscal 2027 with a firmer growth outlook after ending fiscal 2026 with improving local case trends, productivity gains and continued International momentum. Management expects those drivers to support faster earnings growth.
The case is not one-sided. Cost growth, soft restaurant traffic, competitive pricing and uncertainty around the proposed Restaurant Depot transaction leave execution as the key test for investors.
Sysco's Fiscal 2027 Growth Case Is StrengtheningSysco expects fiscal 2027 sales growth of 6-7% to approximately $90 billion. Adjusted earnings are projected to increase 9-11%, with adjusted EPS of $5.02-$5.12.
That outlook builds on positive case growth exiting fiscal 2026 and further productivity gains. Excluding the benefit of a 53rd week, management expects earnings growth at the high end of its long-term growth algorithm despite a soft industry backdrop.
SYY's Margin Gains Depend on Cost ExecutionManagement expects about $100 million of in-year cost savings in fiscal 2027, representing roughly $160 million on a run-rate basis. Gross-margin expansion is also expected as sourcing, routing and technology initiatives contribute.
The hurdle is expense discipline. Full-year fiscal 2026 adjusted operating expenses increased 5.1%, faster than gross-profit growth of 4.5%, showing how continued investments in sales capacity and distribution infrastructure can limit operating leverage.
Sysco's Local and International Engines Add SupportU.S. local case growth improved from 0.5% in the first half of fiscal 2026 to 2.9% in the second half. Sysco expects about 2.5% local case growth in fiscal 2027, supported by customer wins, retention and deeper account penetration.
International adjusted operating income rose 15.7% in the fourth quarter, its 11th consecutive quarter of double-digit growth. US Foods Holding Corp. (USFD - Free Report) is a leading foodservice distributor serving about 250,000 customer locations, making it a relevant industry comparator.
Performance Food Group Company (PFGC - Free Report) is one of North America's largest food and foodservice distributors, providing another large-scale reference point for sector demand and execution.
Image Source: Zacks Investment Research
SYY's Valuation Leaves Room for DebateSYY trades at 16.0X forward 12-month earnings, modestly above the sub-industry's 15.1X multiple but below its five-year median of 16.7X. The stock also trades below the Consumer Staples sector's 17.2X and the S&P 500's 20.1X multiples.
That positioning does not make the shares obviously cheap, but it also leaves less evidence of an extended valuation. Investors are paying a slight premium to the sub-industry while getting a multiple below broader reference points.
Sysco Still Faces Traffic, Pricing and Deal RisksFiscal 2027 guidance assumes industry traffic remains broadly similar to fiscal 2026 and inflation runs around 1.5-2%. A weaker traffic environment or higher inflation could pressure case volumes and complicate margin targets.
Competitive pricing can also require Sysco to absorb some costs while it continues investing in service and capacity. Currency swings and the proposed Restaurant Depot transaction add uncertainty, with the FTC having issued a second request and Sysco still targeting a fiscal third-quarter 2027 closing.
SYY's Near-Term Signal Meets Mixed Style ScoresSysco's improving earnings outlook supports a more constructive view, but the margin, traffic and transaction risks argue for a measured approach rather than an aggressive entry. The stock currently carries a Zacks Rank #2 (Buy), which provides a favorable near-term earnings-revision signal. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Value Score of B is supportive for value-oriented investors, while the Growth Score of C and Momentum Score of D are less favorable. The VGM Score of C shows that the stock does not have broad A or B-level strength across value, growth and momentum, keeping the overall setup balanced.
Key Takeaways Sysco expects fiscal 2027 sales to grow 6-7% to about $90B, with adjusted EPS up 9-11%.AI-enabled inventory, forecasting, routing and automation are expected to deliver in-year savings of $100M.Sysco's plan assumes restaurant traffic stays broadly like fiscal 2026, while inflation runs about 1.5-2%. Sysco Corporation (SYY - Free Report) enters fiscal 2027 with a higher growth target and a clear efficiency mandate. Management is putting artificial intelligence (AI)-enabled productivity projects at the center of a plan designed to lift earnings faster than sales.
The question for investors is whether those savings can produce firmer margins while Sysco continues funding sales and distribution capacity and restaurant traffic remains soft. Execution on the $100 million cost program is therefore a key fiscal 2027 marker.
Sysco's 2027 Guidance Raises the Growth BarSysco expects fiscal 2027 sales to grow 6-7% to approximately $90 billion. Adjusted EPS is projected to increase 9-11% to $5.02-$5.12 on a 53-week basis.
The outlook represents a step-up from fiscal 2026, when sales rose 3.9% and adjusted EPS increased 3.4%. Excluding the extra week, management expects earnings growth at the high end of its long-term growth algorithm.
SYY's AI Savings Target a $100 Million BoostApproximately $100 million of in-year savings is expected from AI-enabled inventory management, better forecasting, coding efficiency, routing optimization and back-office automation. The identified actions amount to about $160 million on a run-rate basis.
Management said the $100 million is net of investment, with benefits expected to build through the year and be weighted toward the second half. That makes the pace of implementation as important as the headline savings target.
US Foods Holding Corp. (USFD - Free Report) , another major foodservice distributor, reported about a 2% improvement in cases per mile after completing a routing-system deployment. Performance Food Group Company (PFGC - Free Report) , another large North American distributor, says it is integrating AI into the processes while also flagging implementation risk around new technology.
Sysco's Supply Chain Gains Build on Q4 ProgressSysco's fourth-quarter results provide an operating base for the initiative. Adjusted operating income advanced 4.1% to $1.14 billion, while adjusted operating expenses fell 15 basis points as a percentage of sales to 13.5%.
Routing improvements also lifted on-time delivery performance by 10 points compared with customer promise windows. Management expects upgraded routing technology and other supply-chain projects to lower the cost to serve while improving service.
SYY's Growth Plan Still Depends on TrafficThe plan does not assume a restaurant recovery. Fiscal 2027 guidance is built on an industry traffic environment broadly similar to fiscal 2026, when restaurant foot traffic remained down year over year.
The outlook also assumes inflation of roughly 1.5-2%. If inflation runs higher or traffic weakens further, case-volume growth could slow and make Sysco's sales and margin targets harder to reach.
Image Source: Zacks Investment Research
Sysco's Investments Could Delay Margin PayoffSavings will also have to outrun continued spending. Sysco is investing in sales capacity and distribution infrastructure, costs that can absorb part of the benefit from sourcing, productivity and automation.
Fourth-quarter adjusted operating margin was 5.15%, down three basis points year over year. For full-year fiscal 2026, adjusted operating expenses rose 5.1%, faster than gross-profit growth of 4.5%, reinforcing why cost execution matters.
SYY's Near-Term Signal Meets Mixed Style ScoresThe fiscal 2027 setup points to faster earnings growth, but the payoff depends on converting planned AI savings into sustained operating leverage while demand remains subdued. Delivering the targets will require productivity gains to keep pace with investment and pricing pressures.
SYY currently carries a Zacks Rank #2 (Buy), a favorable near-term signal tied to earnings-estimate revisions. Its Value Score of B is supportive for value-focused investors, while the Growth Score of C and VGM Score of C are middling and the Momentum Score of D is weaker. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The combination leaves a mixed style profile around a favorable Zacks Rank. Investors focused on the AI theme may therefore want to watch evidence of cost savings and margin expansion rather than treating the guidance alone as confirmation of the payoff.
Bank of Nova Scotia bought a new stake in Sysco Corporation (NYSE:SYY – Free Report) in the 2nd quarter, according to its most recent filing with the SEC. The fund bought 50,280 shares of the company’s stock, valued at approximately $4,202,000.
Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Montag A & Associates Inc. lifted its holdings in Sysco by 1.4% during the fourth quarter. Montag A & Associates Inc. now owns 8,743 shares of the company’s stock valued at $644,000 after purchasing an additional 123 shares in the last quarter. United Community Bank increased its stake in shares of Sysco by 11.4% during the fourth quarter. United Community Bank now owns 1,224 shares of the company’s stock worth $90,000 after purchasing an additional 125 shares in the last quarter. First Citizens Bank & Trust Co. raised its position in shares of Sysco by 1.2% during the 4th quarter. First Citizens Bank & Trust Co. now owns 11,224 shares of the company’s stock worth $827,000 after purchasing an additional 138 shares during the last quarter. Diversify Wealth Management LLC lifted its stake in Sysco by 1.6% in the 4th quarter. Diversify Wealth Management LLC now owns 9,173 shares of the company’s stock valued at $698,000 after buying an additional 143 shares in the last quarter. Finally, Arax Advisory Partners lifted its stake in Sysco by 2.4% in the 4th quarter. Arax Advisory Partners now owns 6,222 shares of the company’s stock valued at $458,000 after buying an additional 145 shares in the last quarter. Institutional investors and hedge funds own 83.41% of the company’s stock.
Analyst Ratings Changes A number of research analysts have weighed in on SYY shares. Wall Street Zen lowered Sysco from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Morgan Stanley upped their target price on shares of Sysco from $84.00 to $88.00 and gave the stock an “equal weight” rating in a report on Thursday, July 16th. Sanford C. Bernstein decreased their price target on shares of Sysco from $90.00 to $85.00 and set a “market perform” rating on the stock in a research note on Wednesday, April 29th. Deutsche Bank Aktiengesellschaft lowered shares of Sysco from a “buy” rating to a “hold” rating and set a $84.00 price target on the stock. in a research report on Tuesday, April 28th. Finally, Piper Sandler upped their price objective on shares of Sysco from $77.00 to $84.00 and gave the company a “neutral” rating in a research note on Wednesday, August 5th. Nine investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $89.50.
View Our Latest Analysis on Sysco Insiders Place Their Bets In other news, EVP Ronald L. Phillips sold 506 shares of the firm’s stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $84.09, for a total transaction of $42,549.54. Following the transaction, the executive vice president directly owned 36,313 shares in the company, valued at approximately $3,053,560.17. This trade represents a 1.37% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 14,508 shares of company stock valued at $1,215,250 in the last three months. 0.56% of the stock is currently owned by insiders.
Sysco Price Performance Shares of SYY opened at $83.50 on Wednesday. The firm’s 50 day moving average price is $82.82 and its 200 day moving average price is $80.61. The company has a market cap of $40.01 billion, a P/E ratio of 22.81, a PEG ratio of 2.86 and a beta of 0.64. The company has a quick ratio of 0.77, a current ratio of 1.28 and a debt-to-equity ratio of 4.62. Sysco Corporation has a fifty-two week low of $68.19 and a fifty-two week high of $91.85.
Sysco (NYSE:SYY – Get Free Report) last announced its quarterly earnings data on Tuesday, August 4th. The company reported $1.53 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.51 by $0.02. The business had revenue of $22.12 billion during the quarter, compared to analysts’ expectations of $21.95 billion. Sysco had a return on equity of 95.05% and a net margin of 2.08%.The business’s quarterly revenue was up 4.7% compared to the same quarter last year. During the same quarter last year, the business posted $1.48 EPS. Sysco has set its FY 2027 guidance at 5.025-5.117 EPS and its Q1 2027 guidance at 1.180-1.200 EPS. On average, research analysts forecast that Sysco Corporation will post 5.12 earnings per share for the current fiscal year.
Sysco Announces Dividend The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 23rd. Shareholders of record on Friday, October 2nd will be paid a $0.55 dividend. The ex-dividend date is Friday, October 2nd. This represents a $2.20 dividend on an annualized basis and a yield of 2.6%. Sysco’s payout ratio is currently 60.11%.
Sysco Company Profile (Free Report)
Sysco Corporation (NYSE: SYY) is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.
Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.
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HOUSTON, Aug. 26, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY) today announced that the Company will webcast its presentation from the Barclays 19th Annual Global Consumer Conference on Wednesday, Sept. 9, at 12:00 p.m. ET.
The live webcast for the event can be accessed at investors.sysco.com. An archived replay of the webcast will be available shortly after the live event is completed.
For purposes of public disclosure, including this and future similar events, Sysco uses the investor relations section of its website, found at investors.sysco.com, as the primary channel for publishing key information to its investors, some of which may contain material and previously non-public information.
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 333 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 670,000 customer locations. The company generated sales of more than $84 billion in fiscal year 2026 that ended June 27, 2026.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions.
For more information, visit www.sysco.com. For important news and key information for Sysco investors, visit the Investor Relations section of the company’s website at investors.sysco.com.
For more information contact: Kevin KimCassandra MauelInvestor ContactMedia [email protected]@sysco.comT 281-584-1219T 281-584-1390
SYY-INVESTORS
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Stock to Watch: Sysco (SYY - Free Report) Headquartered in Houston, TX, Sysco Corporation, through its subsidiaries, markets and distributes a range of food and related products primarily to the foodservice, or food-away-from-home, industry. The company serves approximately 730,000 customer locations, including restaurants, health care and educational facilities, lodging establishments and other foodservice customers. Sysco operates 337 distribution centers across 10 countries and has approximately 75,000 colleagues. In fiscal 2025, the company generated sales of more than $81 billion.
SYY is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
It also boasts a Value Style Score of B thanks to attractive valuation metrics like a forward P/E ratio of 16.41; value investors should take notice.
For fiscal 2027, five analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.12 to $5.08 per share. SYY boasts an average earnings surprise of +1%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, SYY should be on investors' short list.
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Barrow Hanley Mewhinney & Strauss LLC acquired a new stake in Sysco Corporation (NYSE:SYY – Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor acquired 246,887 shares of the company’s stock, valued at approximately $20,635,000. Barrow Hanley Mewhinney & Strauss LLC owned about 0.05% of Sysco as of its most recent SEC filing.
Several other institutional investors and hedge funds have also recently modified their holdings of the stock. Lloyd Advisory Services LLC. purchased a new stake in shares of Sysco in the 4th quarter worth approximately $25,000. Motiv8 Investments LLC purchased a new position in Sysco during the 4th quarter worth $25,000. Sunbelt Securities Inc. increased its holdings in shares of Sysco by 87.6% during the first quarter. Sunbelt Securities Inc. now owns 364 shares of the company’s stock valued at $26,000 after acquiring an additional 170 shares in the last quarter. Torren Management LLC purchased a new position in shares of Sysco in the fourth quarter worth $27,000. Finally, Bard Associates Inc. acquired a new stake in Sysco during the 4th quarter worth about $27,000. Institutional investors own 83.41% of the company’s stock.
Wall Street Analysts Forecast Growth Several research firms have issued reports on SYY. UBS Group increased their price objective on shares of Sysco from $90.00 to $95.00 and gave the company a “buy” rating in a report on Wednesday, August 5th. Melius Research downgraded shares of Sysco from a “hold” rating to a “sell” rating in a research report on Tuesday, July 7th. Sanford C. Bernstein lowered their price objective on Sysco from $90.00 to $85.00 and set a “market perform” rating on the stock in a report on Wednesday, April 29th. Citigroup increased their target price on Sysco from $82.00 to $86.00 and gave the company a “neutral” rating in a report on Wednesday, August 5th. Finally, Piper Sandler boosted their price target on Sysco from $77.00 to $84.00 and gave the stock a “neutral” rating in a research report on Wednesday, August 5th. Nine investment analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $89.50.
Check Out Our Latest Stock Analysis on SYY Sysco News Roundup Here are the key news stories impacting Sysco this week:
Positive Sentiment: Sysco appointed Jason Murray, a former Amazon supply-chain technology executive, and Tom Ondrof, a former Aramark CFO, to its board effective September 1. Their expertise in artificial intelligence, logistics, foodservice, finance, and mergers could strengthen execution and governance. Sysco Announces Strategic Board Appointments and AI Transformation Initiatives Positive Sentiment: The company reiterated fiscal 2027 targets of 6%–7% revenue growth and 9%–11% adjusted EPS growth, including a planned $100 million AI-enabled cost-savings program. Sysco is also upgrading its technology committee to oversee the broader AI transformation. Sysco Gains After Highlighting Board Changes and AI Initiatives Positive Sentiment: D.E. Shaw reportedly owns more than $1 billion of Sysco stock and supports the AI strategy and pending Jetro Restaurant Depot acquisition. Its expected participation in the transaction’s capital raise signals institutional confidence in Sysco’s long-term plans. D.E. Shaw Owns More Than $1 Billion Stake in Sysco Positive Sentiment: Sysco declared a quarterly dividend of $0.55 per share, payable October 23 to shareholders of record October 2. The maintained payout provides income support and indicates continued confidence in cash generation. Sysco Declares Quarterly Dividend Payment Neutral Sentiment: Persistent food inflation and uncertainty around tariffs remain industry-wide considerations. Higher food costs can lift Sysco’s reported sales, but may pressure restaurant demand, customer margins, and Sysco’s profitability if costs cannot be passed through. Trump’s 90-Day Inflation Band-Aid Negative Sentiment: The Jetro Restaurant Depot acquisition still carries regulatory, financing, integration, and execution risks. Any delays, dilution, or failure to deliver expected synergies could weigh on SYY despite the positive strategic narrative. Insider Buying and Selling at Sysco In other news, Director John M. Hinshaw purchased 13,304 shares of the business’s stock in a transaction dated Tuesday, May 26th. The stock was acquired at an average price of $75.17 per share, with a total value of $1,000,061.68. Following the purchase, the director directly owned 40,200 shares of the company’s stock, valued at $3,021,834. This represents a 49.46% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, EVP Ronald L. Phillips sold 6,285 shares of the firm’s stock in a transaction on Monday, August 10th. The stock was sold at an average price of $83.94, for a total value of $527,562.90. Following the transaction, the executive vice president directly owned 39,970 shares of the company’s stock, valued at $3,355,081.80. The trade was a 13.59% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 0.56% of the company’s stock.
Sysco Stock Performance NYSE:SYY opened at $84.04 on Monday. Sysco Corporation has a fifty-two week low of $68.19 and a fifty-two week high of $91.85. The company has a 50 day moving average price of $82.65 and a 200 day moving average price of $80.63. The stock has a market capitalization of $40.23 billion, a P/E ratio of 22.96, a PEG ratio of 2.87 and a beta of 0.64. The company has a debt-to-equity ratio of 4.62, a quick ratio of 0.77 and a current ratio of 1.28.
Sysco (NYSE:SYY – Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The company reported $1.53 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.51 by $0.02. The business had revenue of $22.12 billion for the quarter, compared to analysts’ expectations of $21.95 billion. Sysco had a net margin of 2.08% and a return on equity of 95.05%. The business’s quarterly revenue was up 4.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.48 earnings per share. Sysco has set its FY 2027 guidance at 5.025-5.117 EPS and its Q1 2027 guidance at 1.180-1.200 EPS. Equities research analysts forecast that Sysco Corporation will post 5.12 EPS for the current year.
Sysco Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Friday, October 23rd. Shareholders of record on Friday, October 2nd will be given a dividend of $0.55 per share. This represents a $2.20 annualized dividend and a yield of 2.6%. The ex-dividend date is Friday, October 2nd. Sysco’s dividend payout ratio is presently 60.11%.
About Sysco (Free Report)
Sysco Corporation (NYSE: SYY) is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.
Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.
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Bank of New York Mellon Corp bought a new stake in shares of Sysco Corporation (NYSE:SYY – Free Report) in the second quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor bought 3,270,199 shares of the company’s stock, valued at approximately $273,323,000. Bank of New York Mellon Corp owned 0.68% of Sysco as of its most recent filing with the Securities and Exchange Commission.
Several other large investors also recently modified their holdings of the stock. Norges Bank acquired a new position in Sysco in the fourth quarter valued at about $542,780,000. Wellington Management Group LLP raised its position in shares of Sysco by 3,977.1% in the 3rd quarter. Wellington Management Group LLP now owns 4,711,376 shares of the company’s stock valued at $387,935,000 after buying an additional 4,595,819 shares in the last quarter. First Nebraska Trust Co bought a new stake in shares of Sysco during the 1st quarter worth approximately $156,697,000. Goldman Sachs Group Inc. lifted its holdings in shares of Sysco by 45.0% during the 4th quarter. Goldman Sachs Group Inc. now owns 5,651,682 shares of the company’s stock worth $416,472,000 after acquiring an additional 1,754,306 shares during the period. Finally, Royal Bank of Canada boosted its position in shares of Sysco by 128.7% during the 1st quarter. Royal Bank of Canada now owns 2,357,585 shares of the company’s stock worth $168,166,000 after acquiring an additional 1,326,600 shares in the last quarter. 83.41% of the stock is owned by institutional investors and hedge funds.
Insider Transactions at Sysco In other Sysco news, EVP Ronald L. Phillips sold 6,285 shares of the stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $83.94, for a total transaction of $527,562.90. Following the completion of the sale, the executive vice president directly owned 39,970 shares in the company, valued at approximately $3,355,081.80. This trade represents a 13.59% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director John M. Hinshaw bought 13,304 shares of the firm’s stock in a transaction that occurred on Tuesday, May 26th. The shares were acquired at an average cost of $75.17 per share, with a total value of $1,000,061.68. Following the purchase, the director directly owned 40,200 shares of the company’s stock, valued at $3,021,834. This trade represents a 49.46% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 0.56% of the stock is owned by company insiders.
Sysco News Roundup Here are the key news stories impacting Sysco this week: Positive Sentiment: Sysco appointed Jason Murray, a former Amazon supply-chain technology executive, and Tom Ondrof, a former Aramark CFO, to its board effective September 1. Their expertise in artificial intelligence, logistics, foodservice, finance, and mergers could strengthen execution and governance. Sysco Announces Strategic Board Appointments and AI Transformation Initiatives Positive Sentiment: The company reiterated fiscal 2027 targets of 6%–7% revenue growth and 9%–11% adjusted EPS growth, including a planned $100 million AI-enabled cost-savings program. Sysco is also upgrading its technology committee to oversee the broader AI transformation. Sysco Gains After Highlighting Board Changes and AI Initiatives Positive Sentiment: D.E. Shaw reportedly owns more than $1 billion of Sysco stock and supports the AI strategy and pending Jetro Restaurant Depot acquisition. Its expected participation in the transaction’s capital raise signals institutional confidence in Sysco’s long-term plans. D.E. Shaw Owns More Than $1 Billion Stake in Sysco Positive Sentiment: Sysco declared a quarterly dividend of $0.55 per share, payable October 23 to shareholders of record October 2. The maintained payout provides income support and indicates continued confidence in cash generation. Sysco Declares Quarterly Dividend Payment Neutral Sentiment: Persistent food inflation and uncertainty around tariffs remain industry-wide considerations. Higher food costs can lift Sysco’s reported sales, but may pressure restaurant demand, customer margins, and Sysco’s profitability if costs cannot be passed through. Trump’s 90-Day Inflation Band-Aid Negative Sentiment: The Jetro Restaurant Depot acquisition still carries regulatory, financing, integration, and execution risks. Any delays, dilution, or failure to deliver expected synergies could weigh on SYY despite the positive strategic narrative. Sysco Stock Performance Shares of SYY stock opened at $84.04 on Friday. The business’s 50-day moving average price is $82.65 and its 200-day moving average price is $80.64. Sysco Corporation has a 12 month low of $68.19 and a 12 month high of $91.85. The company has a current ratio of 1.28, a quick ratio of 0.77 and a debt-to-equity ratio of 4.62. The firm has a market capitalization of $40.23 billion, a price-to-earnings ratio of 22.96, a PEG ratio of 2.88 and a beta of 0.64.
Sysco (NYSE:SYY – Get Free Report) last posted its earnings results on Tuesday, August 4th. The company reported $1.53 EPS for the quarter, topping the consensus estimate of $1.51 by $0.02. Sysco had a net margin of 2.08% and a return on equity of 95.05%. The business had revenue of $22.12 billion for the quarter, compared to the consensus estimate of $21.95 billion. During the same period last year, the company earned $1.48 EPS. The firm’s revenue was up 4.7% compared to the same quarter last year. Sysco has set its FY 2027 guidance at 5.025-5.117 EPS and its Q1 2027 guidance at 1.180-1.200 EPS. Equities research analysts forecast that Sysco Corporation will post 5.12 EPS for the current year.
Sysco Announces Dividend The business also recently declared a quarterly dividend, which will be paid on Friday, October 23rd. Stockholders of record on Friday, October 2nd will be paid a $0.55 dividend. The ex-dividend date of this dividend is Friday, October 2nd. This represents a $2.20 annualized dividend and a dividend yield of 2.6%. Sysco’s dividend payout ratio is presently 60.11%.
Analysts Set New Price Targets SYY has been the topic of a number of recent analyst reports. Weiss Ratings raised shares of Sysco from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Wednesday. Morgan Stanley raised their target price on Sysco from $84.00 to $88.00 and gave the company an “equal weight” rating in a report on Thursday, July 16th. Sanford C. Bernstein lowered their price target on Sysco from $90.00 to $85.00 and set a “market perform” rating for the company in a report on Wednesday, April 29th. Barclays reduced their price objective on Sysco from $92.00 to $86.00 and set an “overweight” rating on the stock in a research note on Wednesday, April 29th. Finally, Melius Research downgraded Sysco from a “hold” rating to a “sell” rating in a research note on Tuesday, July 7th. Nine equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $89.50.
Read Our Latest Stock Analysis on SYY
Sysco Profile (Free Report)
Sysco Corporation (NYSE: SYY) is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.
Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.
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HOUSTON, Aug. 20, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY) today announced that the Board of Directors declared a quarterly cash dividend of $0.55 per share, payable on October 23, 2026, to common stockholders of record at the close of business on October 2, 2026.
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 333 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 670,000 customer locations. The company generated sales of more than $84 billion in fiscal year 2026 that ended June 27, 2026.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions.
For more information, visit www.sysco.com. For important news and key information for Sysco investors, visit the Investor Relations section of the company’s website at investors.sysco.com.
For more information contact:
Kevin KimCassandra MauelInvestor ContactMedia [email protected]@sysco.comT 281-584-1219T 281-584-1390 SYY-INVESTORS
Appoints Two New Directors with Expertise in AI, Innovation, Supply Chain Management, Foodservice Distribution
Enhances Board Governance to Accelerate Innovation and Oversee Execution of AI Transformation Initiatives
Building on the Strong, Positive Momentum in its Core Business, Sysco Reiterates its Commitment to Realizing AI-Driven Efficiencies
HOUSTON, Aug. 20, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY), the global leader in foodservice distribution, today announced a series of strategic business and corporate governance initiatives, including two new appointments to its Board of Directors, designed to accelerate its enterprise-wide artificial intelligence (AI) transformation, enhance operational performance, and drive long-term shareholder value.
Building on strong momentum and operating performance across its business, Sysco recently announced fiscal 2027 guidance of 6% to 7% revenue growth and 9% to 11% adjusted earnings per share growth, on a 53-week basis, announced on August 4, 2026. At the midpoint, projected earnings growth is at the high end of the Company's long-term financial targets. Included in the outlook is a $100 million cost-savings program enabled by AI-driven process improvements, automation initiatives, and operating efficiencies. These initiatives are expected to continue enhancing customer service, improving productivity across the organization, and expanding operating margins.
"Sysco is uniquely positioned to leverage artificial intelligence to further strengthen our industry leadership, enhance customer service, and improve operating performance," said Kevin Hourican, Chair of the Board and Chief Executive Officer. "We are making deliberate investments in technology, governance, and talent to accelerate our AI transformation and unlock value for our shareholders.”
Adding New Talent to the Board with Artificial Intelligence and Industry Expertise
Sysco today announced the election of two new directors, Jason Murray and Tom Ondrof, effective September 1, 2026. As part of its annual governance process and informed by feedback received during the Company’s annual shareholder engagement process, the Board conducted a robust director search and selected two accomplished executives whose experience will further strengthen the Board's capabilities in AI, technology innovation, foodservice distribution, and supply chain management. With the addition of the two directors, Sysco increased its Board size to 13 directors, effective September 1, 2026.
Jason Murray, Co-Founder and Chief Executive Officer of Shipium Corp., brings nearly three decades of leadership experience spanning technology, e-commerce, logistics, fulfillment, and supply chain optimization. During his 19-year tenure at Amazon, Mr. Murray served in leadership positions of increasing responsibility, ultimately holding Vice President roles overseeing supply chain optimization technology as well as retail systems and services. When data science emerged as a viable transformation agent to supply chains, he spearheaded development and deployment of Amazon’s core supply chain data science technology. As founder and CEO of Shipium, he has helped leading retailers and distribution businesses leverage AI, automation, and advanced fulfillment technologies to improve customer experience and operational performance.
Mr. Murray will serve on Sysco's Artificial Intelligence Transformation & Technology Committee.
Thomas “Tom” Ondrof, former Executive Vice President and Chief Financial Officer of Aramark Corporation, brings more than 30 years of executive leadership experience across the foodservice distribution and business services industries. Throughout his leadership roles at Aramark, Performance Food Group, and Compass Group, Mr. Ondrof developed deep expertise in finance, capital allocation, strategic planning, mergers and acquisitions, investor relations, and enterprise risk management. He has led large-scale financial and operational organizations, overseen significant acquisition and integration activities, and driven transformational business initiatives across complex organizations.
Mr. Ondrof will serve on Sysco's Audit Committee.
Strengthening Board Oversight of Artificial Intelligence
Sysco's Board of Directors has also approved the evolution of its Technology Committee into the Artificial Intelligence Transformation & Technology Committee. This Committee has begun meeting monthly with management to accelerate the adoption of AI-enabled capabilities and ensure effective execution of the Company's enterprise AI transformation agenda. The Committee will continue overseeing technology strategy.
"We are thrilled to welcome Jason and Tom to our Board. Jason brings exceptional experience leading technology-driven supply chain innovation and AI-enabled transformation at scale, while Tom offers deep foodservice expertise and a distinguished track record of financial leadership. Together, they will strengthen our Board as we execute against our long-term growth and profitability objectives," added Hourican.
Continuing Collaboration with Shareholders, Including the D. E. Shaw Group
Sysco maintains an ongoing dialogue with shareholders as part of its commitment to strong corporate governance and long-term value creation, regularly soliciting feedback to enhance shareholder value. Sysco has benefitted from its long-standing relationship with the D. E. Shaw group, which has been an investor in the Company for more than a decade. The firm has supported Sysco's efforts to accelerate AI-driven transformation by facilitating introductions to leading technology providers, industry experts, and highly qualified director candidates.
The firm has expressed confidence in Sysco's strategy, including the value creation opportunities associated with the Company's pending acquisition of Jetro Restaurant Depot (“JRD”). In support of the JRD acquisition, the D. E. Shaw group currently expects to be a participant in the capital raise for the upcoming transaction.
"We value the perspectives we receive from our shareholders and appreciate the D. E. Shaw group's continued confidence in Sysco as we advance our transformation strategy," said Hourican. "Their engagement has helped us broaden our access to leading technology capabilities and strategic perspectives that are accelerating our ability to deploy practical AI solutions across the enterprise and deliver meaningful operational improvements."
“Today's changes, combined with Sysco's strong market position and attractive business model, position the Company to create sustainable value through AI-driven transformation," said Michael O'Mary, Managing Director at D. E. Shaw & Co., L.P. "We are encouraged by Sysco's increased focus on AI-enabled operational improvement and by the addition of two highly qualified directors. Messrs. Murray and Ondrof bring expertise well-suited to help the management team, Board, and AI Transformation & Technology Committee capitalize on the opportunity to deploy AI across Sysco's business. As long-term shareholders, we are excited to partner with Sysco in support of its AI transformation and confident in the value creation opportunities ahead, including the Restaurant Depot acquisition.”
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 333 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 670,000 customer locations. The company generated sales of more than $84 billion in fiscal year 2026 that ended June 27, 2026.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions.
For more information, visit www.sysco.com. For important news and key information for Sysco investors, visit the Investor Relations section of the company’s website at investors.sysco.com.
Forward-Looking Statements
Statements made in this press release include statements that are forward-looking or that express management’s beliefs, expectations or hopes and are forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements include, among other things, statements about our future financial performance and results, business strategy, plans, goals and objectives, including the potential benefits of cost-savings driven by AI and the potential benefits of the JRD Acquisition. Such forward-looking statements reflect the views of management at the time such statements are made and are subject to a number of risks, uncertainties, estimates, and assumptions, including those outside of Sysco’s control. Risks and uncertainties include without limitation: the impact of geopolitical, economic and market conditions and developments, including changes in global trade policies and tariffs and foreign conflicts; risks related to our business initiatives; periods of significant or prolonged inflation or deflation and their impact on our product costs, volume, foot traffic, and profitability generally; risks related to our efforts to implement our transformation initiatives and meet our other long-term strategic objectives; risks of interruption of supplies and increase in product costs; risks related to changes in consumer eating habits; and impact of natural disasters or adverse weather conditions, public health crises, adverse publicity or lack of confidence in our products, and product liability claims as well as risks and uncertainties associated with our proposed transaction with JRD, including but not limited to, the occurrence of any event, change or other circumstances that could give rise to the right of either or both parties to terminate the merger agreement; the risk that regulatory approvals may not be obtained or other closing conditions may not be satisfied in a timely manner or at all, as well as the risk that regulatory approvals are obtained subject to conditions that are not anticipated; the risk of other delays in closing the transaction; the possibility that any of the anticipated benefits and projected synergies of the transaction will not be realized or will not be realized within the expected time period; and the risk that the proposed transaction and its announcement could have an adverse effect on the market price of the common stock of Sysco. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those indicated in our forward-looking statements. Therefore, you should not place undue reliance on any of the forward-looking statements contained herein. For more information on these risks and other concerning factors that could cause actual results to differ from those expressed or forecasted, see our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC. We do not undertake to update our forward-looking statements, except as required by applicable law.
For more information contact: Kevin KimCassandra MauelInvestor ContactMedia [email protected]@sysco.comT 281-584-1219T 281-584-1390 SYY-INVESTORS
Sysco is attractively valued at a forward P/E of 16.1, well below its historical average, and offers a 2.7% dividend yield. SYY's planned $29B acquisition of Jetro Restaurant Depot is expected to be EPS-accretive, expanding its reach among value-focused local restaurants. Management guides for 6–7% net sales growth and 9–11% adjusted EPS growth in FY 2027, supported by AI-driven sales tools and supply chain efficiencies.
Baxter Bros Inc. acquired a new position in Sysco Corporation (NYSE: SYY) in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund acquired 23,700 shares of the company's stock, valued at approximately $1,981,000. Other institutional investors have also added to or reduced their stakes
Focus Partners Advisor Solutions LLC acquired a new position in Sysco Corporation (NYSE: SYY) during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund acquired 17,549 shares of the company's stock, valued at approximately $1,467,000. A number of other institutional investors and hedge funds have
Sysco (NYSE:SYY) reported fourth-quarter fiscal 2026 results that exceeded its prior expectations for adjusted earnings per share and U.S. foodservice volumes, citing accelerating local customer growth, supply-chain productivity gains and early benefits from efficiency initiatives.
Chief Executive Officer Kevin Hourican said the company generated more than $22 billion in quarterly revenue, up 4.7% from the prior-year period, while adjusted earnings per share reached $1.53. For the full fiscal year, Sysco reported adjusted EPS of $4.61, above its previously provided guidance range.
“Our business momentum accelerated on a two-year stack basis,” Hourican said, adding that the company expects that momentum to continue into fiscal 2027.
Local, National and International Volumes Rise Sysco’s U.S. Foodservice, or USFS, local case volumes increased 2.6% in the fourth quarter. The company said local case growth improved 130 basis points sequentially on a two-year stacked basis, with June representing the strongest month of the quarter on both a one- and two-year basis.
Local case growth was 0.5% in the first half of fiscal 2026 and 2.9% in the second half, according to Hourican. He attributed the improvement to better sales-colleague retention and productivity, as well as targeted growth programs including Sysco Your Way, Perks 2.0 and the company’s AI 360 sales tool.
Sysco said AI 360 is intended to identify selling opportunities, including opportunities to convert customers to Sysco Brand products. The company’s independent customer business grew faster than the overall industry as it exited the fiscal year, Hourican said.
Sysco Brand mix in the local business rose 30 basis points year over year to 46.4% in the fourth quarter. Sales of the company’s value-tier items grew four times faster than its overall business, which Hourican said represented new cases from customers previously purchasing comparable products from competitors.
National contract case volume also rose 2.6%, supported by growth in healthcare, travel and hospitality, and foodservice management. That growth was partly offset by industrywide softness in national restaurant traffic. Sysco said it expects positive national contract volume growth in fiscal 2027, despite continued pressure on restaurant foot traffic.
International local case volume grew 4.5%, while international sales increased 6.7%, gross profit rose 7.3% and adjusted operating income increased 15.7%. The quarter marked Sysco’s 11th consecutive quarter of double-digit adjusted operating-income growth in its international segment.
Profit Growth and Supply-Chain Productivity Quarterly gross profit increased 3.7% to $4.1 billion, although gross margin declined 17 basis points to 18.7%. Interim Chief Financial Officer Brandon Sewell said gross-margin comparisons were affected by unusually large strategic-sourcing benefits in the prior-year fourth quarter and higher fuel costs during the latest period.
Adjusted operating expenses grew 3.6%, slower than gross profit and revenue. Adjusted operating income increased 4.1% to $1.1 billion, and adjusted EBITDA rose 4.7% to $1.3 billion.
The company said warehouse and delivery operations achieved their productivity targets for the year. On-time delivery performance improved by 10 percentage points versus customer promise windows during the fourth quarter, while routing initiatives lowered cost to serve. Sysco also reported its third consecutive year of reducing miles driven and improving pieces per mile.
For fiscal 2026, free cash flow rose 16.3% to $2.1 billion. Sysco ended the quarter with a net debt leverage ratio of 2.7 times. The company paid $1 billion in dividends during the year and repurchased $200 million in shares before suspending annual repurchases in connection with its planned Restaurant Depot transaction.
Fiscal 2027 Outlook Includes Extra Week and Cost Savings Sysco’s fiscal 2027 outlook is based on the standalone business and includes a 53rd week. The company expects net sales growth of approximately 6% to 7%, reaching roughly $90 billion, including about 1.5% to 2% inflation and roughly 2% growth from the additional week.
USFS local case growth of approximately 2.5%. Adjusted EPS growth of 9% to 11%, or approximately $5.02 to $5.12 per share. First-quarter adjusted EPS of approximately $1.18 to $1.20. Approximately $100 million of in-year cost savings, representing about $160 million on a run-rate basis. About $1 billion in dividends and continued double-digit profit growth in the international segment. Management said the cost-savings program includes AI-enabled projects across sales, merchandising, supply chain and back-office operations. Sewell said savings will begin toward the end of the first quarter and be weighted toward the second half of the year, with a greater contribution from USFS.
Hourican said the company’s work includes upgraded routing software, improved inventory forecasting, technology tools for indirect procurement and AI-assisted contract management. He said the initiatives are intended to improve customer service while reducing administrative work and structural operating costs.
Restaurant Depot Deal Remains Targeted for Third Quarter Sysco reiterated that it expects to close its acquisition of Restaurant Depot by the third quarter of fiscal 2027. The company received a second request from the Federal Trade Commission during the quarter, which Hourican said was expected.
Management said the transaction is expected to produce $250 million of cost synergies through procurement and expand the Restaurant Depot format to more than 125 new geographies over time. Sysco also said it does not intend to raise prices at Restaurant Depot stores and believes combined purchasing and supply-chain capabilities could strengthen the retailer’s value offering.
Restaurant Depot leadership told Sysco that sales grew approximately 4% in its most recently completed calendar quarter, with operating margins in line with expectations, according to Hourican.
Sysco said it remains focused on preserving cash, improving working capital and reducing debt after the transaction. In June, the company added $2 billion of interest-rate hedges related to transaction financing. Management said excess cash flow generated through efficiency improvements will be directed toward faster deleveraging.
About Sysco (NYSE:SYY) Sysco Corporation (NYSE: SYY) is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.
Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.
3 Defensive Stock Alternatives to Bonds If Interest Rates DropSysco NYSE: SYY reported fourth-quarter fiscal 2026 results that exceeded its prior expectations for adjusted earnings per share and U.S. foodservice volumes, citing accelerating local customer growth, supply-chain productivity gains and early benefits from efficiency initiatives.
Chief Executive Officer Kevin Hourican said the company generated more than $22 billion in quarterly revenue, up 4.7% from the prior-year period, while adjusted earnings per share reached $1.53. For the full fiscal year, Sysco reported adjusted EPS of $4.61, above its previously provided guidance range.
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Today’s market could make Sysco stock break out, will it?“Our business momentum accelerated on a two-year stack basis,” Hourican said, adding that the company expects that momentum to continue into fiscal 2027.
Local, National and International Volumes Rise Sysco’s U.S. Foodservice, or USFS, local case volumes increased 2.6% in the fourth quarter. The company said local case growth improved 130 basis points sequentially on a two-year stacked basis, with June representing the strongest month of the quarter on both a one- and two-year basis.
Are defensive sectors ready to outshine growth in 2024?Local case growth was 0.5% in the first half of fiscal 2026 and 2.9% in the second half, according to Hourican. He attributed the improvement to better sales-colleague retention and productivity, as well as targeted growth programs including Sysco Your Way, Perks 2.0 and the company’s AI 360 sales tool.
Sysco said AI 360 is intended to identify selling opportunities, including opportunities to convert customers to Sysco Brand products. The company’s independent customer business grew faster than the overall industry as it exited the fiscal year, Hourican said.
Sysco Brand mix in the local business rose 30 basis points year over year to 46.4% in the fourth quarter. Sales of the company’s value-tier items grew four times faster than its overall business, which Hourican said represented new cases from customers previously purchasing comparable products from competitors.
National contract case volume also rose 2.6%, supported by growth in healthcare, travel and hospitality, and foodservice management. That growth was partly offset by industrywide softness in national restaurant traffic. Sysco said it expects positive national contract volume growth in fiscal 2027, despite continued pressure on restaurant foot traffic.
International local case volume grew 4.5%, while international sales increased 6.7%, gross profit rose 7.3% and adjusted operating income increased 15.7%. The quarter marked Sysco’s 11th consecutive quarter of double-digit adjusted operating-income growth in its international segment.
Profit Growth and Supply-Chain Productivity Quarterly gross profit increased 3.7% to $4.1 billion, although gross margin declined 17 basis points to 18.7%. Interim Chief Financial Officer Brandon Sewell said gross-margin comparisons were affected by unusually large strategic-sourcing benefits in the prior-year fourth quarter and higher fuel costs during the latest period.
Adjusted operating expenses grew 3.6%, slower than gross profit and revenue. Adjusted operating income increased 4.1% to $1.1 billion, and adjusted EBITDA rose 4.7% to $1.3 billion.
The company said warehouse and delivery operations achieved their productivity targets for the year. On-time delivery performance improved by 10 percentage points versus customer promise windows during the fourth quarter, while routing initiatives lowered cost to serve. Sysco also reported its third consecutive year of reducing miles driven and improving pieces per mile.
For fiscal 2026, free cash flow rose 16.3% to $2.1 billion. Sysco ended the quarter with a net debt leverage ratio of 2.7 times. The company paid $1 billion in dividends during the year and repurchased $200 million in shares before suspending annual repurchases in connection with its planned Restaurant Depot transaction.
Fiscal 2027 Outlook Includes Extra Week and Cost Savings Sysco’s fiscal 2027 outlook is based on the standalone business and includes a 53rd week. The company expects net sales growth of approximately 6% to 7%, reaching roughly $90 billion, including about 1.5% to 2% inflation and roughly 2% growth from the additional week.
USFS local case growth of approximately 2.5%. Adjusted EPS growth of 9% to 11%, or approximately $5.02 to $5.12 per share. First-quarter adjusted EPS of approximately $1.18 to $1.20. Approximately $100 million of in-year cost savings, representing about $160 million on a run-rate basis. About $1 billion in dividends and continued double-digit profit growth in the international segment. Management said the cost-savings program includes AI-enabled projects across sales, merchandising, supply chain and back-office operations. Sewell said savings will begin toward the end of the first quarter and be weighted toward the second half of the year, with a greater contribution from USFS.
Hourican said the company’s work includes upgraded routing software, improved inventory forecasting, technology tools for indirect procurement and AI-assisted contract management. He said the initiatives are intended to improve customer service while reducing administrative work and structural operating costs.
Restaurant Depot Deal Remains Targeted for Third Quarter Sysco reiterated that it expects to close its acquisition of Restaurant Depot by the third quarter of fiscal 2027. The company received a second request from the Federal Trade Commission during the quarter, which Hourican said was expected.
Management said the transaction is expected to produce $250 million of cost synergies through procurement and expand the Restaurant Depot format to more than 125 new geographies over time. Sysco also said it does not intend to raise prices at Restaurant Depot stores and believes combined purchasing and supply-chain capabilities could strengthen the retailer’s value offering.
Restaurant Depot leadership told Sysco that sales grew approximately 4% in its most recently completed calendar quarter, with operating margins in line with expectations, according to Hourican.
Sysco said it remains focused on preserving cash, improving working capital and reducing debt after the transaction. In June, the company added $2 billion of interest-rate hedges related to transaction financing. Management said excess cash flow generated through efficiency improvements will be directed toward faster deleveraging.
About Sysco (NYSE:SYY)Sysco Corporation NYSE: SYY is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.
Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.
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Stock to Watch: Sysco (SYY - Free Report) Headquartered in Houston, TX, Sysco Corporation, through its subsidiaries, markets and distributes a range of food and related products primarily to the foodservice, or food-away-from-home, industry. The company serves approximately 730,000 customer locations, including restaurants, health care and educational facilities, lodging establishments and other foodservice customers. Sysco operates 337 distribution centers across 10 countries and has approximately 75,000 colleagues. In fiscal 2025, the company generated sales of more than $81 billion.
SYY is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Momentum investors should take note of this Consumer Staples stock. SYY has a Momentum Style Score of A, and shares are up 2.8% over the past four weeks.
For fiscal 2027, four analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.07 to $5.04 per share. SYY boasts an average earnings surprise of +1%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, SYY should be on investors' short list.
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.
The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
#1 (Strong Buy) stocks have produced an unmatched +23.94% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Sysco (SYY - Free Report) Headquartered in Houston, TX, Sysco Corporation, through its subsidiaries, markets and distributes a range of food and related products primarily to the foodservice, or food-away-from-home, industry. The company serves approximately 730,000 customer locations, including restaurants, health care and educational facilities, lodging establishments and other foodservice customers. Sysco operates 337 distribution centers across 10 countries and has approximately 75,000 colleagues. In fiscal 2025, the company generated sales of more than $81 billion.
SYY is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
It also boasts a Value Style Score of B thanks to attractive valuation metrics like a forward P/E ratio of 16.85; value investors should take notice.
Two analysts revised their earnings estimate higher in the last 60 days for fiscal 2027, while the Zacks Consensus Estimate has increased $0.03 to $5.00 per share. SYY also boasts an average earnings surprise of +1%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, SYY should be on investors' short list.
Revenue: Total revenue exceeded $22 billion, a growth rate of 4.7%.Adjusted EPS: $1.53 for the quarter, ahead of expectations; $4.61 for the full year, above gu
Item 1 of 2 Taylor Farms products are displayed for sale, amid reports of slumping consumer confidence in lettuce and other fresh produce during the current cyclosporiasis outbreak that has sickened thousands across the U.S., at a grocery store in Washington, D.C., U.S., July 24, 2026. REUTERS/Nathan Howard/File Photo
[1/2]Taylor Farms products are displayed for sale, amid reports of slumping consumer confidence in lettuce and other fresh produce during the current cyclosporiasis outbreak that has sickened thousands... Purchase Licensing Rights, opens new tab Read more
CHICAGO, Aug 4 (Reuters) - Sysco (SYY.N), opens new tab, the biggest U.S. food distributor, has stopped buying iceberg lettuce from Taylor Farms and from Mexico due to the U.S. cyclosporiasis outbreak, CEO Kevin Hourican said on Tuesday.
An investigation by the U.S. Food and Drug Administration has linked the outbreak to iceberg lettuce served at Taco Bell restaurants and sourced from privately held Taylor Farms operations in central Mexico. However, authorities are still looking for other potential sources.
Keep up with the latest medical breakthroughs and healthcare trends with the Reuters Health Rounds newsletter. Sign up here.
"We're not buying iceberg lettuce from them, and we're not buying it from Mexico," Hourican said in an interview. "To the degree that we can further diversify our procurement, that is something we're actively working on."
In mid July, Sysco halted sales and distribution of Taylor Farms iceberg lettuce from Mexico. Sysco did a voluntary recall at the time and then Taylor Farms notified the distributor of the official recall, Hourican said.
Last week, former FDA Commissioner Scott Gottlieb said some large retailers and restaurants were shunning produce from other growers in central Mexico out of fear about broader contamination of the region's farms.
"We've changed country and geography of origin, and we're obviously communicating actively with our customers about the state of play here," Hourican said.
Reporting by Tom Polansek; Editing by Lisa Shumaker and Sanjeev Miglani
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Tom has been a journalist for Reuters in Chicago since 2011. He writes primarily about food and agriculture, and has reported on disruptions to global fertilizer and grain supplies from Russia's invasion of Ukraine. He also covers U.S. livestock production and meatpacking companies including Tyson Foods, Smithfield Foods and JBS. Tom was part of a team of reporters that Reuters named as Journalists of the Year in 2016 for coverage of Monsanto. He also won awards from the North American Agricultural Journalists.
Sysco Corporation (SYY) Q4 2026 Earnings Call August 4, 2026 10:00 AM EDT
Company Participants
Kevin Kim - Vice President of Investor Relations
Kevin Hourican - CEO & Chairman
Brandon Sewell - Interim Chief Financial Officer
Conference Call Participants
Kelly Bania - BMO Capital Markets Equity Research
Edward Kelly - Wells Fargo Securities, LLC, Research Division
Lauren Silberman - Deutsche Bank AG, Research Division
John Heinbockel - Guggenheim Securities, LLC, Research Division
John Ivankoe - JPMorgan Chase & Co, Research Division
Mark Carden - UBS Investment Bank, Research Division
Brian Harbour - Morgan Stanley, Research Division
Presentation
Operator
Welcome to Sysco's Fourth Quarter Fiscal Year 2026 Conference Call. We will begin today's presentation with opening remarks and introductions. I would like to turn the call over to Kevin Kim, Vice President of Investor Relations. Please go ahead.
Kevin Kim
Vice President of Investor Relations
Good morning, everyone, and welcome to Sysco's Fourth Quarter Fiscal Year 2026 Earnings Call. On today's call, we have Kevin Hourican, our Chair of the Board and CEO; and Brandon Sewell, our Interim CFO. Before we begin, please note that statements made during this presentation that state the company's or management's intentions, beliefs, expectations or predictions of the future are forward-looking statements within the meaning of the Private Securities Litigation Reform Act, and actual results could differ in a material manner.
Additional information about factors that could cause results to differ from those in the forward-looking statements is contained in the company's SEC filings. This includes, but is not limited to, risk factors contained in our annual report on Form 10-K for the year ended June 28, 2025, subsequent SEC filings and in the news release issued earlier this morning. A copy of these materials can be found in the Investors section at sysco.com.
Non-GAAP financial measures are included in our company's -- in
Key Takeaways Sysco's Q4 sales rose 4.7% to $22.1B, while adjusted earnings increased 3.4% to $1.53 per share. U.S. Foodservice volume grew 2.5%, while International adjusted operating income jumped 15.7%. Sysco projects fiscal 2027 sales growth of 6-7% and adjusted earnings growth of 9-11%. Sysco Corporation’s (SYY - Free Report) fourth-quarter fiscal 2026 top and bottom lines increased year over year and came ahead of the respective Zacks Consensus Estimate. The company ended fiscal 2026 with positive case growth across its local, national and international businesses. Supply-chain productivity, improved Sysco Brand penetration and cost-saving actions supported profit growth, while investments in sales capacity continued.
SYY’s Key MetricsAdjusted earnings were $1.53 per share, up 3.4% year over year, outpacing the Zacks Consensus Estimate of $1.51. Sales grew 4.7% to $22,124 million and beat the consensus mark of $21,921 million.
Sysco’s top line benefited from positive case growth across local and national customers in the United States, along with continued international gains. U.S. Foodservice volume increased 2.5%, while local volume advanced 2.6%.
Comparable sales on a constant-currency basis were $22,077 million, up 4.4% year over year. Foreign exchange added $47 million to total reported sales, including a $46-million benefit to International Foodservice Operations.
Sysco’s Cost Profile Supports Profit GrowthGross profit increased 3.7% year over year to $4,134 million. Growth reflected higher volumes, improved mix from increased Sysco Brand penetration, strategic sourcing efficiencies and effective management of product costs.
Product cost inflation was 2.8% at the total enterprise level, primarily reflecting higher costs in meat and fresh produce. Adjusted operating expenses increased 3.6% to $2,994 million as sales headcount and capacity investments were partly offset by cost-out efficiencies.
Adjusted operating income rose 4.1% to $1,140 million. Adjusted operating margin was 5.15%, down 3 basis points from the prior-year quarter as adjusted expense growth slightly outpaced the increase in gross profit.
Adjusted EBITDA advanced 4.7% to $1,346 million, reflecting the benefit of operating productivity and continued business growth.
Sysco’s Segments Deliver Broad-Based Sales GrowthU.S. Foodservice Operations sales increased 4.4% to $15,406 million. Total case volume rose 2.5%, while local case volume advanced 2.6%. Gross profit grew 3% to $2,958 million, though gross margin contracted 26 basis points to 19.20%. Adjusted operating income edged up 0.1% to $1,059 million.
International Foodservice Operations sales climbed 6.7% to $4,191 million. On a constant-currency basis, sales increased 5.6% to $4,145 million. Gross margin expanded 12 basis points to 21.69%, while adjusted operating income jumped 15.7% to $228 million. Constant-currency adjusted operating income rose 14.7%.
SYGMA sales increased 3.1% to $2,231 million. Gross profit rose 2.9% to $175 million, while operating income advanced 11.1% to $30 million despite a 2-basis-point decline in gross margin.
The Other segment generated sales of $296 million, up 2.8%. Gross margin expanded 273 basis points to 26.69%, while adjusted operating income increased 30% to $13 million.
SYY’s Cash Flow Supports Capital ReturnsFor fiscal 2026, cash flow from operations increased 5.1% to $2,638 million. Free cash flow rose 16.3% to $2,114 million, aided by lower additions to plant and equipment compared with the prior year.
Sysco returned $1,237 million to shareholders through $1,037 million in dividends and $200 million in share repurchases. The company ended fiscal 2026 with cash and cash equivalents of $1,786 million and total liquidity of $4,800 million.
Sysco Issues Fiscal 2027 Growth GuidanceManagement introduced fiscal 2027 guidance, calling for sales growth of 6-7% and adjusted earnings growth of 9-11% on a 53-week basis. The outlook reflects expectations for continued positive momentum and further productivity gains.
The guidance includes approximately $100 million in cost savings from AI-enabled inventory management, improved forecasting accuracy, coding efficiency, routing optimization and back-office automation. Sysco expects these initiatives and previously announced cost actions to support profit growth and operating-margin expansion.
Shares of this Zacks Rank #3 (Hold) company have gained 7.2% over the past year against the industry’s decline of 17.1%.
Better-Ranked Stocks to ConsiderDarling Ingredients Inc. (DAR - Free Report) , a global developer and producer of sustainable natural ingredients derived from edible and inedible bio-nutrients, currently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here
The Zacks Consensus Estimate for Darling’s current fiscal year sales calls for 13.2% growth from the prior-year levels. The consensus estimate for current fiscal-year earnings per share (EPS) stands at $5.34, which implies substantial growth from the year-ago period. DAR delivered a trailing four-quarter earnings surprise of 38.9%, on average.
The Vita Coco Company, Inc. (COCO - Free Report) , a leading beverage company that develops, markets and distributes coconut water and other plant-based beverages, currently sports a Zacks Rank #1. COCO delivered a trailing four-quarter earnings surprise of 21.9%, on average.
The Zacks Consensus Estimate for The Vita Coco Company’s current fiscal-year sales and earnings calls for growth of 31.6% and 64.7%, respectively, from the year-ago figures.
US Foods Holding Corp. (USFD - Free Report) engages in the marketing, sale and distribution of fresh, frozen and dry food and non-food products to foodservice customers in the United States. USFD currently carries a Zacks Rank #2 (Buy). US Foods Holding delivered a trailing four-quarter earnings surprise of 1.4%, on average.
The Zacks Consensus Estimate for US Foods Holding’s current fiscal-year sales and earnings implies growth of 5.1% and 16.3%, respectively, from the year-ago figures.
Sysco Corp (SYY) released its 8-K filing for the fourth quarter and fiscal year 2026 on August 4, 2026. The company continues to solidify its position as the la
Sysco (SYY - Free Report) came out with quarterly earnings of $1.53 per share, beating the Zacks Consensus Estimate of $1.51 per share. This compares to earnings of $1.48 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +1.33%. A quarter ago, it was expected that this food distributor would post earnings of $0.95 per share when it actually produced earnings of $0.94, delivering a surprise of -1.05%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Sysco, which belongs to the Zacks Food - Miscellaneous industry, posted revenues of $22.12 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.92%. This compares to year-ago revenues of $21.14 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Sysco shares have added about 15.3% since the beginning of the year versus the S&P 500's gain of 11%.
What's Next for Sysco?While Sysco has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Sysco was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.16 on $22.07 billion in revenues for the coming quarter and $4.95 on $89.07 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Food - Miscellaneous is currently in the bottom 15% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
JBS N.V. (JBS - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 10.
This company is expected to post quarterly earnings of $0.32 per share in its upcoming report, which represents a year-over-year change of -39.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
JBS N.V.'s revenues are expected to be $22.96 billion, up 9.3% from the year-ago quarter.
For the quarter ended June 2026, Sysco (SYY - Free Report) reported revenue of $22.12 billion, up 4.7% over the same period last year. EPS came in at $1.53, compared to $1.48 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $21.92 billion, representing a surprise of +0.92%. The company delivered an EPS surprise of +1.33%, with the consensus EPS estimate being $1.51.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Sysco performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Sales- International Foodservice Operations: $4.19 billion versus the three-analyst average estimate of $4.19 billion. The reported number represents a year-over-year change of +6.7%.Sales- U.S. Foodservice Operations: $15.41 billion compared to the $15.25 billion average estimate based on three analysts. The reported number represents a change of +4.4% year over year.Sales- Other: $296 million compared to the $290.88 million average estimate based on three analysts. The reported number represents a change of +2.8% year over year.Sales- SYGMA: $2.23 billion compared to the $2.23 billion average estimate based on three analysts. The reported number represents a change of +3.1% year over year.Operating income (GAAP)- Other: $13 million versus $7.68 million estimated by three analysts on average.Operating income (GAAP)- SYGMA: $30 million versus the three-analyst average estimate of $30.06 million.Gross Profit- Other: $79 million versus $69.73 million estimated by three analysts on average.Gross Profit- SYGMA: $175 million versus the three-analyst average estimate of $174 million.View all Key Company Metrics for Sysco here>>>
Shares of Sysco have returned +0.9% over the past month versus the Zacks S&P 500 composite's +1.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
HOUSTON, Aug. 04, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY) (“Sysco” or the “company”) today announced financial results for its 13-week fourth fiscal quarter and its fiscal year ended June 27, 2026.
Key financial results for the fourth quarter of fiscal year 2026 include the following (comparisons are to the same period in fiscal year 2025):
Sales increased 4.7%; U.S. Foodservice volume increased 2.5%, U.S. local volume increased 2.6%;Gross profit increased 3.7% to $4.1 billion;Operating income increased 10.6% to $983 million, and adjusted operating income increased 4.1% to $1.1 billion1;Net earnings increased 3.8% to $551 million, and adjusted net earnings increased 2.5% to $734 million1;EBITDA increased 5.4% to $1.2 billion1, and adjusted EBITDA increased 4.7% to $1.3 billion1;EPS2 increased 4.5% to $1.15, and adjusted EPS1,2 increased 3.4% to $1.53, inclusive of higher incentive compensation costs of $11 million, as previously disclosed, representing a $0.01 impact to EPS;Introduction of fiscal year 2027 guidance of 6%-7% sales growth and 9%-11% adjusted EPS1 growth on a 53-week basis; andIncluded in the 2027 guidance is approximately $100 million of efficiency improvements driven by an artificial intelligence (AI)-powered transformation of business processes and customer engagement. “Sysco delivered strong results in the fourth quarter of fiscal year 2026, including positive case growth across our local, national, and international businesses. This included local volume growth of 2.6% in our USFS segment, as well as local volume growth of 4.5% in our International segment. Continued productivity gains from our supply chain enabled year over year profit growth across each of our four business segments,” said Kevin Hourican, Sysco’s Chair of the Board and Chief Executive Officer. “We have clear positive momentum in our business domestically and internationally. We are excited about the progress and the opportunity to improve further through the AI-driven business process transformation underway at Sysco. These efforts will improve how we serve our customers and expand our operating margins.”
“We exceeded our previously communicated guidance for the quarter and the year, as our company specific initiatives drove tangible results across our business. For the year, we generated robust cash flows and returned $1.2 billion to our shareholders through dividends and share repurchase. We expect positive momentum to continue in FY27 and are introducing guidance on a 53-week basis that includes sales growth of 6%-7% and adjusted EPS growth of 9%-11%. Today, we are also announcing incremental cost out efforts which we expect, when combined with our Q3 update, to deliver a combined $100 million of net cost savings in FY27.” said Brandon Sewell, Sysco’s Interim Chief Financial Officer.
1 Non-GAAP financial measure, refer to the reconciliations of all non-GAAP financial measures to the nearest corresponding GAAP financial measure included at the end of this release.
2 Earnings per share (EPS) is shown on a diluted basis, unless otherwise specified.
Key financial results for fiscal year 2026 include the following (comparisons are to the same period in fiscal year 2025):
Sales increased 3.9%; U.S. Foodservice volume increased 1.4%, U.S. local volume increased 1.7%;Gross profit increased 4.5% to $15.6 billion;Operating income increased 0.2% to $3.1 billion, and adjusted operating income increased 2.6% to $3.6 billion1;Net earnings decreased 3.9% to $1.8 billion, and adjusted net earnings increased 1.4% to $2.2 billion1;Cash flow from operations increased 5.1% to $2.6 billion and free cash flow1 increased 16.3% to $2.1 billion on a year-over-year basis;EBITDA decreased 0.7% to $4.0 billion1, and adjusted EBITDA increased 2.2% to $4.4 billion1;EPS2 decreased 1.9% to $3.66, and adjusted EPS1,2 increased 3.4% to $4.61, inclusive of higher incentive compensation costs of $100 million, as previously disclosed, representing a $0.16 impact to EPS; andWe returned approximately $1.2 billion of capital to shareholders via $1.0 billion of dividends and $200 million of share repurchases. Fiscal Year 2027 Productivity and Cost Savings Initiatives
Sysco is also advancing a multi-year AI-enabled business transformation program designed to further improve productivity, operating efficiency, and customer service across the enterprise. In fiscal year 2027, the company expects combined cost-outs of approximately $100 million, including the carry-forward benefit from previously announced actions. Efforts reflect initiatives focused on enhanced inventory management and forecasting accuracy, improved coding efficiency, routing optimization and back-office automation. Together, Sysco expects these AI-related initiatives and previously announced cost-out efforts to deliver bottom line benefits in fiscal year 2027, supporting the company’s outlook for continued profit growth and margin expansion.
Fourth Quarter Fiscal Year 2026 Results (comparisons are to the same period in fiscal year 2025)
Total Sysco
Sales for the fourth quarter increased 4.7% to $22.1 billion.
Gross profit increased 3.7% to $4.1 billion, and gross margin decreased 17 basis points to 18.7%. Product cost inflation was 2.8% at the total enterprise level, as measured by the estimated change in Sysco’s product costs, primarily in the meat and fresh produce categories. The increase in gross profit for the fourth quarter was primarily driven by continued positive momentum in U.S. local volume growth, positive mix shift from improved Sysco Brand penetration, strategic sourcing efficiencies, and effective management of product cost inflation.
Operating expenses increased 1.7%, primarily driven by acquisition-related costs, sales headcount and capacity investments, partially offset by cost-out efficiencies. Adjusted operating expenses increased 3.6%1.
Operating income increased 10.6% to $983 million, and adjusted operating income increased 4.1% to $1.1 billion1.
U.S. Foodservice Operations
The U.S. Foodservice Operations segment results reflected positive case growth across local and national customers, improved mix shift from improved Sysco Brand penetration, and supply chain productivity improvements, partially offset by planned investments in sales headcount and expanded capacity.
Sales for the fourth quarter increased 4.4% to $15.4 billion. Total case volume within U.S. Foodservice increased 2.5% for the fourth quarter, while local case volume within U.S. Foodservice increased 2.6%.
Gross profit increased 3.0% to $3.0 billion, and gross margin decreased 26 basis points to 19.2%.
Operating expenses increased 3.3%, and adjusted operating expenses increased 4.7%1.
Operating income increased 2.4% to $1.0 billion, and adjusted operating income increased 0.1% to $1.1 billion1.
International Foodservice Operations
The International Foodservice Operations segment delivered continued sales growth and volume gains, marking its eleventh consecutive quarter of double-digit adjusted operating income growth.
Sales for the fourth quarter increased 6.7% to $4.2 billion. On a constant currency basis3, sales for the fourth quarter increased 5.6% to $4.1 billion. Foreign exchange rates increased both International Foodservice Operations sales by $46 million and total Sysco sales by $47 million during the quarter.
Gross profit increased 7.3% to $909 million, and gross margin increased 12 basis points to 21.7%. On a constant currency basis3, gross profit increased 6.0% to $898 million. Foreign exchange rates increased both International Foodservice Operations gross profit by 1.3% and total Sysco gross profit by 0.3% during the quarter.
Operating expenses increased 8.4%, and adjusted operating expenses increased 4.8%1. On a constant currency basis3, adjusted operating expenses increased 3.4%. Foreign exchange rates increased both International Foodservice Operations operating expenses by 1.4% and total Sysco operating expenses by 0.3% during the quarter.
Operating income increased 2.1% to $148 million, and adjusted operating income increased 15.7% to $228 million1. On a constant currency basis3, adjusted operating income increased 14.7% to $226 million. Foreign exchange rates increased both International Foodservice Operations operating income by 1.0% and total Sysco operating income by 0.3% during the quarter.
Fiscal Year 2026 Results (comparisons are to fiscal year 2025)
Total Sysco
Sales for fiscal year 2026 increased 3.9% to $84.6 billion.
Gross profit increased 4.5% to $15.6 billion, and gross margin increased 10 basis points to 18.5%. Product cost inflation was 3.0% at the total enterprise level, as measured by the estimated change in Sysco’s product costs, primarily in the meat and seafood categories. The increase in gross profit for the year was primarily driven by positive volumes, strategic sourcing efficiencies, and effective management of product cost inflation.
Operating expenses increased 5.6%, primarily driven by sales headcount and capacity investments, higher incentive compensation, and acquisition-related costs, partially offset by cost-out efficiencies. Adjusted operating expenses increased 5.1%1.
Operating income increased 0.2% to $3.1 billion, and adjusted operating income increased 2.6% to $3.6 billion1.
3 Represents a constant currency adjustment, which eliminates the impact of foreign currency fluctuations on current year results. These adjusted measures are non-GAAP financial measures. Reconciliations of all non-GAAP financial measures to the nearest corresponding GAAP financial measure are included at the end of this release.
U.S. Foodservice Operations
Sales for fiscal year 2026 increased 3.2% to $58.8 billion. Total case volume within U.S. Foodservice increased 1.4% for fiscal year 2026, while local case volume within U.S. Foodservice increased 1.7%.
Gross profit increased 3.3% to $11.2 billion, and gross margin increased 2 basis points to 19.1%.
Operating expenses increased 4.9%, and adjusted operating expenses increased 4.7%1.
Operating income increased 0.1% to $3.5 billion, and adjusted operating income increased 0.7% to $3.7 billion1.
International Foodservice Operations
Sales for fiscal year 2026 increased 7.6% to $16.0 billion. On a constant currency basis3, sales for fiscal year 2026 increased 4.1% to $15.5 billion. Foreign exchange rates increased both International Foodservice Operations sales by 3.5% and total Sysco sales by 0.6% during the year.
Gross profit increased 9.4% to $3.4 billion, and gross margin increased 34 basis points to 21.2%. On a constant currency basis3, gross profit increased 5.4% to $3.3 billion. Foreign exchange rates increased both International Foodservice Operations gross profit by 4.0% and total Sysco gross profit by 0.9% during the year.
Operating expenses increased 10.0%, and adjusted operating expenses increased 7.8%1. On a constant currency basis3, adjusted operating expenses increased 3.4%. Foreign exchange rates increased both International Foodservice Operations operating expense by 4.4% and total Sysco operating expense by 1.0% during the year.
Operating income increased 5.9% to $463 million, and adjusted operating income increased 16.4% to $681 million1. On a constant currency basis3, adjusted operating income increased 14.0% to $667 million. Foreign exchange rates increased both International Foodservice Operations operating income by 2.4% and total Sysco operating income by 0.5% during the year.
Balance Sheet, Cash Flow and Capital Spending
As of the end of the quarter, the company had a cash balance of $1.8 billion and total liquidity4 of $4.8 billion.
Debt to net earnings was approximately 7.7 times, and Net Debt to adjusted EBITDA1 was approximately 2.7 times.
During the fiscal year, Sysco returned $1.2 billion to shareholders via $200 million of share repurchases and $1.0 billion of dividends.
Cash flow from operations was $2.6 billion for fiscal year 2026, which was 5.1% higher compared to the prior year. Free cash flow1 for fiscal year 2026 was $2.1 billion, which was 16.3% higher compared to the prior year.
Capital expenditures, net of proceeds from sales of plant and equipment, for fiscal year 2026 were $524 million.
4 Available liquidity includes cash and cash equivalents, available borrowing capacity under our revolving credit facility, less outstanding drawings under our commercial paper program, as of the applicable reporting date.
Conference Call & Webcast
Sysco will host a conference call to review the company’s fourth quarter and full fiscal year 2026 financial results on Tuesday, August 4, 2026, at 10:00 a.m. Eastern Time. A live webcast of the call, accompanying slide presentation and a copy of this news release will be available online at investors.sysco.com.
Key Highlights: 13-Week Period Ended52-Week Period Ended Financial Comparison (1):June 27, 2026ChangeJune 27, 2026ChangeGAAP: Sales$22.1 billion4.7%
$84.6 billion3.9%
Gross Profit$4.1 billion3.7%
$15.6 billion4.5%
Gross Margin18.7%
-17 bps18.5%
10 bpsOperating Expenses$3.2 billion1.7%
$12.5 billion5.6%
Operating Income$983 million10.6%
$3.1 billion0.2%
Operating Margin4.4%
23 bps3.7%
-14 bpsNet Earnings$551 million3.8%
$1.8 billion-3.9%
Diluted Earnings Per Share$1.15
4.5%
$3.66
-1.9%
Non-GAAP (2): Adjusted Operating Expenses$3.0 billion3.6%
$12.0 billion5.1%
Adjusted Operating Income$1.1 billion4.1%
$3.6 billion2.6%
Adjusted Operating Margin5.2%
-3 bps4.3%
-6 bpsEBITDA$1.2 billion5.4%
$4.0 billion-0.7%
Adjusted EBITDA$1.3 billion4.7%
$4.4 billion2.2%
Adjusted Net Earnings$734 million2.5%
$2.2 billion1.4%
Adjusted Diluted Earnings Per Share$1.53
3.4%
$4.61
3.4%
Case Growth: U.S. Foodservice2.5%
1.4%
Local2.6%
1.7%
Sysco Brand Sales as a % of Cases (3): U.S. Broadline35.5%
-4 bps35.4%
-59 bpsLocal46.4%
30 bps45.8%
-45 bps Note:(1) Individual components in the table may not sum to the totals due to rounding.(2) Reconciliations of all non-GAAP financial measures to the nearest respective GAAP financial measures are included at the end of this release.(3) Amounts reflect the impact of current customer classifications; prior period history has been reclassified to match the current period customer classification. Forward-Looking Statements
Statements made in this press release or in our earnings call for the fourth quarter of fiscal year 2026 include statements that are forward-looking or that express management’s beliefs, expectations or hopes and are forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements include, among other things, our future financial performance and results, business strategy, plans, goals and objectives, including certain outlook, business trends, our dividend and share repurchase programs, our expectation of future macroeconomic conditions and other statements that are not historical facts, including our expectations regarding foot traffic and volume growth, and benefits to gross margins; and our expectations regarding our future growth, including growth in sales and earnings per share; as well as statements about the expected timing and completion of the proposed transaction with Jetro Restaurant Depot and the anticipated benefits of such proposed transaction, including estimated synergies, and plans, impact on Sysco and expectations for Sysco after completion of the proposed transaction.
Such forward-looking statements reflect the views of management at the time such statements are made and are subject to a number of risks, uncertainties, estimates, and assumptions, including those outside of Sysco’s control. Risks and uncertainties include without limitation: the impact of geopolitical, economic and market conditions and developments, including changes in global trade policies and tariffs and foreign conflicts; risks related to our business initiatives; periods of significant or prolonged inflation or deflation and their impact on our product costs, volume, foot traffic, and profitability generally; risks related to our efforts to implement our transformation initiatives and meet our other long-term strategic objectives; risks of interruption of supplies and increase in product costs; risks related to changes in consumer eating habits; and impact of natural disasters or adverse weather conditions, public health crises, adverse publicity or lack of confidence in our products, and product liability claims as well as risks and uncertainties associated with our proposed transaction with Jetro Restaurant Depot, including but not limited to, the occurrence of any event, change or other circumstances that could give rise to the right of either or both parties to terminate the merger agreement; the risk that regulatory approvals may not be obtained or other closing conditions may not be satisfied in a timely manner or at all, as well as the risk that regulatory approvals are obtained subject to conditions that are not anticipated; the risk of other delays in closing the transaction; the possibility that any of the anticipated benefits and projected synergies of the transaction will not be realized or will not be realized within the expected time period; and the risk that the proposed transaction and its announcement could have an adverse effect on the market price of the common stock of Sysco. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those indicated in our forward-looking statements. Therefore, you should not place undue reliance on any of the forward-looking statements contained herein. For more information on these risks and other concerning factors that could cause actual results to differ from those expressed or forecasted, see our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC. We do not undertake to update our forward-looking statements, except as required by applicable law.
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 333 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 670,000 customer locations. The company generated sales of more than $84 billion in fiscal year 2026 that ended June 27, 2026.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions.
For more information, visit www.sysco.com. For important news and key information for Sysco investors, visit the Investor Relations section of the company’s website at investors.sysco.com.
SYY-INVESTORS
Sysco Corporation and its Consolidated Subsidiaries
CONSOLIDATED RESULTS OF OPERATIONS
(In Millions, Except for Share and Per Share Data) 13-Week Period Ended 52-Week Period Ended Jun. 27, 2026 Jun. 28, 2025 Jun. 27, 2026 Jun. 28, 2025 (Unaudited) (Unaudited) (Unaudited) Sales$22,124 $21,138 $84,553 $81,370Cost of sales 17,990 17,152 68,914 66,401Gross profit 4,134 3,986 15,639 14,969Operating expenses 3,151 3,097 12,544 11,881Operating income 983 889 3,095 3,088Interest expense 205 166 717 635Other expense (income), net 58 6 102 38Earnings before income taxes 720 717 2,276 2,415Income taxes 169 186 519 587Net earnings$551 $531 $1,757 $1,828 Net earnings: Basic earnings per share$1.15 $1.10 $3.67 $3.74Diluted earnings per share 1.15 1.10 3.66 3.73 Average shares outstanding 479,019,305 482,335,556 479,117,877 488,144,333Diluted shares outstanding 480,232,028 483,381,310 480,612,203 489,825,648 Sysco Corporation and its Consolidated Subsidiaries
CONSOLIDATED BALANCE SHEETS
(In Millions, Except for Share Data) Jun. 27, 2026 Jun. 28, 2025 (Unaudited) ASSETS Current assets Cash and cash equivalents$1,786 $1,071 Accounts receivable, less allowances of $13 and $17 5,865 5,502 Inventories 5,338 5,053 Prepaid expenses and other current assets 427 338 Income tax receivable 21 4 Total current assets 13,437 11,968 Plant and equipment at cost, less accumulated depreciation 5,974 6,084 Other long-term assets Goodwill 5,225 5,231 Intangibles, less amortization 952 1,080 Deferred income taxes 506 497 Operating lease right-of-use assets, net 1,389 1,131 Other assets 914 783 Total other long-term assets 8,986 8,722 Total assets$28,397 $26,774 LIABILITIES AND SHAREHOLDERS’ EQUITYCurrent liabilities Accounts payable$6,640 $6,512 Accrued expenses 2,456 2,268 Accrued income taxes 60 51 Current operating lease liabilities 166 136 Current maturities of long-term debt 1,201 949 Total current liabilities 10,523 9,916 Long-term liabilities Long-term debt 12,315 12,360 Deferred income taxes 456 345 Long-term operating lease liabilities 1,285 1,049 Other long-term liabilities 1,152 1,247 Total long-term liabilities 15,208 15,001 Commitments and contingencies Noncontrolling interest — 27 Shareholders’ equity Preferred stock, par value $1 per share Authorized 1,500,000 shares, issued none — — Common stock, par value $1 per share Authorized 2,000,000,000 shares, issued
765,174,900 shares 765 765 Paid-in capital 2,114 1,986 Retained earnings 13,748 13,061 Accumulated other comprehensive loss (1,014) (1,098)Treasury stock at cost, 286,631,270 and 287,678,658 shares (12,947) (12,884)Total shareholders’ equity 2,666 1,830 Total liabilities and shareholders’ equity$28,397 $26,774 Sysco Corporation and its Consolidated Subsidiaries
CONSOLIDATED CASH FLOWS
(In Millions) 52-Week Period Ended Jun. 27, 2026 Jun. 28, 2025 (Unaudited) Cash flows from operating activities: Net earnings$1,757 $1,828 Adjustments to reconcile net earnings to cash provided by operating activities: Share-based compensation expense 118 93 Depreciation and amortization 976 945 Operating lease asset amortization 153 141 Amortization of debt issuance and other debt-related costs 46 15 Deferred income taxes 10 (13)Provision for losses on receivables 73 85 Goodwill impairment — 92 Other non-cash items (40) (100)Additional changes in certain assets and liabilities, net of effect of businesses
acquired: Increase in receivables (469) (206)Increase in inventories (293) (330)Increase in prepaid expenses and other current assets (25) (22)Increase in accounts payable 354 143 Increase (decrease) in accrued expenses 214 (14)Decrease in operating lease liabilities (215) (177)Decrease in accrued income taxes (7) (62)(Increase) decrease in other assets (29) 18 Increase in other long-term liabilities 15 74 Net cash provided by operating activities 2,638 2,510 Cash flows from investing activities: Additions to plant and equipment (700) (906)Proceeds from sales of plant and equipment 176 214 Acquisition of businesses, net of cash acquired (189) (40)Purchase of marketable securities (61) (32)Proceeds from sales of marketable securities 54 29 Other investing activities 23 18 Net cash used for investing activities (697) (717)Cash flows from financing activities: Bank and commercial paper borrowings, net (263) 45 Other debt borrowings including senior notes 1,252 1,254 Other debt repayments including senior notes (908) (549)Proceeds from stock option exercises 137 110 Stock repurchases (200) (1,250)Dividends paid (1,037) (1,000)Debt issuance costs (108) — Other financing activities (32) (22)Net cash used for financing activities (1,159) (1,412)Effect of exchange rates on cash, cash equivalents and restricted cash (14) 22 Net increase in cash, cash equivalents and restricted cash 768 403 Cash, cash equivalents and restricted cash at beginning of period 1,349 945 Cash, cash equivalents and restricted cash at end of period$2,117 $1,348 Supplemental disclosures of cash flow information: Cash paid during the period for: Interest$670 $629 Income taxes, net of refunds (1) 477 640 (1) Cash paid for income taxes, net for fiscal year 2026 and 2025 includes $227 million and $190 million, respectively, of cash paid for the purchase of federal tax credits. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items The discussion of our results includes certain non-GAAP financial measures, including EBITDA and adjusted EBITDA, that we believe provide important perspective with respect to underlying business trends. Other than EBITDA and free cash flow, any non-GAAP financial measures will be denoted as adjusted measures to remove (1) restructuring charges; (2) expenses associated with our various transformation initiatives; (3) severance charges; and (4) acquisition-related costs consisting of: (a) intangible amortization expense and (b) acquisition costs and due diligence costs related to our acquisitions. Adjustments provided herein for fiscal year 2026 results of operations also remove the impact of a charge associated with a legal matter, amortization expense associated with debt issuance costs on a bridge loan facility, and a loss on deal contingent rate lock transactions entered into to mitigate interest rate risk on future permanent debt that could potentially be issued to finance the purchase of Jetro Restaurant Depot. No similar charges were applicable in fiscal year 2025. Adjustments provided herein for fiscal year 2025 results of operations also remove the impact of a goodwill impairment charge. No similar charge was applicable in fiscal year 2026. The results of our operations can be impacted due to changes in exchange rates applicable in converting local currencies to U.S. dollars. We measure our results on a constant currency basis. Constant currency operating results are calculated by translating current-period local currency operating results with the currency exchange rates used to translate the financial statements in the comparable prior-year period to determine what the current-period U.S. dollar operating results would have been if the currency exchange rate had not changed from the comparable prior-year period. We also measure our sales growth for our International Foodservice Operations excluding the impact of our joint venture in Mexico which was divested in the second quarter of fiscal year 2025. Management believes that adjusting its operating expenses, operating income, operating margin, interest expense, other (income) expense, net earnings and diluted earnings per share to remove these Certain Items, presenting its results on a constant currency basis, and adjusting its sales results to exclude the impact of its joint venture in Mexico provides an important perspective with respect to our underlying business trends and results. It provides meaningful supplemental information to both management and investors that (1) is indicative of the performance of the company’s underlying operations and (2) facilitates comparisons on a year-over-year basis. Sysco has a history of growth through acquisitions and excludes from its non-GAAP financial measures the impact of acquisition-related intangible amortization, acquisition costs and due-diligence costs for those acquisitions. We believe this approach significantly enhances the comparability of Sysco’s results for fiscal year 2026 and fiscal year 2025. Set forth on the following page is a reconciliation of sales, operating expenses, operating income, interest expense, other (income) expense, net earnings and diluted earnings per share to adjusted results for these measures for the periods presented. Individual components of diluted earnings per share may not be equal to the total presented when added due to rounding. Adjusted diluted earnings per share is calculated using adjusted net earnings divided by diluted shares outstanding. The non-GAAP financial measures shown in the following tables should not be used as a substitute for the most comparable GAAP financial measures in assessing the company’s financial performance for the periods presented. An analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items
(Dollars in Millions, Except for Share and Per Share Data) 13-Week
Period Ended
Jun. 27, 2026 13-Week
Period Ended
Jun. 28, 2025 Change in
Dollars %/bps
ChangeSales (GAAP)$22,124 $21,138 $986 4.7%Impact of currency fluctuations (1) (47) (47) (0.3)Comparable sales using a constant currency basis
(Non-GAAP)$22,077 $21,138 $939 4.4% Cost of sales (GAAP)$17,990 $17,152 $838 4.9% Gross profit (GAAP)$4,134 $3,986 $148 3.7%Impact of currency fluctuations (1) (12) (12) (0.3)Comparable gross profit adjusted for Certain Items
using a constant currency basis (Non-GAAP)$4,122 $3,986 $136 3.4% Gross margin (GAAP) 18.69% 18.86% -17 bpsImpact of currency fluctuations (1) (0.02) -2 bpsComparable gross margin adjusted for Certain Items
using a constant currency basis (Non-GAAP) 18.67% 18.86% -19 bps Operating expenses (GAAP)$3,151 $3,097 $54 1.7%Impact of restructuring and transformational project costs (2) (80) (75) (5) (6.7)Impact of acquisition-related costs (3) (77) (39) (38) (97.4)Impact of goodwill impairment — (92) 92 NMOperating expenses adjusted for Certain Items (Non-GAAP) 2,994 2,891 103 3.6 Impact of currency fluctuations (1) (8) (8) (0.3)Comparable operating expenses adjusted for Certain Items
using a constant currency basis (Non-GAAP)$2,986 $2,891 $95 3.3% Operating expense as a percentage of sales (GAAP) 14.24% 14.65% -41 bpsImpact of certain item adjustments (0.71) (0.97) 26 bpsAdjusted operating expense as a percentage of sales
(Non-GAAP) 13.53% 13.68% -15 bps Operating income (GAAP)$983 $889 $94 10.6%Impact of restructuring and transformational project costs (2) 80 75 5 6.7 Impact of acquisition-related costs (3) 77 39 38 97.4 Impact of goodwill impairment — 92 (92) NMOperating income adjusted for Certain Items (Non-GAAP) 1,140 1,095 45 4.1 Impact of currency fluctuations (1) (3) (3) (0.3)Comparable operating income adjusted for Certain Items
using a constant currency basis (Non-GAAP)$1,137 $1,095 $42 3.8% Operating margin (GAAP) 4.44% 4.21% 23 bpsOperating margin adjusted for Certain Items (Non-GAAP) 5.15% 5.18% -3 bpsOperating margin adjusted for Certain Items
using a constant currency basis (Non-GAAP) 5.15% 5.18% -3 bps Interest expense (GAAP)$205 $166 $39 23.5%Impact of bridge loan amortization (4) (30) — (30) NMInterest expense adjusted for Certain Items (Non-GAAP)$175 $166 $9 5.4% Other expense (GAAP)$58 $6 $52 NMImpact of deal contingent rate lock transactions (4) (54) — (54) NMOther expense adjusted for Certain Items (Non-GAAP)$4 $6 $(2) (33.3)% Net earnings (GAAP)$551 $531 $20 3.8%Impact of restructuring and transformational project costs (2) 80 75 5 6.7 Impact of acquisition-related costs (3) 77 39 38 97.4 Impact of goodwill impairment — 92 (92) NMImpact of bridge loan amortization (4) 30 — 30 NMImpact of deal contingent rate lock transactions (4) 54 — 54 NMTax impact of restructuring and transformational project costs (5) (19) (14) (5) (35.7)Tax impact of acquisition-related costs (5) (19) (7) (12) NMTax impact of goodwill impairment (5) — (10) 10 NMTax impact of bridge loan amortization (5) (7) — (7) NMTax impact of deal contingent rate lock transactions (5) (13) — (13) NMImpact of other non-routine tax adjustments — 10 (10) NMNet earnings adjusted for Certain Items (Non-GAAP)$734 $716 $18 2.5% Diluted earnings per share (GAAP)$1.15 $1.10 $0.05 4.5%Impact of restructuring and transformational project costs (2) 0.17 0.16 0.01 6.3 Impact of acquisition-related costs (3) 0.16 0.08 0.08 100.0 Impact of goodwill impairment — 0.19 (0.19) NMImpact of bridge loan amortization (4) 0.06 — 0.06 NMImpact of deal contingent rate lock transactions (4) 0.11 — 0.11 NMTax impact of restructuring and transformational project costs (5) (0.04) (0.03) (0.01) (33.3)Tax impact of acquisition-related costs (5) (0.04) (0.01) (0.03) NMTax impact of goodwill impairment (5) — (0.02) 0.02 NMTax impact of bridge loan amortization (5) (0.01) — (0.01) NMTax impact of deal contingent rate lock transactions (5) (0.03) — (0.03) NMImpact of other non-routine tax adjustments — 0.02 (0.02) NMDiluted earnings per share adjusted for Certain Items
(Non-GAAP) (6)$1.53 $1.48 $0.05 3.4% Diluted shares outstanding 480,232,028 483,381,310 (1) Represents a constant currency adjustment, which eliminates the impact of foreign currency fluctuations on the current year results.(2) Fiscal year 2026 includes $29 million related to restructuring costs and severance charges, partially offset by the reversal of costs associated with a legal matter and $72 million related to various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy. Fiscal year 2025 includes $26 million related to restructuring and severance charges and $49 million related to various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy.(3) Fiscal year 2026 includes $39 million of intangible amortization expense and $38 million in acquisition and due diligence costs. Fiscal year 2025 includes $36 million of intangible amortization expense and $3 million in acquisition and due diligence costs.(4) Fiscal year 2026 includes amortization expense associated with debt issuance costs on a bridge loan facility and a loss on deal contingent rate lock transactions, both of which are related to the planned acquisition of Jetro Restaurant Depot.(5) The tax impact of adjustments for Certain Items are calculated by multiplying the pretax impact of each Certain Item by the statutory rates in effect for each jurisdiction where the Certain Item was incurred.(6) Individual components of diluted earnings per share may not equal the total presented when added due to rounding. Total diluted earnings per share is calculated using adjusted net earnings divided by diluted shares outstanding.NM Represents that the percentage change is not meaningful. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items
(Dollars in Millions, Except for Share and Per Share Data) 52-Week
Period Ended
Jun. 27, 2026 52-Week
Period Ended
Jun. 28, 2025 Change in
Dollars %/bps
ChangeSales (GAAP)$84,553 $81,370 $3,183 3.9%Impact of Mexico joint venture sales — (207) 207 0.3 Comparable sales excluding Mexico joint venture (Non-GAAP)$84,553 $81,163 $3,390 4.2% Sales (GAAP)$84,553 $81,370 $3,183 3.9%Impact of currency fluctuations (1) (527) (527) (0.6)Comparable sales using a constant currency basis (Non-GAAP)$84,026 $81,370 $2,656 3.3% Cost of sales (GAAP)$68,914 $66,401 $2,513 3.8% Gross profit (GAAP)$15,639 $14,969 $670 4.5%Impact of currency fluctuations (1) (127) (127) (0.9)Comparable gross profit adjusted for Certain Items
using a constant currency basis (Non-GAAP)$15,512 $14,969 $543 3.6% Gross margin (GAAP) 18.50% 18.40% 10 bpsImpact of currency fluctuations (1) (0.04) -4 bpsComparable gross margin adjusted for Certain Items
using a constant currency basis (Non-GAAP) 18.46% 18.40% 6 bps Operating expenses (GAAP)$12,544 $11,881 $663 5.6%Impact of restructuring and transformational project costs (2) (287) (183) (104) (56.8)Impact of acquisition-related costs (3) (232) (160) (72) (45.0)Impact of goodwill impairment — (92) 92 NMOperating expenses adjusted for Certain Items (Non-GAAP) 12,025 11,446 579 5.1 Impact of currency fluctuations (1) (111) (111) (1.0)Comparable operating expenses adjusted for Certain Items
using a constant currency basis (Non-GAAP)$11,914 $11,446 $468 4.1% Operating expense as a percentage of sales (GAAP) 14.84% 14.60% 24 bpsImpact of certain item adjustments (0.62) (0.53) -9 bpsAdjusted operating expense as a percentage of sales
(Non-GAAP) 14.22% 14.07% 15 bps Operating income (GAAP)$3,095 $3,088 $7 0.2%Impact of restructuring and transformational project costs (2) 287 183 104 56.8 Impact of acquisition-related costs (3) 232 160 72 45.0 Impact of goodwill impairment — 92 (92) NMOperating income adjusted for Certain Items (Non-GAAP) 3,614 3,523 91 2.6 Impact of currency fluctuations (1) (16) (16) (0.5)Comparable operating income adjusted for Certain Items
using a constant currency basis (Non-GAAP)$3,598 $3,523 $75 2.1% Operating margin (GAAP) 3.66% 3.80% -14 bpsOperating margin adjusted for Certain Items (Non-GAAP) 4.27% 4.33% -6 bpsOperating margin adjusted for Certain Items using a constant
currency basis (Non-GAAP) 4.28% 4.33% -5 bps Interest expense (GAAP)$717 $635 $82 12.9%Impact of bridge loan amortization (4) (30) — (30) NMInterest expense adjusted for Certain Items (Non-GAAP)$687 $635 $52 8.2% Other expense (GAAP)$102 $38 $64 NMImpact of deal contingent rate lock transactions (4) (54) — (54) NMOther expense adjusted for Certain Items (Non-GAAP)$48 $38 $10 26.3% Net earnings (GAAP)$1,757 $1,828 $(71) (3.9)%Impact of restructuring and transformational project costs (2) 287 183 104 56.8 Impact of acquisition-related costs (3) 232 160 72 45.0 Impact of goodwill impairment — 92 (92) NMImpact of bridge loan amortization (4) 30 — 30 NMImpact of deal contingent rate lock transactions (4) 54 — 54 NMTax impact of restructuring and transformational project costs (5) (69) (42) (27) (64.3)Tax impact of acquisition-related costs (5) (56) (37) (19) (51.4)Tax impact of goodwill impairment (5) — (10) 10 NMTax impact of bridge loan amortization (5) (7) — (7) NMTax impact of deal contingent rate lock transactions (5) (13) — (13) NMImpact of other non-routine tax adjustments — 10 (10) NMNet earnings adjusted for Certain Items (Non-GAAP)$2,215 $2,184 $31 1.4% Diluted earnings per share (GAAP)$3.66 $3.73 $(0.07) (1.9)%Impact of restructuring and transformational project costs (2) 0.60 0.37 0.23 62.2 Impact of acquisition-related costs (3) 0.48 0.33 0.15 45.5 Impact of goodwill impairment — 0.19 (0.19) NMImpact of bridge loan amortization (4) 0.06 — 0.06 NMImpact of deal contingent rate lock transactions (4) 0.11 — 0.11 NMTax impact of restructuring and transformational project costs (5) (0.14) (0.09) (0.05) (55.6)Tax impact of acquisition-related costs (5) (0.12) (0.08) (0.04) (50.0)Tax impact of goodwill impairment (5) — (0.02) 0.02 NMTax impact of bridge loan amortization (5) (0.01) — (0.01) NMTax impact of deal contingent rate lock transactions (5) (0.03) — (0.03) NMImpact of other non-routine tax adjustments — 0.02 (0.02) NMDiluted earnings per share adjusted for Certain Items
(Non-GAAP) (6)$4.61 $4.46 $0.15 3.4% Diluted shares outstanding 480,612,203 489,825,648 (1) Represents a constant currency adjustment which eliminates the impact of foreign currency fluctuations on the current year results.(2) Fiscal year 2026 includes $71 million related to restructuring costs, severance charges, and costs associated with a legal matter and $216 million related to various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy. Fiscal year 2025 includes $57 million related to restructuring and severance charges and $126 million related to various transformation initiative costs, primarily consisting of changes to our business technology strategy.(3) Fiscal year 2026 includes $147 million of intangible amortization expense and $85 million in acquisition and due diligence costs. Fiscal year 2025 includes $133 million of intangible amortization expense and $27 million in acquisition and due diligence costs.(4) Fiscal year 2026 includes amortization expense associated with debt issuance costs on a bridge loan facility and a loss on deal contingent rate lock transactions, both of which are related to the planned acquisition of Jetro Restaurant Depot.(5) The tax impact of adjustments for Certain Items is calculated by multiplying the pretax impact of each Certain Item by the statutory rates in effect for each jurisdiction where the Certain Item was incurred.(6) Individual components of diluted earnings per share may not add up to the total presented due to rounding. Total diluted earnings per share is calculated using adjusted net earnings divided by diluted shares outstanding.NM Represents that the percentage change is not meaningful. Sysco Corporation and its Consolidated Subsidiaries
Segment Results
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items on Applicable Segments
(Dollars in Millions) 13-Week
Period Ended
Jun. 27, 2026 13-Week
Period Ended
Jun. 28, 2025 Change in
Dollars %/bps
ChangeU.S. FOODSERVICE OPERATIONS Sales (GAAP)$15,406 $14,759 $647 4.4%Gross profit (GAAP) 2,958 2,872 86 3.0%Gross margin (GAAP) 19.20% 19.46% -26 bps Operating expenses (GAAP)$1,912 $1,851 $61 3.3%Impact of restructuring and transformational project costs (1) 5 (19) 24 NMImpact of acquisition-related costs (2) (18) (18) — — Operating expenses adjusted for Certain Items (Non-GAAP)$1,899 $1,814 $85 4.7% Operating income (GAAP)$1,046 $1,021 $25 2.4%Impact of restructuring and transformational project costs (1) (5) 19 (24) NMImpact of acquisition-related costs (2) 18 18 — — Operating income adjusted for Certain Items (Non-GAAP)$1,059 $1,058 $1 0.1% INTERNATIONAL FOODSERVICE OPERATIONS Sales (GAAP)$4,191 $3,927 $264 6.7%Impact of currency fluctuations (3) (46) (46) (1.1)Comparable sales using a constant currency basis
(Non-GAAP)$4,145 $3,927 $218 5.6% Gross profit (GAAP)$909 $847 $62 7.3%Impact of currency fluctuations (3) (11) (11) (1.3)Comparable gross profit using a constant currency basis
(Non-GAAP)$898 $847 $51 6.0% Gross margin (GAAP) 21.69% 21.57% 12 bpsImpact of currency fluctuations (3) (0.03) -3 bpsComparable gross margin using a constant currency basis
(Non-GAAP) 21.66% 21.57% 9 bps Operating expenses (GAAP)$761 $702 $59 8.4%Impact of restructuring and transformational project costs (4) (57) (34) (23) (67.6)Impact of acquisition-related costs (2) (23) (18) (5) (27.8)Operating expenses adjusted for Certain Items (Non-GAAP) 681 650 31 4.8 Impact of currency fluctuations (3) (9) (9) (1.4)Comparable operating expenses adjusted for Certain Items
using a constant currency basis (Non-GAAP)$672 $650 $22 3.4% Operating income (GAAP)$148 $145 $3 2.1%Impact of restructuring and transformational project costs (4) 57 34 23 67.6 Impact of acquisition-related costs (2) 23 18 5 27.8 Operating income adjusted for Certain Items (Non-GAAP) 228 197 31 15.7 Impact of currency fluctuations (3) (2) (2) (1.0)Comparable operating income adjusted for Certain Items
using a constant currency basis (Non-GAAP)$226 $197 $29 14.7% SYGMA Sales (GAAP)$2,231 $2,164 $67 3.1%Gross profit (GAAP) 175 170 5 2.9%Gross margin (GAAP) 7.84% 7.86% -2 bps Operating expenses (GAAP)$145 $143 $2 1.4%Operating income (GAAP) 30 27 3 11.1% OTHER Sales (GAAP)$296 $288 $8 2.8%Gross profit (GAAP) 79 69 10 14.5%Gross margin (GAAP) 26.69% 23.96% 273 bps Operating expenses (GAAP)$66 $151 $(85) (56.3)%Impact of goodwill impairment — (92) 92 NMOperating expenses adjusted for Certain Items (Non-GAAP)$66 $59 $7 11.9% Operating income (loss) (GAAP)$13 $(82) $95 NMImpact of goodwill impairment — 92 (92) NMOperating income adjusted for Certain Items (Non-GAAP)$13 $10 $3 30.0% GLOBAL SUPPORT CENTER Gross profit (GAAP)$13 $28 $(15) (53.6)% Operating expenses (GAAP)$267 $250 $17 6.8%Impact of restructuring and transformational project costs (5) (28) (22) (6) (27.3)Impact of acquisition-related costs (6) (36) (3) (33) NMOperating expenses adjusted for Certain Items (Non-GAAP)$203 $225 $(22) (9.8)% Operating loss (GAAP)$(254) $(222) $(32) (14.4)%Impact of restructuring and transformational project costs (5) 28 22 6 27.3 Impact of acquisition-related costs (6) 36 3 33 NMOperating loss adjusted for Certain Items (Non-GAAP)$(190) $(197) $7 3.6% TOTAL SYSCO Sales (GAAP)$22,124 $21,138 $986 4.7%Gross profit (GAAP) 4,134 3,986 148 3.7%Gross margin (GAAP) 18.69% 18.86% -17 bps Operating expenses (GAAP)$3,151 $3,097 $54 1.7%Impact of restructuring and transformational project costs (1) (4) (5) (80) (75) (5) (6.7)Impact of acquisition-related costs (2) (6) (77) (39) (38) (97.4)Impact of goodwill impairment — (92) 92 NMOperating expenses adjusted for Certain Items (Non-GAAP)$2,994 $2,891 $103 3.6% Operating income (GAAP)$983 $889 $94 10.6%Impact of restructuring and transformational project costs (1) (4) (5) 80 75 5 6.7 Impact of acquisition-related costs (2) (6) 77 39 38 97.4 Impact of goodwill impairment — 92 (92) NMOperating income adjusted for Certain Items (Non-GAAP)$1,140 $1,095 $45 4.1% (1) Primarily represents severance charges and transformation initiative costs, partially offset by the reversal of costs associated with a legal matter.(2) Fiscal year 2026 and fiscal year 2025 include intangible amortization expense and acquisition costs.(3) Represents a constant currency adjustment, which eliminates the impact of foreign currency fluctuations on current year results.(4) Includes restructuring and transformation costs primarily in Europe.(5) Includes various transformation initiative costs, primarily consisting of changes to our business technology strategy.(6) Represents due diligence costs.NM Represents that the percentage change is not meaningful. Sysco Corporation and its Consolidated Subsidiaries
Segment Results
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items on Applicable Segments
(Dollars in Millions) 52-Week
Period Ended
Jun. 27, 2026 52-Week
Period Ended
Jun. 28, 2025 Change in
Dollars %/bps
ChangeU.S. FOODSERVICE OPERATIONS Sales (GAAP)$58,803 $56,965 $1,838 3.2%Gross profit (GAAP) 11,239 10,875 364 3.3%Gross margin (GAAP) 19.11% 19.09% 2 bps Operating expenses (GAAP)$7,721 $7,359 $362 4.9%Impact of restructuring and transformational project costs (1) (49) (45) (4) 8.9 Impact of acquisition-related costs (2) (90) (71) (19) (26.8)Operating expenses adjusted for Certain Items (Non-GAAP)$7,582 $7,243 $339 4.7% Operating income (GAAP)$3,518 $3,516 $2 0.1%Impact of restructuring and transformational project costs (1) 49 45 4 8.9 Impact of acquisition-related costs (2) 90 71 19 26.8 Operating income adjusted for Certain Items (Non-GAAP)$3,657 $3,632 $25 0.7% INTERNATIONAL FOODSERVICE OPERATIONS Sales (GAAP)$16,042 $14,905 $1,137 7.6%Impact of Mexico joint venture sales — (207) 207 1.5 Comparable sales excluding Mexico joint venture (Non-GAAP)$16,042 $14,698 $1,344 9.1% Sales (GAAP)$16,042 $14,905 $1,137 7.6%Impact of currency fluctuations (3) (523) (523) (3.5)Comparable sales using a constant currency basis
(Non-GAAP)$15,519 $14,905 $614 4.1% Gross profit (GAAP)$3,401 $3,109 $292 9.4%Impact of currency fluctuations (3) (125) (125) (4.0)Comparable gross profit using a constant currency basis (Non-GAAP)$3,276 $3,109 $167 5.4% Gross margin (GAAP) 21.20% 20.86% 34 bpsImpact of currency fluctuations (3) (0.09) -9 bpsComparable gross margin using a constant currency basis
(Non-GAAP) 21.11% 20.86% 25 bps Operating expenses (GAAP)$2,938 $2,672 $266 10.0%Impact of restructuring and transformational project costs (4) (148) (74) (74) (100.0)Impact of acquisition-related costs (2) (70) (74) 4 5.4 Operating expenses adjusted for Certain Items (Non-GAAP) 2,720 2,524 196 7.8 Impact of currency fluctuations (3) (111) (111) (4.4)Comparable operating expenses adjusted for Certain Items
using a constant currency basis (Non-GAAP)$2,609 $2,524 $85 3.4% Operating income (GAAP)$463 $437 $26 5.9%Impact of restructuring and transformational project costs (4) 148 74 74 100.0 Impact of acquisition-related costs (2) 70 74 (4) (5.4)Operating income adjusted for Certain Items (Non-GAAP) 681 585 96 16.4 Impact of currency fluctuations (3) (14) (14) (2.4)Comparable operating income adjusted for Certain Items
using a constant currency basis (Non-GAAP)$667 $585 $82 14.0% SYGMA Sales (GAAP)$8,623 $8,410 $213 2.5%Gross profit (GAAP) 671 662 9 1.4%Gross margin (GAAP) 7.78% 7.87% -9 bps Operating expenses (GAAP)$577 $581 $(4) (0.7)%Operating income (GAAP) 94 81 13 16.0% OTHER Sales (GAAP)$1,085 $1,090 $(5) (0.5)%Gross profit (GAAP) 281 266 15 5.6%Gross margin (GAAP) 25.90% 24.40% 150 bps Operating expenses (GAAP)$251 $339 $(88) (26.0)%Impact of goodwill impairment — (92) 92 NMOperating expenses adjusted for Certain Items (Non-GAAP)$251 $247 $4 1.6% Operating income (loss) (GAAP)$30 $(73) $103 NMImpact of goodwill impairment — (92) 92 NMOperating income adjusted for Certain Items (Non-GAAP)$30 $19 $11 57.9% GLOBAL SUPPORT CENTER Gross profit (GAAP)$47 $57 $(10) (17.5)% Operating expenses (GAAP)$1,057 $930 $127 13.7%Impact of restructuring and transformational project costs (5) (90) (64) (26) (40.6)Impact of acquisition-related costs (6) (72) (15) (57) NMOperating expenses adjusted for Certain Items (Non-GAAP)$895 $851 $44 5.2% Operating loss (GAAP)$(1,010) $(873) $(137) (15.7)%Impact of restructuring and transformational project costs (5) 90 64 26 40.6 Impact of acquisition-related costs (6) 72 15 57 NMOperating loss adjusted for Certain Items (Non-GAAP)$(848) $(794) $(54) (6.8)% TOTAL SYSCO Sales (GAAP)$84,553 $81,370 $3,183 3.9%Gross profit (GAAP) 15,639 14,969 670 4.5%Gross margin (GAAP) 18.50% 18.40% 10 bps Operating expenses (GAAP)$12,544 $11,881 $663 5.6%Impact of restructuring and transformational project costs (1) (4) (5) (287) (183) (104) (56.8)Impact of acquisition-related costs (2) (6) (232) (160) (72) (45.0)Impact of goodwill impairment — (92) 92 NMOperating expenses adjusted for Certain Items (Non-GAAP)$12,025 $11,446 $579 5.1% Operating income (GAAP)$3,095 $3,088 $7 0.2%Impact of restructuring and transformational project costs (1) (4) (5) 287 183 104 56.8 Impact of acquisition-related costs (2) (6) 232 160 72 45.0 Impact of goodwill impairment — 92 (92) NMOperating income adjusted for Certain Items (Non-GAAP)$3,614 $3,523 $91 2.6% (1) Primarily represents severance charges, transformation initiative costs, and costs associated with a legal matter.(2) Fiscal year 2026 and fiscal year 2025 include intangible amortization expense and acquisition costs.(3) Represents a constant currency adjustment, which eliminates the impact of foreign currency fluctuations on current year results.(4) Includes restructuring and transformation costs primarily in Europe.(5) Includes various transformation initiative costs, primarily consisting of changes to our business technology strategy.(6) Represents due diligence costs.NM Represents that the percentage change is not meaningful. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Free Cash Flow
(In Millions)
Free cash flow represents net cash provided from operating activities less purchases of plant and equipment and includes proceeds from sales of plant and equipment. Sysco considers free cash flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by the business after the purchases and sales of buildings, fleet, equipment and technology, which may potentially be used to pay for, among other things, strategic uses of cash including dividend payments, share repurchases and acquisitions. However, free cash flow may not be available for discretionary expenditures, as it may be necessary that we use it to make mandatory debt service or other payments. Free cash flow should not be used as a substitute for the most comparable GAAP financial measure in assessing the company’s liquidity for the periods presented. An analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP. In the table that follows, free cash flow for each period presented is reconciled to net cash provided by operating activities.
52-Week
Period Ended
Jun. 27, 2026 52-Week
Period Ended
Jun. 28, 2025 52-Week
Period Change
in DollarsNet cash provided by operating activities (GAAP)$2,638 $2,510 $128 Additions to plant and equipment (700) (906) 206 Proceeds from sales of plant and equipment 176 214 (38)Free Cash Flow (Non-GAAP)$2,114 $1,818 $296 Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items on Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA)
(Dollars in Millions)
EBITDA represents net earnings (loss) plus (i) interest expense, (ii) income tax expense and benefit, (iii) depreciation and (iv) amortization. The net earnings (loss) component of our EBITDA calculation is impacted by Certain Items that we do not consider representative of our underlying performance. As a result, in the non-GAAP reconciliations below for each period presented, adjusted EBITDA is computed as EBITDA plus the impact of Certain Items, excluding certain items related to interest expense, income taxes, depreciation and amortization. Sysco's management considers growth in this metric to be a measure of overall financial performance that provides useful information to management and investors about the profitability of the business, as it facilitates comparison of performance on a consistent basis from period to period by providing a measurement of recurring factors and trends affecting our business. Additionally, it is a commonly used component metric used to inform on capital structure decisions. Adjusted EBITDA should not be used as a substitute for the most comparable GAAP financial measure in assessing the company’s financial performance for the periods presented. An analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP. In the tables that follow, adjusted EBITDA for each period presented is reconciled to net earnings.
13-Week
Period Ended
Jun. 27, 2026 13-Week
Period Ended
Jun. 28, 2025 Change in
Dollars % ChangeNet earnings (GAAP)$551 $531 $20 3.8%Interest (GAAP) 205 166 39 23.5 Income taxes (GAAP) 169 186 (17) (9.1)Depreciation and amortization (GAAP) 252 234 18 7.7 EBITDA (Non-GAAP)$1,177 $1,117 $60 5.4%Certain Item adjustments: Impact of restructuring and
transformational project costs (1) 77 74 3 4.1 Impact of acquisition-related costs (2) 38 3 35 NMImpact of deal contingent rate lock
transactions (3) 54 — 54 NMImpact of goodwill impairment — 92 (92) NMEBITDA adjusted for Certain Items
(Non-GAAP) (4)$1,346 $1,286 $60 4.7%Other expense (income), net, as
adjusted (Non-GAAP) (5) 4 6 (2) (33.3)Depreciation and amortization, as
adjusted (Non-GAAP) (6) (210) (197) (13) (6.6)Operating income adjusted for Certain
Items (Non-GAAP)$1,140 $1,095 $45 4.1% (1) Fiscal year 2026 and fiscal year 2025 include charges related to restructuring and severance, as well as various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy, excluding charges related to accelerated depreciation. In addition, fiscal year 2026 includes the reversal of charges associated with a legal matter.(2) Fiscal year 2026 and fiscal year 2025 include acquisition and due diligence costs.(3) Fiscal year 2026 includes a loss on deal contingent rate lock transactions related to the planned acquisition of Jetro Restaurant Depot.(4) In arriving at adjusted EBITDA, Sysco does not adjust out interest income of $8 million and $8 million or non-cash stock compensation expense of $24 million and $19 million in fiscal year 2026 and fiscal year 2025, respectively.(5) Fiscal year 2026 represents $58 million in GAAP other expense (income), net less $54 million in expense from a loss on deal contingent rate lock transactions entered into to mitigate interest rate risk on future permanent debt that could potentially be issued to finance the purchase of Jetro Restaurant Depot. Fiscal year 2025 represents $6 million in GAAP other expense (income), net.(6) Fiscal year 2026 includes $252 million in GAAP depreciation and amortization expense, less $42 million of Non-GAAP depreciation and amortization expense primarily related to acquisitions. Fiscal year 2025 includes $234 million in GAAP depreciation and amortization expense, less $37 million of Non-GAAP depreciation and amortization expense primarily related to acquisitions.NM Represents that the percentage change is not meaningful. 52-Week
Period Ended
Jun. 27, 2026 52-Week
Period Ended
Jun. 28, 2025 Change in
Dollars % ChangeNet earnings (GAAP)$1,757 $1,828 $(71) (3.9)%Interest (GAAP) 717 635 82 12.9 Income taxes (GAAP) 519 587 (68) (11.6)Depreciation and amortization (GAAP) 976 945 31 3.3 EBITDA (Non-GAAP)$3,969 $3,995 $(26) (0.7)%Certain Item adjustments: Impact of restructuring and
transformational project costs (1) 280 179 101 56.4 Impact of acquisition-related costs (2) 84 27 57 NMImpact of deal contingent rate lock
transactions (3) 54 — 54 NMImpact of goodwill impairment — 92 (92) NMEBITDA adjusted for Certain Items
(Non-GAAP) (4)$4,387 $4,293 $94 2.2%Other expense (income), net, as adjusted
(Non-GAAP) (5) 48 38 10 26.3 Depreciation and amortization, as
adjusted (Non-GAAP) (6) (821) (808) (13) (1.6)Operating income adjusted for Certain
Items (Non-GAAP)$3,614 $3,523 $91 2.6% (1) Fiscal year 2026 and fiscal year 2025 include charges related to restructuring and severance, as well as various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy, excluding charges related to accelerated depreciation. In addition, fiscal 2026 includes charges associated with a legal matter.(2) Fiscal year 2026 and fiscal year 2025 include acquisition and due diligence costs.(3) Fiscal year 2026 includes a loss on deal contingent rate lock transactions related to the planned acquisition of Jetro Restaurant Depot.(4) In arriving at adjusted EBITDA, Sysco does not exclude interest income of $27 million and $29 million or non-cash stock compensation expense of $118 million and $93 million for fiscal year 2026 and fiscal year 2025, respectively.(5) Fiscal year 2026 represents $102 million in GAAP other expense (income), net less $54 million in expense from a loss on deal contingent rate lock transactions entered into to mitigate interest rate risk on future permanent debt that could potentially be issued to finance the purchase of Jetro Restaurant Depot. Fiscal year 2025 represents $38 million in GAAP other expense (income), net.(6) Fiscal year 2026 includes $976 million in GAAP depreciation and amortization expense, less $155 million of Non-GAAP depreciation and amortization expense primarily related to acquisitions. Fiscal year 2025 includes $945 million in GAAP depreciation and amortization expense, less $137 million of Non-GAAP depreciation and amortization expense primarily related to acquisitions.NM Represents that the percentage change is not meaningful. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Net Debt to Adjusted EBITDA
(In Millions)
Net Debt to Adjusted EBITDA is a non-GAAP financial measure frequently used by investors and credit rating agencies. It is an important measure used by management to evaluate our access to liquidity, and we believe it is a representation of our financial strength. Our Net Debt to Adjusted EBITDA ratio is calculated using a numerator of our debt minus cash and cash equivalents, divided by the sum of the most recent four quarters of Adjusted EBITDA. In the table that follows, we have provided the calculation of our debt and net debt as a ratio of Adjusted EBITDA.
Jun. 27, 2026Current maturities of long-term debt $1,201 Long-term debt 12,315 Total Debt (GAAP) 13,516 Cash & Cash Equivalents (1,786)Net Debt (Non-GAAP) $11,730 Net Earnings for the previous 12 months (GAAP) $1,757 Adjusted EBITDA for the previous 12 months (Non-GAAP) (1) $4,387 Total Debt/Net Earnings Ratio (GAAP) 7.69 Total Debt/Adjusted EBITDA Ratio (Non-GAAP) 3.08 Net Debt/Adjusted EBITDA Ratio (Non-GAAP) 2.67 Note:(1) Refer to non-GAAP reconciliation at the end of this release. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items on Earnings Before Interest, Taxes, Depreciation and Amortization (Trailing Twelve Months)
(In Millions)
13-Week
Period Ended
Jun. 27, 2026 13-Week
Period Ended
Mar. 28, 2026 13-Week
Period Ended
Dec. 27, 2025 13-Week
Period Ended
Sep. 27, 2025 TotalNet earnings (GAAP)$551 $340 $389 $477 $1,757Interest (GAAP) 205 168 173 171 717Income taxes (GAAP) 169 105 121 124 519Depreciation and amortization (GAAP) 252 251 240 233 976EBITDA (Non-GAAP)$1,177 $864 $923 $1,005 $3,969Certain Item adjustments: Impact of restructuring and
transformational project costs (1) 77 93 55 55 280Impact of acquisition-related costs (2) 38 13 23 10 84Impact of deal contingent rate lock
transactions (3) 54 — — — 54EBITDA adjusted for Certain Items
(Non-GAAP) (4)$1,346 $970 $1,001 $1,070 $4,387 (1) Includes charges related to restructuring and severance, as well as various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy, excluding charges related to accelerated depreciation. In addition, the 13-week period ended Jun. 27, 2026 includes the reversal of charges associated with a legal matter that were included in the 13-week period ended Mar. 28, 2026.(2) Includes acquisition and due diligence costs.(3) Includes a loss on deal contingent rate lock transactions related to the planned acquisition of Jetro Restaurant Depot.(4) In arriving at adjusted EBITDA, Sysco does not adjust out interest income of $8 million or non-cash stock compensation expense of $24 million in Q4 fiscal year 2026, interest income of $6 million or non-cash stock compensation expense of $31 million in Q3 fiscal year 2026, interest income of $5 million or non-cash stock compensation expense of $33 million in Q2 fiscal year 2026, nor interest income of $6 million or non-cash stock compensation expense of $31 million in Q1 fiscal year 2026. Projected Adjusted EPS Guidance
Adjusted earnings per share is a non-GAAP financial measure; however, we cannot predict with certainty the magnitude or scope of certain items that would be included in the most directly comparable GAAP measure for the relevant future periods, and such items may be significant. Due to these uncertainties, we cannot provide a quantitative reconciliation of projected adjusted EPS to the most directly comparable GAAP financial measure without unreasonable effort. However, we expect to calculate adjusted earnings per share for future periods in the same manner as the reconciliations provided for the historical periods herein.
A Sysco sign is shown outside one of their distribution centers in Poway, California, U.S. February 6, 2017. REUTERS/Mike Blake Purchase Licensing Rights, opens new tab
Aug 4 (Reuters) - Sysco (SYY.N), opens new tab beat Wall Street estimates for fourth-quarter sales on Tuesday, helped by improving orders from local and international customers despite macroeconomic uncertainty.
The company's quarterly sales rose 4.7% to about $22.12 billion, compared with analysts' estimate of a 3.8% rise to $21.94 billion, according to data compiled by LSEG.
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Reporting by Krisha Bhatt in Bengaluru; Editing by Sahal Muhammed
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Key Takeaways Sysco is expected to post Q4 revenues of $21.9B and EPS of $1.51, up 3.7% and 2%, respectively.U.S. Foodservice growth may reflect stronger retention, new customer wins and improved sales productivity.International gains and supply-chain efficiencies may support growth, while higher costs pressure results. Sysco Corporation (SYY - Free Report) is likely to witness top and bottom-line growth when it reports fourth-quarter fiscal 2026 earnings on Aug. 4. The Zacks Consensus Estimate for revenues is pegged at $21.9 billion, indicating a 3.7% rise from the prior-year quarter’s reported figure.
The consensus mark for earnings has remained unchanged over the past 30 days at $1.51 per share, which implies a 2% increase from the figure reported in the year-ago quarter. SYY has a trailing four-quarter earnings surprise of 2.1%, on average.
Factors Likely to Influence SYY’s Upcoming ResultsSysco’s fiscal fourth-quarter performance is likely to have been supported by continued momentum in its core U.S. Foodservice business. In the fiscal third quarter, local case volumes increased 3.3%, marking the strongest quarterly growth in more than three years. The company has been witnessing improved sales productivity, stronger customer retention and healthy new customer wins. These factors are likely to have supported market share gains despite an industry backdrop marked by soft restaurant traffic. The Zacks Consensus Estimate indicates an increase of 3.3% in the U.S. Foodservice Operations revenues.
The International segment is also likely to have contributed to revenue growth, backed by healthy local case expansion and continued operational strength across geographies. The business has been benefiting from expanded supply-chain capacity, greater availability of Sysco-branded products and higher sales headcount. These factors are likely to have continued supporting volume growth and operating performance in the fiscal fourth quarter. The Zacks Consensus Estimate indicates an increase of 6.7% in the International Foodservice Operations revenues.
On the profitability front, the fiscal fourth quarter is likely to have benefited from strategic sourcing initiatives, a favorable customer mix and disciplined management of product costs, which contributed to gross margin expansion in the fiscal third quarter. Continued improvements in supply-chain productivity, including better warehouse efficiency, fill rates and order accuracy, are also likely to have supported earnings growth in the fiscal fourth quarter.
Despite these positives, results are likely to face some pressure from higher operating expenses. Continued investments in sales headcount and capacity expansion are likely to have kept costs elevated in the fiscal fourth quarter. In addition, persistent softness in restaurant foot traffic, particularly among national restaurant customers, might have weighed on overall volume growth, partly offsetting the benefits from continued productivity gains and margin expansion.
Earnings Whispers for SYYOur proven model conclusively predicts an earnings beat for Sysco this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.
Sysco carries a Zacks Rank #3 and has an Earnings ESP of +0.20%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
More Stocks With the Favorable CombinationHere are a few other companies worth considering, as our model shows that these, too, have the right combination of elements to beat on earnings this reporting cycle.
The Kraft Heinz Company (KHC - Free Report) currently has an Earnings ESP of +0.82% and a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Kraft Heinz’s upcoming quarterly earnings per share is pegged at 53 cents, implying a 23.2% year-over-year decline. The Zacks Consensus Estimate for quarterly revenues is pegged at $6.2 billion, which indicates a decrease of 3% from the figure reported in the prior-year quarter. KHC has a trailing four-quarter earnings surprise of 10.2%, on average.
US Foods Holding Corp. (USFD - Free Report) currently has an Earnings ESP of +1.10% and a Zacks Rank of 2. The Zacks Consensus Estimate for upcoming quarterly earnings per share is pegged at $1.37, implying 15.1% year-over-year growth.
The Zacks Consensus Estimate for quarterly revenues is pegged at $10.5 billion, which indicates growth of 3.8% from the figure reported in the prior-year quarter. USFD has a trailing four-quarter earnings surprise of 1.4%, on average.
Kimberly-Clark Corporation (KMB - Free Report) currently has an Earnings ESP of +1.43% and a Zacks Rank of 3. The Zacks Consensus Estimate for Kimberly-Clark’s upcoming quarterly revenues is pegged at $4.23 billion. The figure implies a 1.7% increase from the prior-year quarter.
The Zacks Consensus Estimate for Kimberly-Clark’s quarterly earnings per share is pegged at $2.00, indicating a 4.2% gain from the year-ago period. KMB delivered a trailing four-quarter earnings surprise of 19.1%, on average.
Edgestream Partners L.P. cut its holdings in Sysco Corporation (NYSE:SYY – Free Report) by 72.0% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 28,637 shares of the company’s stock after selling 73,599 shares during the period. Edgestream Partners L.P.’s holdings in Sysco were worth $2,043,000 as of its most recent filing with the Securities and Exchange Commission.
A number of other hedge funds and other institutional investors also recently made changes to their positions in the business. Lloyd Advisory Services LLC. acquired a new stake in Sysco during the fourth quarter worth approximately $25,000. Motiv8 Investments LLC acquired a new position in Sysco in the fourth quarter valued at approximately $25,000. Sunbelt Securities Inc. boosted its holdings in shares of Sysco by 87.6% during the 1st quarter. Sunbelt Securities Inc. now owns 364 shares of the company’s stock worth $26,000 after buying an additional 170 shares in the last quarter. Torren Management LLC bought a new position in shares of Sysco during the 4th quarter worth approximately $27,000. Finally, Bard Associates Inc. acquired a new stake in shares of Sysco during the 4th quarter worth approximately $27,000. 83.41% of the stock is owned by institutional investors and hedge funds.
Insider Activity In other Sysco news, Director John M. Hinshaw purchased 13,304 shares of Sysco stock in a transaction that occurred on Tuesday, May 26th. The stock was acquired at an average price of $75.17 per share, with a total value of $1,000,061.68. Following the transaction, the director owned 40,200 shares in the company, valued at $3,021,834. This trade represents a 49.46% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.56% of the stock is currently owned by corporate insiders.
Wall Street Analysts Forecast Growth SYY has been the subject of several research analyst reports. Deutsche Bank Aktiengesellschaft lowered shares of Sysco from a “buy” rating to a “hold” rating and set a $84.00 price objective for the company. in a research note on Tuesday, April 28th. Sanford C. Bernstein cut their target price on shares of Sysco from $90.00 to $85.00 and set a “market perform” rating on the stock in a research note on Wednesday, April 29th. Wall Street Zen cut shares of Sysco from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Piper Sandler decreased their price target on shares of Sysco from $83.00 to $77.00 and set a “neutral” rating for the company in a research note on Tuesday, April 7th. Finally, Citigroup reiterated a “neutral” rating on shares of Sysco in a report on Wednesday, July 22nd. Eight equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $88.00.
View Our Latest Stock Analysis on Sysco
Sysco Trading Up 0.1% Shares of Sysco stock opened at $85.31 on Monday. The stock has a market capitalization of $40.84 billion, a PE ratio of 23.63, a price-to-earnings-growth ratio of 3.36 and a beta of 0.64. Sysco Corporation has a 52 week low of $68.19 and a 52 week high of $91.85. The stock has a 50 day moving average price of $80.46 and a two-hundred day moving average price of $80.18. The company has a debt-to-equity ratio of 5.58, a quick ratio of 0.80 and a current ratio of 1.33.
About Sysco (Free Report)
Sysco Corporation (NYSE: SYY) is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.
Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.
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Sysco (SYY - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.
The earnings report, which is expected to be released on August 4, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.
Zacks Consensus EstimateThis food distributor is expected to post quarterly earnings of $1.51 per share in its upcoming report, which represents a year-over-year change of +2%.
Revenues are expected to be $21.92 billion, up 3.7% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.07% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Sysco?For Sysco, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +0.56%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination indicates that Sysco will most likely beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Sysco would post earnings of $0.95 per share when it actually produced earnings of $0.94, delivering a surprise of -1.05%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Sysco appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Bank of Nova Scotia lessened its position in shares of Sysco Corporation (NYSE:SYY – Free Report) by 10.9% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 66,710 shares of the company’s stock after selling 8,187 shares during the period. Bank of Nova Scotia’s holdings in Sysco were worth $4,758,000 at the end of the most recent reporting period.
A number of other hedge funds and other institutional investors have also bought and sold shares of the company. Dickmeyer Boyce Financial Management Inc. bought a new position in shares of Sysco in the first quarter worth approximately $930,000. Sei Investments Co. boosted its holdings in shares of Sysco by 114.7% in the first quarter. Sei Investments Co. now owns 626,554 shares of the company’s stock worth $44,694,000 after buying an additional 334,663 shares during the last quarter. Lido Advisors LLC increased its stake in shares of Sysco by 46.8% in the first quarter. Lido Advisors LLC now owns 21,108 shares of the company’s stock worth $1,506,000 after purchasing an additional 6,726 shares in the last quarter. State of Wyoming boosted its position in shares of Sysco by 36.1% during the first quarter. State of Wyoming now owns 5,630 shares of the company’s stock worth $402,000 after acquiring an additional 1,494 shares during the last quarter. Finally, Levin Capital Strategies L.P. bought a new stake in Sysco in the first quarter worth $3,043,000. Institutional investors own 83.41% of the company’s stock.
Sysco Price Performance SYY opened at $84.12 on Tuesday. The company has a debt-to-equity ratio of 5.58, a quick ratio of 0.80 and a current ratio of 1.33. The company has a market capitalization of $40.27 billion, a P/E ratio of 23.30, a PEG ratio of 3.27 and a beta of 0.64. Sysco Corporation has a 1-year low of $68.19 and a 1-year high of $91.85. The company has a 50-day moving average of $79.73 and a 200-day moving average of $79.86.
Sysco (NYSE:SYY – Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The company reported $0.94 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.95 by ($0.01). Sysco had a net margin of 2.08% and a return on equity of 103.57%. The company had revenue of $20.52 billion during the quarter, compared to the consensus estimate of $20.56 billion. During the same quarter last year, the business earned $0.96 earnings per share. The company’s revenue was up 4.7% on a year-over-year basis. Equities analysts expect that Sysco Corporation will post 4.59 EPS for the current fiscal year.
Analyst Upgrades and Downgrades Several research firms have recently weighed in on SYY. Citigroup reaffirmed a “neutral” rating on shares of Sysco in a research note on Wednesday, July 22nd. Morgan Stanley upped their target price on shares of Sysco from $84.00 to $88.00 and gave the stock an “equal weight” rating in a report on Thursday, July 16th. Piper Sandler cut their target price on shares of Sysco from $83.00 to $77.00 and set a “neutral” rating on the stock in a research note on Tuesday, April 7th. Barclays decreased their target price on Sysco from $92.00 to $86.00 and set an “overweight” rating for the company in a research note on Wednesday, April 29th. Finally, Melius Research downgraded Sysco from a “hold” rating to a “sell” rating in a report on Tuesday, July 7th. Eight research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $88.00.
View Our Latest Research Report on SYY
Insiders Place Their Bets In other Sysco news, Director John M. Hinshaw acquired 13,304 shares of Sysco stock in a transaction dated Tuesday, May 26th. The stock was bought at an average cost of $75.17 per share, with a total value of $1,000,061.68. Following the completion of the transaction, the director owned 40,200 shares of the company’s stock, valued at $3,021,834. The trade was a 49.46% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.56% of the company’s stock.
Sysco Company Profile (Free Report)
Sysco Corporation (NYSE: SYY) is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.
Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.
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Arrowstreet Capital Limited Partnership lowered its stake in shares of Sysco Corporation (NYSE:SYY – Free Report) by 21.1% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 680,263 shares of the company’s stock after selling 181,830 shares during the period. Arrowstreet Capital Limited Partnership owned approximately 0.14% of Sysco worth $48,523,000 at the end of the most recent reporting period.
Other hedge funds also recently made changes to their positions in the company. Intech Investment Management LLC boosted its holdings in Sysco by 53.1% in the first quarter. Intech Investment Management LLC now owns 22,310 shares of the company’s stock valued at $1,674,000 after acquiring an additional 7,742 shares during the last quarter. Schnieders Capital Management LLC. increased its stake in Sysco by 24.1% during the second quarter. Schnieders Capital Management LLC. now owns 10,310 shares of the company’s stock worth $781,000 after acquiring an additional 2,000 shares during the last quarter. NewEdge Advisors LLC raised its holdings in shares of Sysco by 62.4% in the 2nd quarter. NewEdge Advisors LLC now owns 35,447 shares of the company’s stock worth $2,685,000 after purchasing an additional 13,616 shares during the period. Sei Investments Co. raised its holdings in shares of Sysco by 14.2% in the 2nd quarter. Sei Investments Co. now owns 344,504 shares of the company’s stock worth $26,092,000 after purchasing an additional 42,903 shares during the period. Finally, Treasurer of the State of North Carolina lifted its stake in shares of Sysco by 0.8% in the 2nd quarter. Treasurer of the State of North Carolina now owns 226,648 shares of the company’s stock valued at $17,166,000 after purchasing an additional 1,710 shares in the last quarter. Institutional investors and hedge funds own 83.41% of the company’s stock.
Insider Transactions at Sysco In other news, Director John M. Hinshaw acquired 13,304 shares of the company’s stock in a transaction dated Tuesday, May 26th. The shares were bought at an average price of $75.17 per share, for a total transaction of $1,000,061.68. Following the completion of the purchase, the director directly owned 40,200 shares of the company’s stock, valued at approximately $3,021,834. This trade represents a 49.46% increase in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 0.56% of the stock is owned by company insiders.
Analyst Ratings Changes A number of analysts have recently issued reports on the company. Barclays decreased their target price on Sysco from $92.00 to $86.00 and set an “overweight” rating for the company in a report on Wednesday, April 29th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Sysco in a research report on Friday, June 26th. Deutsche Bank Aktiengesellschaft downgraded shares of Sysco from a “buy” rating to a “hold” rating and set a $84.00 price objective for the company. in a research note on Tuesday, April 28th. UBS Group dropped their price objective on shares of Sysco from $95.00 to $90.00 and set a “buy” rating for the company in a research report on Thursday, April 2nd. Finally, Guggenheim cut their target price on shares of Sysco from $95.00 to $90.00 and set a “buy” rating on the stock in a research note on Thursday, April 2nd. Eight equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $88.00.
View Our Latest Analysis on SYY
Sysco Price Performance SYY stock opened at $84.12 on Tuesday. The firm has a market cap of $40.27 billion, a P/E ratio of 23.30, a price-to-earnings-growth ratio of 3.27 and a beta of 0.64. The company has a debt-to-equity ratio of 5.58, a quick ratio of 0.80 and a current ratio of 1.33. Sysco Corporation has a 1 year low of $68.19 and a 1 year high of $91.85. The stock has a 50-day simple moving average of $79.73 and a 200-day simple moving average of $79.86.
Sysco (NYSE:SYY – Get Free Report) last released its quarterly earnings results on Tuesday, April 28th. The company reported $0.94 EPS for the quarter, missing the consensus estimate of $0.95 by ($0.01). The company had revenue of $20.52 billion for the quarter, compared to analyst estimates of $20.56 billion. Sysco had a return on equity of 103.57% and a net margin of 2.08%.The business’s revenue was up 4.7% on a year-over-year basis. During the same period last year, the firm posted $0.96 earnings per share. On average, equities analysts predict that Sysco Corporation will post 4.59 earnings per share for the current fiscal year.
Sysco Profile (Free Report)
Sysco Corporation (NYSE: SYY) is a global foodservice distribution company that supplies a broad range of food and related products to restaurants, healthcare and educational facilities, lodging establishments, and other foodservice customers. Its core business is the procurement, warehousing and delivery of fresh, frozen and dry food products, complemented by non-food items such as paper goods, kitchen equipment, cleaning supplies and tabletop products. Sysco serves customers through an extensive network of distribution centers and dedicated delivery fleets, positioning itself as a one-stop supplier for operators of all sizes.
Founded in 1969 and headquartered in Houston, Texas, Sysco has grown through both organic expansion and acquisitions.
Featured Articles Five stocks we like better than Sysco AirJoule’s Kubota Deal Is a Major Validation—But the Hard Part Comes Next Dividend Stocks May Be the Quiet Rotation Trade Investors Are Missing Now Refiner Stocks Are Near Record Highs—Can Iran-Driven Margins Keep Them There? Verizon May Be an AI Infrastructure Stock Hiding in Plain Sight Want to see what other hedge funds are holding SYY? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Sysco Corporation (NYSE:SYY – Free Report).
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July 14, 2026 08:01 ET | Source: Sysco Corporation
HOUSTON, July 14, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY) will host a conference call and webcast to discuss its fourth quarter and fiscal year 2026 financial results at 10 a.m. ET on Tuesday, August 4, 2026.
All interested parties are invited to listen online at investors.sysco.com. Prior to the conference call and webcast, the company will also issue a news release and post a slide presentation in the investor relations section of its website. A replay of the webcast will be available online shortly after the live webcast is completed.
For purposes of public disclosure, including this and future similar events, Sysco uses the investor relations section of its website, found at investors.sysco.com, as the primary channel for publishing key information to its investors, some of which may contain material and previously non-public information.
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 337 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 730,000 customer locations. The company generated sales of more than $81 billion in fiscal year 2025 that ended June 28, 2025.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions.
For more information, visit www.sysco.com. For important news and key information for Sysco investors, visit the Investor Relations section of the company’s website at investors.sysco.com.
For more information contact: Kevin KimCassandra MauelInvestor ContactMedia [email protected]@sysco.comT 281-584-1219 T 281-584-1390 SYY-INVESTORS
HOUSTON, July 06, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (SYY) is proud to announce that 25 delivery partners have been named to the International Foodservice Distributors Association (IFDA) 2026 Truck Driver Hall of Fame, one of the highest honors in foodservice distribution.
Sysco’s inductees are part of a record-breaking Hall of Fame class of 108 drivers recognized by IFDA this year. Nearly doubling Sysco's representation from last year, the recognition reflects the strength of the company’s transportation teams and its ongoing commitment to safety and operational excellence.
Hall of Fame drivers must meet rigorous standards:
At least 25 years of continuous service with an IFDA member company.25 years without a chargeable accident.No moving violations within the past five years. Induction into the Hall of Fame represents a lifetime achievement and a testament to a decades-long career of safe driving, customer service and professional excellence.
“Our delivery partners are the face of our business, and we are incredibly proud of their great work, reliability and commitment to safety. They earned this well-deserved recognition from IFDA because of this dedication to our communities and customers,” said Bryce White, Vice President for U.S. Operations and Global Center of Excellence at Sysco.
Sysco delivery partners play a vital role in helping the company's customers succeed every day. Beyond safely operating specialized equipment and navigating complex delivery routes, they serve as trusted frontline representatives, building relationships with customers and helping restaurants, healthcare facilities, educational institutions and other food-away-from-home operators receive the quality products and service they expect.
The 2026 Sysco inductees will be recognized on Sept. 14, 2026 at the IFDA Truck Driver Hall of Fame ceremony in San Antonio.
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 339 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 730,000 customer locations. The company generated sales of more than $81 billion in fiscal year 2025 that ended June 28, 2025.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions.
For more information, visit www.sysco.com. For important news and key information for Sysco investors, visit the Investor Relations section of the company’s website at investors.sysco.com.
HONG KONG, July 02, 2026 (GLOBE NEWSWIRE) -- Guest Supply Asia today announced a licensing agreement with HAAN to manufacture and distribute HAAN-branded personal care products for hotels across Asia Pacific.
The agreement combines HAAN’s design-led, refillable approach to personal care with Guest Supply’s product development, manufacturing, distribution and service capabilities for hotel operators. It will give hospitality customers easier access to premium, operationally ready products.
HAAN is a travel-centric personal care brand known for practical, portable products designed for life on the go. Its formulas emphasize clean, natural and vegan ingredients, while its refillable systems are intended to help reduce single-use plastic waste. The brand also supports clean-water initiatives by directing a share of profits toward underground water wells in developing communities.
“This partnership is a strong fit for the hospitality market in Asia Pacific,” said Gustaf Lantz, senior vice president, EMEA and APAC regions, Guest Supply. “It combines HAAN’s modern, refillable design and clean formulations with Gilchrist & Soames’ expertise in developing and manufacturing high-quality amenities and Guest Supply’s ability to distribute at scale across the region.”
Under the agreement, Guest Supply will work with HAAN to localize product formats and operational requirements for the Asia-Pacific hospitality market, supporting consistent brand execution, dependable supply and streamlined ordering for hotel partners.
HAAN products are already available in more than 50 countries through thousands of points of sale, including concept and department stores, beauty chains and select travel retail locations. The new APAC licensing partnership is intended to accelerate availability and service levels for hospitality customers across the region.
About Guest Supply
With more than 40 years of experience, Guest Supply is a leader in hospitality supplies, serving major hotel chains and independent properties. As part of Sysco Corporation, it provides product development, manufacturing, distribution and service support.
About HAAN
HAAN is a Barcelona-born personal care brand dedicated to enriching everyday journeys with design-led, travel-ready products built around clean, vegan formulas and refillable systems.
HONG KONG, June 25, 2026 (GLOBE NEWSWIRE) -- Guest Supply today announced a licensing agreement with RODA to manufacture and distribute RODA-branded skincare and personal care products across Asia Pacific for the hotel sector.
The agreement combines Guest Supply’s hospitality manufacturing, distribution and service capabilities with RODA’s clinically formulated approach to skin and hair care. Created in Barcelona, RODA develops products with sensitive skin in mind and designs its formulas to be suitable for all skin types.
RODA combines natural active ingredients with advanced research, technology and a sustainability-led approach. Its development model draws on ingredient analysis, scientific literature and product-review insights, supporting exclusive formulas created in-house with pharmacists and dermatological experts.
“RODA brings a distinctive, clinically formulated skincare proposition grounded in innovation, which will resonate with hotels looking to elevate the in-room experience,” said Gustaf Lantz, senior vice president, EMEA and APAC regions, Guest Supply. “Through Gilchrist & Soames’ manufacturing and quality expertise and Guest Supply’s distribution capabilities across Asia Pacific, we can ensure brand integrity, reliable availability and make it easier for hotels to deliver a premium, performance-led amenity program at scale.”
Under the agreement, Guest Supply will align RODA collections to hospitality operating requirements while maintaining brand standards. This includes quality assurance, scalable supply and simplified ordering for hotel partners through Guest Supply’s established supply chain.
RODA is selectively distributed globally through dermatology clinics, concept stores and select hotels. Through this APAC licensing partnership, Guest Supply will expand access for hospitality customers across the region.
About Guest Supply
With more than 40 years of experience, Guest Supply is a leader in hospitality supplies, serving major hotel chains and independent properties. As part of Sysco Corporation, it provides product development, manufacturing, distribution and service support.
About RODA
RODA is a Barcelona-based dermatological beauty brand inspired by the Mediterranean lifestyle and built on a data-driven approach to formulation. The brand combines natural active ingredients with advanced research to deliver effective, vegan and sustainability-minded skincare and haircare.
TORONTO, June 17, 2026 (GLOBE NEWSWIRE) -- In a release issued earlier today by Sysco Corporation, please note that presenters involved have changed. The corrected release follows:
James Maloney, member of parliament for Etobicoke-Lakeshore, and other elected officials will join Sysco Canada on June 18, 2026 to present Second Harvest with a $50,000 donation.
The contribution, made through Sysco’s Nourishing Neighbours program, marks a milestone 26-year partnership and underscores Sysco Canada’s ongoing commitment to reducing hunger and food waste across Canada.
The contribution, made through Sysco’s Nourishing Neighbours program, underscores the company’s ongoing commitment to reducing hunger and food waste across Canada.
Over the course of Sysco Canada’s longstanding collaboration with Second Harvest, we have donated more than 1.34 million pounds of surplus food, equivalent to over one million meals, helping ensure good food reaches communities in need nationwide.
Sysco leaders, volunteers, and guests will conclude the event with a hands-on food sorting activity immediately following the press conference.
Event Details
What: Press Conference and presentation of $50,000 donation celebrating Sysco Canada and Second Harvest’s 26-year partnership
When: Thursday, June 18, 2026, 2:30 p.m. to 3:30 p.m. (new time)
RSVP IS REQUIRED TO ATTEND. Email [email protected] if you plan to attend and to receive additional information. Accredited media only.
Why It Matters
Food insecurity remains a persistent challenge across Canada, particularly in Northern and remote communities where access is more limited. Partnerships like the one between Sysco Canada and Second Harvest play a critical role in closing this gap by redistributing surplus food to non-profits and community organizations nationwide.
Through its Nourishing Neighbours program, Sysco Canada continues to invest in community-based solutions—directing proceeds from select products to support organizations focused on food access and hunger relief. As part of a multiyear commitment, 15% of all program donations will support Second Harvest’s efforts in Northern communities, where the need is especially acute.
In fiscal 2025 alone, Sysco Canada donated more than 1.2 million meals, over $365,000 in financial support, and more than 13,000 volunteer hours, supporting 220+ community partners across the country.
This milestone event highlights how long-term collaboration between businesses and non-profits can deliver measurable impact—reducing food waste while building stronger, more resilient communities.
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 337 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 730,000 customer locations. The company generated sales of more than $81 billion in fiscal year 2025 that ended June 28, 2025. As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions. For more information, visit www.sysco.ca
About Second Harvest
Second Harvest is Canada’s largest food rescue organization and a global thought leader on food waste and perishable food redistribution. It rescues unsold surplus food from thousands of food businesses from across the supply chain to redistribute it to non-profits in every province and territory. This prevents harmful greenhouse gases from entering the atmosphere while improving access to nutrition for millions of Canadians experiencing food insecurity. Beyond food rescue and redistribution, Second Harvest is deeply involved in advocacy, research, training and education. Its groundbreaking reports, such as “The Avoidable Crisis of Food Waste,” provide critical data and insights to inform public policy and educate the public on sustainable food systems.
Second Harvest is committed to driving systemic change, helping to shape policies and practices that reduce food waste and address its role in climate change, while also supporting communities by providing them with the food they need.
TORONTO, June 18, 2026 (GLOBE NEWSWIRE) -- Sysco Canada today announced a $50,000 donation to Second Harvest, marking the second consecutive year of support through its Nourishing Neighbours program and reinforcing the company’s commitment to addressing hunger and strengthening communities across Canada.
Presented at Second Harvest’s facility in Etobicoke, today’s contribution builds on a 26-year partnership focused on ensuring surplus food reaches those who need it most, helping reduce food waste while supporting communities nationwide.
“I’m so proud that over 26 years we’ve donated 1.34 million pounds of food to Second Harvest – that’s just over a million meals for our community” said Rodd Olmstead, Regional President, Sysco Canada.
“This is part of how we at Sysco Canada live our Purpose of Connecting the World to Share Food and Care for One Another,” Olmstead added.
Second Harvest, Canada’s largest food rescue organization, plays a vital role in redistributing surplus food to thousands of non-profits and community organizations nationwide, helping to deliver good food to people in need while reducing unnecessary food waste.
This partnership reflects Sysco Canada’s commitment to building more sustainable and equitable food systems.
Sysco Canada’s Nourishing Neighbours program supports community-based organizations by directing a portion of proceeds from select local Sysco-branded products to charitable partners. At least 75% of these funds support organizations focused on food access and hunger relief.
As part of a multiyear partnership with Second Harvest, Sysco Canada will also direct 15% of all Nourishing Neighbours donations to Second Harvest to help address food insecurity in Northern and remote communities, where the need is more prevalent, persistent and complex.
Sysco Canada has donated in fiscal year 2025 more than 1.2 million meals to communities across the country. In addition, Sysco Canada has provided over $365,000 in financial support to community partners and colleagues have volunteered more than 13,000 hours with food banks, community kitchens and food rescue organizations. Through these combined efforts, we supported more than 220 community partners nationwide.
“Sysco Canada’s commitment to fighting food insecurity has made a lasting difference for communities from coast to coast to coast. Together, we’ve helped provide more than one million meals to people in need across Canada, advancing our shared mission to keep good food on plates and out of landfills. We’re deeply grateful for Sysco’s 26 years of partnership and look forward to building on this impact together,” said Lori Nikkel, CEO of Second Harvest.
By working together, Sysco Canada and Second Harvest show how businesses, non-profits, and government partners can tackle food insecurity in meaningful, lasting ways. Their ongoing partnership goes beyond simple donations, reflecting a shared commitment to creating measurable, long-term impact and building stronger, more resilient communities across Canada.
You can find b-roll from the event and of the Second Harvest facility here.
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 337 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 730,000 customer locations. The company generated sales of more than $81 billion in fiscal year 2025 that ended June 28, 2025. As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions. For more information, visit www.sysco.ca
About Second Harvest
Second Harvest is Canada’s largest food rescue organization and a global thought leader on food waste and perishable food redistribution. It rescues unsold surplus food from thousands of food businesses from across the supply chain to redistribute it to non-profits in every province and territory. This prevents harmful greenhouse gases from entering the atmosphere while improving access to nutrition for millions of Canadians experiencing food insecurity. Beyond food rescue and redistribution, Second Harvest is deeply involved in advocacy, research, training and education. Its groundbreaking reports, such as “The Avoidable Crisis of Food Waste,” provide critical data and insights to inform public policy and educate the public on sustainable food systems.
Second Harvest is committed to driving systemic change, helping to shape policies and practices that reduce food waste and address its role in climate change, while also supporting communities by providing them with the food they need.
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Stock to Watch: Sysco (SYY - Free Report) Headquartered in Houston, TX, Sysco Corporation, through its subsidiaries, markets and distributes a range of food and related products primarily to the foodservice, or food-away-from-home, industry. The company serves approximately 730,000 customer locations, including restaurants, health care and educational facilities, lodging establishments and other foodservice customers. Sysco operates 337 distribution centers across 10 countries and has approximately 75,000 colleagues. In fiscal 2025, the company generated sales of more than $81 billion.
SYY is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
It also boasts a Value Style Score of B thanks to attractive valuation metrics like a forward P/E ratio of 16.99; value investors should take notice.
Three analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.00 to $4.59 per share. SYY boasts an average earnings surprise of +2.1%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, SYY should be on investors' short list.
TORONTO, June 15, 2026 (GLOBE NEWSWIRE) -- Sysco Canada and Second Harvest will be joined by provincial and federal government officials on June 18, 2026 to mark a milestone 26-year partnership and Sysco’s presentation of a $50,000 donation.
The press conference will be held at Second Harvest’s facility in Etobicoke. The contribution, made through Sysco’s Nourishing Neighbours program, underscores the company’s ongoing commitment to reducing hunger and food waste across Canada.
Over the course of Sysco Canada’s longstanding collaboration with Second Harvest, we have donated more than 1.34 million pounds of surplus food, equivalent to over one million meals, helping ensure good food reaches communities in need nationwide.
Sysco leaders, volunteers, and guests will conclude the event with a hands-on food sorting activity immediately following the press conference.
Event Details
What: Press Conference and presentation of $50,000 donation celebrating Sysco Canada and Second Harvest’s 26-year partnership
When: June 18, 2026, 2 p.m. to 3:30 p.m.
Where: Second Harvest Facility, 120 The East Mall, Etobicoke, ON M8Z 5V5
FOR SECURITY REASONS RSVP IS REQUIRED. Email [email protected] if you plan to attend and to receive additional information.
Why It Matters
Food insecurity remains a persistent challenge across Canada, particularly in Northern and remote communities where access is more limited. Partnerships like the one between Sysco Canada and Second Harvest play a critical role in closing this gap by redistributing surplus food to non-profits and community organizations nationwide.
Through its Nourishing Neighbours program, Sysco Canada continues to invest in community-based solutions—directing proceeds from select products to support organizations focused on food access and hunger relief. As part of a multiyear commitment, 15% of all program donations will support Second Harvest’s efforts in Northern communities, where the need is especially acute.
In fiscal 2025 alone, Sysco Canada donated more than 1.2 million meals, over $365,000 in financial support, and more than 13,000 volunteer hours, supporting 220+ community partners across the country.
This milestone event highlights how long-term collaboration between businesses and non-profits can deliver measurable impact—reducing food waste while building stronger, more resilient communities.
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 337 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 730,000 customer locations. The company generated sales of more than $81 billion in fiscal year 2025 that ended June 28, 2025. As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions. For more information, visit www.sysco.ca
About Second Harvest
Second Harvest is Canada’s largest food rescue organization and a global thought leader on food waste and perishable food redistribution. It rescues unsold surplus food from thousands of food businesses from across the supply chain to redistribute it to non-profits in every province and territory. This prevents harmful greenhouse gases from entering the atmosphere while improving access to nutrition for millions of Canadians experiencing food insecurity. Beyond food rescue and redistribution, Second Harvest is deeply involved in advocacy, research, training and education. Its groundbreaking reports, such as “The Avoidable Crisis of Food Waste,” provide critical data and insights to inform public policy and educate the public on sustainable food systems.
Second Harvest is committed to driving systemic change, helping to shape policies and practices that reduce food waste and address its role in climate change, while also supporting communities by providing them with the food they need.
HOUSTON, April 28, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY) (“Sysco” or the “company”) today announced financial results for its 13-week third fiscal quarter ended March 28, 2026.
Key financial results for the third quarter of fiscal year 2026 include the following (comparisons are to the same period in fiscal year 2025):
Sales increased 4.7%; U.S. Foodservice volume increased 2.3%, U.S. local volumes increased 3.3%;Gross profit increased 6.5% to $3.8 billion;Operating income decreased 9.1% to $619 million, and adjusted operating income decreased 0.6% to $768 million1;Net earnings decreased 15.2% to $340 million, and adjusted net earnings decreased 3.6% to $452 million1;Cash flow from operations increased 11% to $1.5 billion and free cash flow2 increased 19% to $1.1 billion on a year-to-date basis;EBITDA decreased 5.1% to $864 million3, and adjusted EBITDA increased 0.1% to $970 million1,3; andEPS4 decreased 13.4% to $0.71, and adjusted EPS1 decreased 2.1% to $0.94, inclusive of higher incentive compensation costs of $63 million, as previously disclosed, representing a $0.10 impact to EPS. “Sysco delivered strong results in the third quarter of fiscal 2026, driven by continued acceleration in local case volume and expanded gross margins,” said Kevin Hourican, Sysco’s Chair of the Board and Chief Executive Officer. “Importantly, our U.S. local volumes grew 3.3%, the highest quarterly rate in over three years. This exceeded our prior commitment, and we remain confident in delivering over 2.5% U.S. local growth in Q4, which would put us on pace to accelerate on a two-year stack basis. Our USFS segment returned to operating profit growth for the quarter. We are encouraged by the progress, results, and momentum across each of our business segments. As we look ahead, our strong operating foundation, improving productivity, and the compelling opportunity presented by the pending Jetro Restaurant Depot combination, position Sysco to grow profitably, deepen our relationships with more local customers, and create incremental value for our shareholders.”
“Third quarter results reflected strong earnings execution and solid cash flow generation, supported by continued volume acceleration, gross margin expansion, and disciplined cost management, which included headwinds from lapping $63 million of incentive compensation,” said Brandon Sewell, Sysco’s Interim Chief Financial Officer. “Year‑to‑date free cash flow increased 19%, and we are encouraged by improving productivity, particularly in our U.S. Foodservice local business. These results support our confidence in delivering full‑year adjusted EPS at the high end of our $4.50 to $4.60 guidance range, which continues to include an approximate $100 million ($0.16 per diluted share) headwind from lapping lower incentive compensation in fiscal 2025.”
(1) Adjusted financial results, including adjusted operating expense, adjusted operating income (loss), adjusted net earnings, adjusted earnings per share (EPS) and adjusted EBITDA, among others, are non-GAAP financial measures that exclude certain items, which primarily include acquisition-related costs, restructuring and severance costs, and transformational project costs. Adjustments provided herein for fiscal 2026 results of operations also remove the impact of a charge associated with a legal matter. Reconciliations of all non-GAAP financial measures to the nearest corresponding GAAP financial measure are included at the end of this release. For additional information regarding forward-looking full year adjusted EPS see section below entitled “Projected Adjusted EPS Guidance.”
(2) Free cash flow is a non-GAAP financial measure that represents net cash provided from operating activities less purchases of plant and equipment and includes proceeds from sales of plant and equipment. Reconciliations of all non-GAAP financial measures to the nearest corresponding GAAP financial measure are included at the end of this release.
(3) Earnings before interest, taxes, depreciation and amortization (EBITDA) and adjusted EBITDA are non-GAAP financial measures. Reconciliations of all non-GAAP financial measures to the nearest corresponding GAAP financial measure are included at the end of this release.
(4) Earnings per share (EPS) is shown on a diluted basis, unless otherwise specified.
Third Quarter Fiscal Year 2026 Results (comparisons are to the same period in fiscal year 2025)
Total Sysco
Sales for the third quarter increased 4.7% to $20.5 billion.
Gross profit increased 6.5% to $3.8 billion, and gross margin increased 31 basis points to 18.6%. Product cost inflation was 2.8% at the total enterprise level, as measured by the estimated change in Sysco’s product costs, primarily in the dairy, meat, and seafood categories. The increase in gross profit for the third quarter was primarily driven by positive volumes, strategic sourcing efficiencies, and effective management of product cost inflation.
Operating expenses increased 10.1%, primarily driven by higher incentive compensation, sales headcount and capacity investments. Adjusted operating expenses increased 8.4%1.
Operating income decreased 9.1% to $619 million, and adjusted operating income decreased 0.6% to $768 million1.
U.S. Foodservice Operations
The U.S. Foodservice Operations segment results reflected positive case growth across local and national customers, higher gross margins, partially offset by lapping incentive compensation from the prior year and planned investments in sales headcount and expanded capacity.
Sales for the third quarter increased 3.1% to $14.2 billion. Total case volume within U.S. Foodservice Operations increased 2.3% for the third quarter, while local case volume within U.S. Foodservice Operations increased 3.3%.
Gross profit increased 5.2% to $2.7 billion, and gross margin increased 38 basis points to 19.2%.
Operating expenses increased 6.3%, and adjusted operating expenses increased 5.2%1.
Operating income increased 2.4% to $772 million, and adjusted operating income increased 5.1% to $830 million1.
International Foodservice Operations
The International Foodservice Operations segment delivered strong sales growth, robust local volume gains, and double-digit adjusted operating income growth.
Sales for the third quarter increased 12.4% to $3.9 billion. On a constant currency basis5, sales for the third quarter increased 5.2% to $3.6 billion. Foreign exchange rates increased both International Foodservice Operations sales by 7.2% and total Sysco sales by 1.3% during the quarter.
Gross profit increased 14.6% to $834 million, and gross margin increased 41 basis points to 21.5%. On a constant currency basis5, gross profit increased 6.7% to $777 million. Foreign exchange rates increased both International Foodservice Operations gross profit by 7.9% and total Sysco gross profit by 1.7% during the quarter.
(5) Represents a constant currency adjustment, which eliminates the impact of foreign currency fluctuations on current year results. These adjusted measures are non-GAAP financial measures. Reconciliations of all non-GAAP financial measures to the nearest corresponding GAAP financial measure are included at the end of this release.
Operating expenses increased 18.8%, and adjusted operating expenses increased 15.0%1. On a constant currency basis5, adjusted operating expenses increased 6.7%. Foreign exchange rates increased both International Foodservice Operations operating expenses by 8.3% and total Sysco operating expenses by 1.8% during the quarter.
Operating income decreased 13.5% to $83 million, and adjusted operating income increased 12.5% to $144 million1. On a constant currency basis5, adjusted operating income increased 7.0% to $137 million. Foreign exchange rates increased both International Foodservice Operations operating income by 5.5% and total Sysco operating income by 1.0% during the quarter.
Balance Sheet, Cash Flow and Capital Spending
As of the end of the quarter, the company had a cash balance of $1.9 billion and total liquidity6 of $4.4 billion.
Debt to net earnings was approximately 8.1 times, and Net Debt to adjusted EBITDA7 was approximately 2.8 times.
During the first 39 weeks of fiscal year 2026, Sysco returned $978 million to shareholders via $200 million of share repurchases and $778 million of dividends.
Cash flow from operations was $1.5 billion and free cash flow8 was $1.1 billion for the first 39 weeks of fiscal year 2026.
Capital expenditures, net of proceeds from sales of plant and equipment, for the first 39 weeks of fiscal year 2026 were $330 million.
Details of Previously Announced Acquisition of Jetro Restaurant Depot
On March 30, 2026, subsequent to quarter-end, the company announced that it had entered into an agreement to acquire Jetro Restaurant Depot, a leading U.S. wholesale cash-and-carry foodservice provider serving smaller, independent restaurants and businesses. Jetro Restaurant Depot operates 167 large-format warehouse stores across 35 states, serving more than 725,000 independent restaurants and foodservice operators with a broad assortment of fresh and low-priced products. This transaction remains subject to regulatory review and is expected to close by Sysco’s third quarter of fiscal 2027, subject to the satisfaction of customary closing conditions, including receipt of the regulatory approvals.
(6) Available liquidity includes cash and cash equivalents, available borrowing capacity under our revolving credit facility, less outstanding drawings under our commercial paper program, as of the applicable reporting date.
(7) Net debt to adjusted EBITDA is a non-GAAP financial measure frequently used by investors and credit rating agencies. Our net debt to adjusted EBITDA ratio is calculated using a numerator of our debt minus cash and cash equivalents, divided by the sum of the most recent four quarters of adjusted EBITDA. Reconciliations of all non-GAAP financial measures to the nearest corresponding GAAP financial measure are included at the end of this release.
(8) Free cash flow is a non-GAAP financial measure that represents net cash provided from operating activities less purchases of plant and equipment and includes proceeds from sales of plant and equipment. Reconciliations of all non-GAAP financial measures to the nearest corresponding GAAP financial measure are included at the end of this release.
Conference Call & Webcast
Sysco will host a conference call to review the company’s third quarter fiscal year 2026 financial results on Tuesday, April 28, 2026, at 10:00 a.m. Eastern Time. A live webcast of the call, accompanying slide presentation and a copy of this news release will be available online at investors.sysco.com.
Key Highlights: 13-Week Period Ended39-Week Period Ended Financial Comparison:March 28, 2026ChangeMarch 28, 2026ChangeGAAP: Sales$20.5 billion4.7%$62.4 billion3.6%Gross Profit$3.8 billion6.5%$11.5 billion4.8%Gross Margin18.6%31 bps18.4%20 bpsOperating Expenses$3.2 billion10.1%$9.4 billion6.9%Operating Income$619 million-9.1%
$2.1 billion-4.0%
Operating Margin3.0%-45 bps3.4%-27 bpsNet Earnings$340 million-15.2%
$1.2 billion-7.0%
Diluted Earnings Per Share$0.71-13.4%
$2.51-4.9%
Non-GAAP(1): Adjusted Operating Expenses$3.0 billion8.4%
$9.0 billion5.6%Adjusted Operating Income$768 million-0.6%
$2.5 billion1.9%Adjusted Operating Margin3.7%-20 bps4.0%-7 bpsEBITDA$864 million-5.1%
$2.8 billion-3.0%
Adjusted EBITDA$970 million0.1%$3.0 billion1.2%Adjusted Net Earnings$452 million-3.6%
$1.5 billion1.0%Adjusted Diluted Earnings Per Share(2)$0.94-2.1%
$3.083.4% Case Growth: U.S. Foodservice2.3% 1.0% Local3.3% 1.4% Sysco Brand Sales as a % of Cases(3): U.S. Broadline35.0%-62 bps35.3%-78 bpsLocal45.1%-50 bps45.5%-72 bpsNote:(1) Reconciliations of all non-GAAP financial measures to the nearest respective GAAP financial measures are included at the end of this release.(2) Individual components in the table above may not sum to the totals due to the rounding.(3) Amounts reflect the impact of current customer classifications; prior period history has been reclassified to match the current period customer classification. Forward-Looking Statements
Statements made in this press release or in our earnings call for the third quarter of fiscal year 2026 include statements that are forward-looking or that express management’s beliefs, expectations or hopes and are forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements include, among other things, our future financial performance and results, business strategy, plans, goals and objectives, including certain outlook, business trends, our dividend and share repurchase programs, our expectation of future macroeconomic conditions and other statements that are not historical facts, including our expectations regarding foot traffic and volume growth, and benefits to gross margins; and our expectations regarding our future growth, including growth in sales and earnings per share; as well as statements about the expected timing and completion of the proposed transaction with Jetro Restaurant Depot and the anticipated benefits of such proposed transaction.
Such forward-looking statements reflect the views of management at the time such statements are made and are subject to a number of risks, uncertainties, estimates, and assumptions, including those outside of Sysco’s control. Risks and uncertainties include without limitation: the impact of geopolitical, economic and market conditions and developments, including changes in global trade policies and tariffs and foreign conflicts; risks related to our business initiatives; periods of significant or prolonged inflation or deflation and their impact on our product costs, volume, foot traffic, and profitability generally; risks related to our efforts to implement our transformation initiatives and meet our other long-term strategic objectives; risks of interruption of supplies and increase in product costs; risks related to changes in consumer eating habits; and impact of natural disasters or adverse weather conditions, public health crises, adverse publicity or lack of confidence in our products, and product liability claims as well as risks and uncertainties associated with our proposed transaction with Jetro Restaurant Depot, including but not limited to, the occurrence of any event, change or other circumstances that could give rise to the right of either or both parties to terminate the merger agreement; the risk that regulatory approvals may not be obtained or other closing conditions may not be satisfied in a timely manner or at all, as well as the risk that regulatory approvals are obtained subject to conditions that are not anticipated; the risk of other delays in closing the transaction; the possibility that any of the anticipated benefits and projected synergies of the transaction will not be realized or will not be realized within the expected time period; and the risk that the proposed transaction and its announcement could have an adverse effect on the market price of the common stock of Sysco. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those indicated in our forward-looking statements. Therefore, you should not place undue reliance on any of the forward-looking statements contained herein. For more information on these risks and other concerning factors that could cause actual results to differ from those expressed or forecasted, see our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC. We do not undertake to update our forward-looking statements, except as required by applicable law.
About Sysco
Sysco is the global leader in selling, marketing and distributing food and related products to customers who prepare meals away from home. This includes restaurants, healthcare and educational facilities, lodging establishments, entertainment venues, and more. Sysco operates 337 distribution centers, in 10 countries, with 75,000 colleagues serving approximately 730,000 customer locations. The company generated sales of more than $81 billion in fiscal year 2025 that ended June 28, 2025.
As the world’s largest food-away-from-home distributor, Sysco offers customized supply chain solutions, bespoke specialty product offerings, and culinary support to drive customers to innovate and optimize their operations. We act as a trusted business partner to our customers, helping them grow through our industry-leading portfolio that includes fresh produce, premium proteins, specialty products, sustainably focused items, equipment and supplies, and innovative culinary solutions.
For more information, visit www.sysco.com. For important news and key information for Sysco investors, visit the Investor Relations section of the company’s website at investors.sysco.com.
SYY-INVESTORS
Sysco Corporation and its Consolidated Subsidiaries
CONSOLIDATED RESULTS OF OPERATIONS (Unaudited)
(In Millions, Except for Share and Per Share Data) 13-Week Period Ended 39-Week Period Ended Mar. 28, 2026 Mar. 29, 2025 Mar. 28, 2026 Mar. 29, 2025 Sales$20,519 $19,598 $62,429 $60,232Cost of sales 16,707 16,017 50,924 49,249Gross profit 3,812 3,581 11,505 10,983Operating expenses 3,193 2,900 9,393 8,783Operating income 619 681 2,112 2,200Interest expense 168 149 512 469Other expense (income), net 6 9 44 32Earnings before income taxes 445 523 1,556 1,699Income taxes 105 122 350 402Net earnings$340 $401 $1,206 $1,297 Net earnings: Basic earnings per share$0.71 $0.82 $2.52 $2.65Diluted earnings per share 0.71 0.82 2.51 2.64 Average shares outstanding 479,344,821 487,519,382 479,150,734 490,080,591Diluted shares outstanding 481,188,586 489,331,460 480,738,926 491,973,759 Sysco Corporation and its Consolidated Subsidiaries
CONSOLIDATED BALANCE SHEETS
(In Millions, Except for Share Data) Mar. 28, 2026 Jun. 28, 2025 (Unaudited) ASSETS Current assets Cash and cash equivalents$1,900 $1,071 Accounts receivable, less allowances of $87 and $17 5,755 5,502 Inventories 5,291 5,053 Prepaid expenses and other current assets 415 338 Income tax receivable 22 4 Total current assets 13,383 11,968 Plant and equipment at cost, less accumulated depreciation 5,888 6,084 Other long-term assets Goodwill 5,246 5,231 Intangibles, less amortization 995 1,080 Deferred income taxes 488 497 Operating lease right-of-use assets, net 1,320 1,131 Other assets 663 783 Total other long-term assets 8,712 8,722 Total assets$27,983 $26,774 LIABILITIES AND SHAREHOLDERS’ EQUITYCurrent liabilities Accounts payable$6,387 $6,512 Accrued expenses 2,344 2,268 Accrued income taxes — 51 Current operating lease liabilities 147 136 Current maturities of long-term debt 1,190 949 Total current liabilities 10,068 9,916 Long-term liabilities Long-term debt 12,818 12,360 Deferred income taxes 380 345 Long-term operating lease liabilities 1,226 1,049 Other long-term liabilities 1,194 1,247 Total long-term liabilities 15,618 15,001 Commitments and contingencies Noncontrolling interest — 27 Shareholders’ equity Preferred stock, par value $1 per share Authorized 1,500,000 shares, issued none — — Common stock, par value $1 per share Authorized 2,000,000,000 shares, issued 765,174,900 shares 765 765 Paid-in capital 2,089 1,986 Retained earnings 13,461 13,061 Accumulated other comprehensive loss (1,055) (1,098)Treasury stock at cost, 286,996,640 and 287,678,658 shares (12,963) (12,884)Total shareholders’ equity 2,297 1,830 Total liabilities and shareholders’ equity$27,983 $26,774 Sysco Corporation and its Consolidated Subsidiaries
CONSOLIDATED CASH FLOWS (Unaudited)
(In Millions) 39-Week Period Ended Mar. 28, 2026 Mar. 29, 2025Cash flows from operating activities: Net earnings$1,206 $1,297 Adjustments to reconcile net earnings to cash provided by operating activities: Share-based compensation expense 95 74 Depreciation and amortization 724 709 Operating lease asset amortization 113 102 Amortization of debt issuance and other debt-related costs 11 11 Deferred income taxes (14) (27)Provision for losses on receivables 62 72 Other non-cash items (40) (84)Additional changes in certain assets and liabilities, net of effect of businesses acquired: Increase in receivables (335) (228)Increase in inventories (233) (214)Increase in prepaid expenses and other current assets (19) (11)Increase (decrease) in accounts payable 43 (128)Increase (decrease) in accrued expenses 100 (98)Decrease in operating lease liabilities (158) (132)Decrease in accrued income taxes (69) (91)(Increase) decrease in other assets (13) 16 (Decrease) increase in other long-term liabilities (10) 49 Net cash provided by operating activities 1,463 1,317 Cash flows from investing activities: Additions to plant and equipment (461) (532)Proceeds from sales of plant and equipment 131 169 Acquisition of businesses, net of cash acquired (189) (40)Purchase of marketable securities (15) (25)Proceeds from sales of marketable securities 22 24 Other investing activities 23 12 Net cash used for investing activities (489) (392)Cash flows from financing activities: Bank and commercial paper borrowings (repayments), net 251 (33)Other debt borrowings including senior notes 1,252 1,254 Other debt repayments including senior notes (866) (143)Proceeds from stock option exercises 124 96 Stock repurchases (200) (700)Dividends paid (778) (752)Other financing activities (45) (21)Net cash used for financing activities (262) (299)Effect of exchange rates on cash, cash equivalents and restricted cash (5) (7)Net increase in cash, cash equivalents and restricted cash 707 619 Cash, cash equivalents and restricted cash at beginning of period 1,349 945 Cash, cash equivalents and restricted cash at end of period$2,056 $1,564 Supplemental disclosures of cash flow information: Cash paid during the period for: Interest$521 $453 Income taxes, net of refunds 401 510 Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items The discussion of our results includes certain non-GAAP financial measures, including EBITDA and adjusted EBITDA, that we believe provide important perspective with respect to underlying business trends. Other than EBITDA and free cash flow, any non-GAAP financial measures will be denoted as adjusted measures to remove: (1) restructuring charges; (2) expenses associated with our various transformation initiatives; (3) severance charges; and (4) acquisition-related costs consisting of (a) intangible amortization expense and (b) acquisition costs and due diligence costs related to our acquisitions. Adjustments provided herein for fiscal 2026 results of operations also remove the impact of a charge associated with a legal matter. No similar charge was applicable in fiscal 2025. The results of our operations can be impacted due to changes in exchange rates applicable in converting local currencies to U.S. dollars. We measure our results on a constant currency basis. Constant currency operating results are calculated by translating current-period local currency operating results with the currency exchange rates used to translate the financial statements in the comparable prior-year period to determine what the current-period U.S. dollar operating results would have been if the currency exchange rate had not changed from the comparable prior-year period. We also measure our sales growth excluding the impact of our joint venture in Mexico which was divested in the second quarter of fiscal year 2025. Management believes that adjusting its operating expenses, operating income, operating margin, net earnings and diluted earnings per share to remove these Certain Items, presenting its results on a constant currency basis, and adjusting its sales results to exclude the impact of its joint venture in Mexico provides an important perspective with respect to our underlying business trends and results. It provides meaningful supplemental information to both management and investors that (1) is indicative of the performance of the company’s underlying operations and (2) facilitates comparisons on a year-over-year basis. Sysco has a history of growth through acquisitions and excludes from its non-GAAP financial measures the impact of acquisition-related intangible amortization, acquisition costs and due diligence costs for those acquisitions. We believe this approach significantly enhances the comparability of Sysco’s results for fiscal year 2026 and fiscal year 2025. Set forth on the following page is a reconciliation of sales, operating expenses, operating income, net earnings and diluted earnings per share to adjusted results for these measures for the periods presented. Individual components of diluted earnings per share may not be equal to the total presented when added due to rounding. Adjusted diluted earnings per share is calculated using adjusted net earnings divided by diluted shares outstanding. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items
(Dollars in Millions, Except for Share and Per Share Data) 13-Week
Period Ended
Mar. 28, 2026 13-Week
Period Ended
Mar. 29, 2025 Change in
Dollars %/bps
ChangeSales (GAAP)$20,519 $19,598 $921 4.7%Impact of currency fluctuations(1) (252) (252) (1.3)Comparable sales using a constant currency basis (Non-GAAP)$20,267 $19,598 $669 3.4% Cost of sales (GAAP)$16,707 $16,017 $690 4.3% Gross profit (GAAP)$3,812 $3,581 $231 6.5%Impact of currency fluctuations(1) (58) (58) (1.7)Comparable gross profit adjusted for Certain Items using a constant currency basis (Non-GAAP)$3,754 $3,581 $173 4.8% Gross margin (GAAP) 18.58% 18.27% 31 bpsImpact of currency fluctuations(1) (0.06) -6 bpsComparable gross margin adjusted for Certain Items using a constant currency basis (Non-GAAP) 18.52% 18.27% 25 bps Operating expenses (GAAP)$3,193 $2,900 $293 10.1%Impact of restructuring, transformational project, and other costs(2) (94) (50) (44) (88.0)Impact of acquisition-related costs(3) (55) (42) (13) (31.0)Operating expenses adjusted for Certain Items (Non-GAAP) 3,044 2,808 236 8.4 Impact of currency fluctuations(1) (51) (51) (1.8)Comparable operating expenses adjusted for Certain Items using a constant currency basis (Non-GAAP)$2,993 $2,808 $185 6.6% Operating expense as a percentage of sales (GAAP) 15.56% 14.80% 76 bpsImpact of certain item adjustments (0.72) (0.47) -25 bpsAdjusted operating expense as a percentage of sales (Non-GAAP) 14.84% 14.33% 51 bps Operating income (GAAP)$619 $681 $(62) (9.1)%Impact of restructuring, transformational project, and other costs(2) 94 50 44 88.0 Impact of acquisition-related costs(3) 55 42 13 31.0 Operating income adjusted for Certain Items (Non-GAAP) 768 773 (5) (0.6)Impact of currency fluctuations(1) (7) (7) (1.0)Comparable operating income adjusted for Certain Items using a constant currency basis (Non-GAAP)$761 $773 $(12) (1.6)% Operating margin (GAAP) 3.02% 3.47% -45 bpsOperating margin adjusted for Certain Items (Non-GAAP) 3.74% 3.94% -20 bpsOperating margin adjusted for Certain Items using a constant currency basis (Non-GAAP) 3.75% 3.94% -19 bps Net earnings (GAAP)$340 $401 $(61) (15.2)%Impact of restructuring, transformational project, and other costs(2) 94 50 44 88.0 Impact of acquisition-related costs(3) 55 42 13 31.0 Tax impact of restructuring, transformational project, and other costs(4) (23) (13) (10) (76.9)Tax impact of acquisition-related costs(4) (14) (11) (3) (27.3)Net earnings adjusted for Certain Items (Non-GAAP)$452 $469 $(17) (3.6)% Diluted earnings per share (GAAP)$0.71 $0.82 $(0.11) (13.4)%Impact of restructuring, transformational project, and other costs(2) 0.20 0.10 0.10 100.0 Impact of acquisition-related costs(3) 0.11 0.09 0.02 22.2 Tax impact of restructuring, transformational project, and other costs(4) (0.05) (0.03) (0.02) (66.7)Tax impact of acquisition-related costs(4) (0.03) (0.02) (0.01) (50.0)Diluted earnings per share adjusted for Certain Items (Non-GAAP)(5)$0.94 $0.96 $(0.02) (2.1)% Diluted shares outstanding 481,188,586 489,331,460 (1)Represents a constant currency adjustment, which eliminates the impact of foreign currency fluctuations on the current year results.(2)Fiscal 2026 includes $43 million related to restructuring costs, severance charges, and costs associated with a legal matter and $51 million related to various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy. Fiscal 2025 includes $15 million related to restructuring and severance charges and $35 million related to various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy.(3)Fiscal 2026 includes $42 million of intangible amortization expense and $13 million in acquisition and due diligence costs. Fiscal 2025 includes $32 million of intangible amortization expense and $10 million in acquisition and due diligence costs.(4)The tax impact of adjustments for Certain Items are calculated by multiplying the pretax impact of each Certain Item by the statutory rates in effect for each jurisdiction where the Certain Item was incurred.(5)Individual components of diluted earnings per share may not equal the total presented when added due to rounding. Total diluted earnings per share is calculated using adjusted net earnings divided by diluted shares outstanding. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items
(Dollars in Millions, Except for Share and Per Share Data) 39-Week
Period Ended
Mar. 28, 2026 39-Week
Period Ended
Mar. 29, 2025 Change in
Dollars %/bps
ChangeSales (GAAP)$62,429 $60,232 $2,197 3.6%Impact of Mexico joint venture sales — (207) 207 0.4 Comparable sales excluding Mexico joint venture (Non-GAAP)$62,429 $60,025 $2,404 4.0% Sales (GAAP)$62,429 $60,232 $2,197 3.6%Impact of currency fluctuations(1) (481) (481) (0.8)Comparable sales using a constant currency basis (Non-GAAP)$61,948 $60,232 $1,716 2.8% Cost of sales (GAAP)$50,924 $49,249 $1,675 3.4% Gross profit (GAAP)$11,505 $10,983 $522 4.8%Impact of currency fluctuations(1) (115) (115) (1.1)Comparable gross profit adjusted for Certain Items using a constant currency basis (Non-GAAP)$11,390 $10,983 $407 3.7% Gross margin (GAAP) 18.43% 18.23% 20 bpsImpact of currency fluctuations(1) (0.04) -4 bpsComparable gross margin adjusted for Certain Items using a constant currency basis (Non-GAAP) 18.39% 18.23% 16 bps Operating expenses (GAAP)$9,393 $8,783 $610 6.9%Impact of restructuring, transformational project, and other costs(2) (207) (107) (100) (93.5)Impact of acquisition-related costs(3) (155) (121) (34) (28.1)Operating expenses adjusted for Certain Items (Non-GAAP) 9,031 8,555 476 5.6 Impact of currency fluctuations(1) (102) (102) (1.2)Comparable operating expenses adjusted for Certain Items using a constant currency basis (Non-GAAP)$8,929 $8,555 $374 4.4% Operating expense as a percentage of sales (GAAP) 15.05% 14.58% 47 bpsImpact of certain item adjustments (0.58) (0.38) -20 bpsAdjusted operating expense as a percentage of sales (Non-GAAP) 14.47% 14.20% 27 bps Operating income (GAAP)$2,112 $2,200 $(88) (4.0)%Impact of restructuring, transformational project, and other costs(2) 207 107 100 93.5 Impact of acquisition-related costs(3) 155 121 34 28.1 Operating income adjusted for Certain Items (Non-GAAP) 2,474 2,428 46 1.9 Impact of currency fluctuations(1) (13) (13) (0.5)Comparable operating income adjusted for Certain Items using a constant currency basis (Non-GAAP)$2,461 $2,428 $33 1.4% Operating margin (GAAP) 3.38% 3.65% -27 bpsOperating margin adjusted for Certain Items (Non-GAAP) 3.96% 4.03% -7 bpsOperating margin adjusted for Certain Items using a constant currency basis (Non-GAAP) 3.97% 4.03% -6 bps Net earnings (GAAP)$1,206 $1,297 $(91) (7.0)%Impact of restructuring, transformational project, and other costs(2) 207 107 100 93.5 Impact of acquisition-related costs(3) 155 121 34 28.1 Tax impact of restructuring, transformational project, and other costs(4) (50) (27) (23) (85.2)Tax impact of acquisition-related costs(4) (37) (31) (6) (19.4)Net earnings adjusted for Certain Items (Non-GAAP)$1,481 $1,467 $14 1.0% Diluted earnings per share (GAAP)$2.51 $2.64 $(0.13) (4.9)%Impact of restructuring, transformational project, and other costs(2) 0.43 0.22 0.21 95.5 Impact of acquisition-related costs(3) 0.32 0.25 0.07 28.0 Tax impact of restructuring, transformational project, and other costs(4) (0.10) (0.05) (0.05) (100.0)Tax impact of acquisition-related costs(4) (0.08) (0.06) (0.02) (33.3)Diluted earnings per share adjusted for Certain Items (Non-GAAP)(5)$3.08 $2.98 $0.10 3.4% Diluted shares outstanding 480,738,926 491,973,759 (1)Represents a constant currency adjustment which eliminates the impact of foreign currency fluctuations on the current year results.(2)Fiscal 2026 includes $63 million related to restructuring costs, severance charges, and costs associated with a legal matter and $144 million related to various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy. Fiscal 2025 includes $31 million related to restructuring and severance charges and $76 million related to various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy.(3)Fiscal 2026 includes $108 million of intangible amortization expense and $47 million in acquisition and due diligence costs. Fiscal 2025 includes $97 million of intangible amortization expense and $24 million in acquisition and due diligence costs.(4)The tax impact of adjustments for Certain Items is calculated by multiplying the pretax impact of each Certain Item by the statutory rates in effect for each jurisdiction where the Certain Item was incurred.(5)Individual components of diluted earnings per share may not add up to the total presented due to rounding. Total diluted earnings per share is calculated using adjusted net earnings divided by diluted shares outstanding. Sysco Corporation and its Consolidated Subsidiaries
Segment Results
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items on Applicable Segments
(Dollars in Millions) 13-Week
Period Ended
Mar. 28, 2026 13-Week
Period Ended
Mar. 29, 2025 Change in
Dollars %/bps
ChangeU.S. FOODSERVICE OPERATIONS Sales (GAAP)$14,234 $13,800 $434 3.1%Gross profit (GAAP) 2,738 2,603 135 5.2%Gross margin (GAAP) 19.24% 18.86% 38 bps Operating expenses (GAAP)$1,966 $1,849 $117 6.3%Impact of restructuring, transformational project, and other costs(1) (39) (16) (23) NMImpact of acquisition-related costs(2) (19) (20) 1 5.0 Operating expenses adjusted for Certain Items (Non-GAAP)$1,908 $1,813 $95 5.2% Operating income (GAAP)$772 $754 $18 2.4%Impact of restructuring, transformational project, and other costs(1) 39 16 23 NMImpact of acquisition-related costs(2) 19 20 (1) (5.0)Operating income adjusted for Certain Items (Non-GAAP)$830 $790 $40 5.1% INTERNATIONAL FOODSERVICE OPERATIONS Sales (GAAP)$3,885 $3,457 $428 12.4%Impact of currency fluctuations(3) (249) (249) (7.2)Comparable sales using a constant currency basis (Non-GAAP)$3,636 $3,457 $179 5.2% Gross profit (GAAP)$834 $728 $106 14.6%Impact of currency fluctuations(3) (57) (57) (7.9)Comparable gross profit using a constant currency basis (Non-GAAP)$777 $728 $49 6.7% Gross margin (GAAP) 21.47% 21.06% 41 bpsImpact of currency fluctuations(3) (0.10) -10 bpsComparable gross margin using a constant currency basis (Non-GAAP) 21.37% 21.06% 31 bps Operating expenses (GAAP)$751 $632 $119 18.8%Impact of restructuring and transformational project costs(4) (39) (13) (26) NMImpact of acquisition-related costs(2) (22) (19) (3) (15.8)Operating expenses adjusted for Certain Items (Non-GAAP) 690 600 90 15.0 Impact of currency fluctuations(3) (50) (50) (8.3)Comparable operating expenses adjusted for Certain Items using a constant currency basis (Non-GAAP)$640 $600 $40 6.7% Operating income (GAAP)$83 $96 $(13) (13.5)%Impact of restructuring and transformational project costs(4) 39 13 26 NMImpact of acquisition-related costs(2) 22 19 3 15.8 Operating income adjusted for Certain Items (Non-GAAP) 144 128 16 12.5 Impact of currency fluctuations(3) (7) (7) (5.5)Comparable operating income adjusted for Certain Items using a constant currency basis (Non-GAAP)$137 $128 $9 7.0% SYGMA Sales (GAAP)$2,137 $2,084 $53 2.5%Gross profit (GAAP) 163 166 (3) (1.8)%Gross margin (GAAP) 7.63% 7.97% -34 bps Operating expenses (GAAP)$145 $149 $(4) (2.7)%Operating income (GAAP) 18 17 1 5.9% OTHER Sales (GAAP)$263 $257 $6 2.3%Gross profit (GAAP) 68 60 8 13.3%Gross margin (GAAP) 25.86% 23.35% 251 bps Operating expenses (GAAP)$61 $63 $(2) (3.2)%Operating income (loss) (GAAP) 7 (3) 10 NM GLOBAL SUPPORT CENTER Gross profit (GAAP)$9 $24 $(15) (62.5)% Operating expenses (GAAP)$270 $207 $63 30.4%Impact of restructuring and transformational project costs(5) (16) (21) 5 23.8 Impact of acquisition-related costs(6) (14) (3) (11) NMOperating expenses adjusted for Certain Items (Non-GAAP)$240 $183 $57 31.1% Operating loss (GAAP)$(261) $(183) $(78) (42.6)%Impact of restructuring and transformational project costs(5) 16 21 (5) (23.8)Impact of acquisition-related costs(6) 14 3 11 NMOperating loss adjusted for Certain Items (Non-GAAP)$(231) $(159) $(72) (45.3)% TOTAL SYSCO Sales (GAAP)$20,519 $19,598 $921 4.7%Gross profit (GAAP) 3,812 3,581 231 6.5%Gross margin (GAAP) 18.58% 18.27% 31 bps Operating expenses (GAAP)$3,193 $2,900 $293 10.1%Impact of restructuring, transformational project, and other costs(1) (4) (5) (94) (50) (44) (88.0)Impact of acquisition-related costs(2) (6) (55) (42) (13) (31.0)Operating expenses adjusted for Certain Items (Non-GAAP)$3,044 $2,808 $236 8.4% Operating income (GAAP)$619 $681 $(62) (9.1)%Impact of restructuring, transformational project, and other costs(1) (4) (5) 94 50 44 88.0 Impact of acquisition-related costs(2) (6) 55 42 13 31.0 Operating income adjusted for Certain Items (Non-GAAP)$768 $773 $(5) (0.6)% (1)Primarily represents severance charges, transformation initiative costs, and costs associated with a legal matter.(2)Fiscal 2026 and fiscal 2025 include intangible amortization expense and acquisition costs.(3)Represents a constant currency adjustment, which eliminates the impact of foreign currency fluctuations on current year results.(4)Includes restructuring and transformation initiative costs primarily in Europe.(5)Includes various transformation initiative costs, primarily consisting of changes to our business technology strategy.(6)Represents due diligence costs.NMRepresents that the percentage change is not meaningful. Sysco Corporation and its Consolidated Subsidiaries
Segment Results
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items on Applicable Segments
(Dollars in Millions) 39-Week
Period Ended
Mar. 28, 2026 39-Week
Period Ended
Mar. 29, 2025 Change in
Dollars %/bps
ChangeU.S. FOODSERVICE OPERATIONS Sales (GAAP)$43,397 $42,206 $1,191 2.8%Gross profit (GAAP) 8,281 8,003 278 3.5%Gross margin (GAAP) 19.08% 18.96% 12 bps Operating expenses (GAAP)$5,809 $5,507 $302 5.5%Impact of restructuring, transformational project, and other costs(1) (54) (26) (28) NMImpact of acquisition-related costs(2) (72) (53) (19) (35.8)Operating expenses adjusted for Certain Items (Non-GAAP)$5,683 $5,428 $255 4.7% Operating income (GAAP)$2,472 $2,496 $(24) (1.0)%Impact of restructuring, transformational project, and other costs(1) 54 26 28 NMImpact of acquisition-related costs(2) 72 53 19 35.8 Operating income adjusted for Certain Items (Non-GAAP)$2,598 $2,575 $23 0.9% INTERNATIONAL FOODSERVICE OPERATIONS Sales (GAAP)$11,851 $10,978 $873 8.0%Impact of Mexico joint venture sales — (207) 207 2.0 Comparable sales excluding Mexico joint venture (Non-GAAP)$11,851 $10,771 $1,080 10.0% Sales (GAAP)$11,851 $10,978 $873 8.0%Impact of currency fluctuations(3) (477) (477) (4.4)Comparable sales using a constant currency basis (Non-GAAP)$11,374 $10,978 $396 3.6% Gross profit (GAAP)$2,492 $2,262 $230 10.2%Impact of currency fluctuations(3) (114) (114) (5.1)Comparable gross profit using a constant currency basis (Non-GAAP)$2,378 $2,262 $116 5.1% Gross margin (GAAP) 21.03% 20.60% 43 bpsImpact of currency fluctuations(3) (0.12) -12 bpsComparable gross margin using a constant currency basis (Non-GAAP) 20.91% 20.60% 31 bps Operating expenses (GAAP)$2,177 $1,970 $207 10.5%Impact of restructuring and transformational project costs(4) (91) (39) (52) NMImpact of acquisition-related costs(2) (47) (56) 9 16.1 Operating expenses adjusted for Certain Items (Non-GAAP) 2,039 1,875 164 8.7 Impact of currency fluctuations(3) (102) (102) (5.4)Comparable operating expenses adjusted for Certain Items using a constant currency basis (Non-GAAP)$1,937 $1,875 $62 3.3% Operating income (GAAP)$315 $292 $23 7.9%Impact of restructuring and transformational project costs(4) 91 39 52 NMImpact of acquisition-related costs(2) 47 56 (9) (16.1)Operating income adjusted for Certain Items (Non-GAAP) 453 387 66 17.1 Impact of currency fluctuations(3) (12) (12) (3.1)Comparable operating income adjusted for Certain Items using a constant currency basis (Non-GAAP)$441 $387 $54 14.0% SYGMA Sales (GAAP)$6,392 $6,246 $146 2.3%Gross profit (GAAP) 496 492 4 0.8%Gross margin (GAAP) 7.76% 7.88% -12 bps Operating expenses (GAAP)$432 $438 $(6) (1.4)%Operating income (GAAP) 64 54 10 18.5% OTHER Sales (GAAP)$789 $802 $(13) (1.6)%Gross profit (GAAP) 202 197 5 2.5%Gross margin (GAAP) 25.60% 24.56% 104 bps Operating expenses (GAAP)$185 $188 $(3) (1.6)%Operating income (GAAP) 17 9 8 88.9% GLOBAL SUPPORT CENTER Gross profit (GAAP)$34 $29 $5 17.2% Operating expenses (GAAP)$790 $680 $110 16.2%Impact of restructuring and transformational project costs(5) (62) (42) (20) 47.6 Impact of acquisition-related costs(6) (36) (12) (24) NMOperating expenses adjusted for Certain Items (Non-GAAP)$692 $626 $66 10.5% Operating loss (GAAP)$(756) $(651) $(105) (16.1)%Impact of restructuring and transformational project costs(5) 62 42 20 47.6 Impact of acquisition-related costs(6) 36 12 24 NMOperating loss adjusted for Certain Items (Non-GAAP)$(658) $(597) $(61) (10.2)% TOTAL SYSCO Sales (GAAP)$62,429 $60,232 $2,197 3.6%Gross profit (GAAP) 11,505 10,983 522 4.8%Gross margin (GAAP) 18.43% 18.23% 20 bps Operating expenses (GAAP)$9,393 $8,783 $610 6.9%Impact of restructuring, transformational project, and other costs(1) (4) (5) (207) (107) (100) (93.5)Impact of acquisition-related costs(2) (6) (155) (121) (34) (28.1)Operating expenses adjusted for Certain Items (Non-GAAP)$9,031 $8,555 $476 5.6% Operating income (GAAP)$2,112 $2,200 $(88) (4.0)%Impact of restructuring, transformational project, and other costs(1) (4) (5) 207 107 100 93.5 Impact of acquisition-related costs(2) (6) 155 121 34 28.1 Operating income adjusted for Certain Items (Non-GAAP)$2,474 $2,428 $46 1.9% (1)Primarily represents severance charges, transformation initiative costs, and costs associated with a legal matter.(2)Fiscal 2026 and fiscal 2025 include intangible amortization expense and acquisition costs.(3)Represents a constant currency adjustment, which eliminates the impact of foreign currency fluctuations on current year results.(4)Includes restructuring and transformation initiative costs primarily in Europe.(5)Includes various transformation initiative costs, primarily consisting of changes to our business technology strategy.(6)Represents due diligence costs.NMRepresents that the percentage change is not meaningful. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Free Cash Flow
(In Millions)
Free cash flow represents net cash provided from operating activities less purchases of plant and equipment and includes proceeds from sales of plant and equipment. Sysco considers free cash flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by the business after the purchases and sales of buildings, fleet, equipment and technology, which may potentially be used to pay for, among other things, strategic uses of cash including dividend payments, share repurchases and acquisitions. However, free cash flow may not be available for discretionary expenditures, as it may be necessary that we use it to make mandatory debt service or other payments. Free cash flow should not be used as a substitute for the most comparable GAAP financial measure in assessing the company’s liquidity for the periods presented. An analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP. In the table that follows, free cash flow for each period presented is reconciled to net cash provided by operating activities.
39-Week
Period Ended
Mar. 28, 2026 39-Week
Period Ended
Mar. 29, 2025 39-Week
Period Change
in DollarsNet cash provided by operating activities (GAAP)$1,463 $1,317 $146 Additions to plant and equipment (461) (532) 71 Proceeds from sales of plant and equipment 131 169 (38)Free Cash Flow (Non-GAAP)$1,133 $954 $179 Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items on Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA)
(Dollars in Millions)
EBITDA represents net earnings (loss) plus (i) interest expense, (ii) income tax expense and benefit, (iii) depreciation and (iv) amortization. The net earnings (loss) component of our EBITDA calculation is impacted by Certain Items that we do not consider representative of our underlying performance. As a result, in the non-GAAP reconciliations below for each period presented, adjusted EBITDA is computed as EBITDA plus the impact of Certain Items, excluding certain items related to interest expense, income taxes, depreciation and amortization. Sysco's management considers growth in this metric to be a measure of overall financial performance that provides useful information to management and investors about the profitability of the business, as it facilitates comparison of performance on a consistent basis from period to period by providing a measurement of recurring factors and trends affecting our business. Additionally, it is a commonly used component metric used to inform on capital structure decisions. Adjusted EBITDA should not be used as a substitute for the most comparable GAAP financial measure in assessing the company’s financial performance for the periods presented. An analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP. In the tables that follow, adjusted EBITDA for each period presented is reconciled to net earnings.
13-Week
Period Ended
Mar. 28, 2026 13-Week
Period Ended
Mar. 29, 2025 Change in
Dollars % ChangeNet earnings (GAAP)$340 $401 $(61) (15.2)%Interest (GAAP) 168 149 19 12.8 Income taxes (GAAP) 105 122 (17) (13.9)Depreciation and amortization (GAAP) 251 238 13 5.5 EBITDA (Non-GAAP)$864 $910 $(46) (5.1)%Certain Item adjustments: Impact of restructuring, transformational project, and other costs(1)$93 $49 $44 89.8 Impact of acquisition-related costs(2) 13 10 3 30.0 EBITDA adjusted for Certain Items (Non-GAAP)(3)$970 $969 $1 0.1%Other expense (income), net 6 9 (3) (33.3)Depreciation and amortization, as adjusted (Non-GAAP)(4) (208) (205) (3) (1.5)Operating income adjusted for Certain Items (Non-GAAP)$768 $773 $(5) (0.6)% (1)Fiscal 2026 and fiscal 2025 include charges related to restructuring and severance, as well as various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy, excluding charges related to accelerated depreciation. In addition, fiscal 2026 includes charges associated with a legal matter.(2)Fiscal 2026 and fiscal 2025 include acquisition and due diligence costs.(3)In arriving at adjusted EBITDA, Sysco does not adjust out interest income of $6 million and $7 million or non-cash stock compensation expense of $31 million and $15 million in fiscal 2026 and fiscal 2025, respectively.(4)Fiscal 2026 includes $251 million in GAAP depreciation and amortization expense, less $43 million of Non-GAAP depreciation and amortization expense primarily related to acquisitions. Fiscal 2025 includes $238 million in GAAP depreciation and amortization expense, less $33 million of Non-GAAP depreciation and amortization expense primarily related to acquisitions. 39-Week
Period Ended
Mar. 28, 2026 39-Week
Period Ended
Mar. 29, 2025 Change in
Dollars % ChangeNet earnings (GAAP)$1,206 $1,297 $(91) (7.0)%Interest (GAAP) 512 469 43 9.2 Income taxes (GAAP) 350 402 (52) (12.9)Depreciation and amortization (GAAP) 724 709 15 2.1 EBITDA (Non-GAAP)$2,792 $2,877 $(85) (3.0)%Certain Item adjustments: Impact of restructuring, transformational project, and other costs(1) 203 104 99 95.2 Impact of acquisition-related costs(2) 46 24 22 91.7 EBITDA adjusted for Certain Items (Non-GAAP)(3)$3,041 $3,005 $36 1.2%Other expense (income), net 44 32 12 37.5 Depreciation and amortization, as adjusted (Non-GAAP)(4) (611) (609) (2) (0.3)Operating income adjusted for Certain Items (Non-GAAP)$2,474 $2,428 $46 1.9% (1)Fiscal 2026 and 2025 include charges related to restructuring and severance, as well as various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy, excluding charges related to accelerated depreciation. In addition, fiscal 2026 includes charges associated with a legal matter.(2)Fiscal 2026 and 2025 include acquisition and due diligence costs.(3)In arriving at adjusted EBITDA, Sysco does not exclude interest income of $18 million and $22 million or non-cash stock compensation expense of $95 million and $74 million for fiscal 2026 and fiscal 2025, respectively.(4)Fiscal 2026 includes $724 million in GAAP depreciation and amortization expense, less $113 million of Non-GAAP depreciation and amortization expense primarily related to acquisitions. Fiscal 2025 includes $709 million in GAAP depreciation and amortization expense, less $100 million of Non-GAAP depreciation and amortization expense primarily related to acquisitions. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Net Debt to Adjusted EBITDA
(In Millions)
Net Debt to Adjusted EBITDA is a non-GAAP financial measure frequently used by investors and credit rating agencies. It is an important measure used by management to evaluate our access to liquidity, and we believe it is a representation of our financial strength. Our Net Debt to Adjusted EBITDA ratio is calculated using a numerator of our debt minus cash and cash equivalents, divided by the sum of the most recent four quarters of Adjusted EBITDA. In the table that follows, we have provided the calculation of our debt and net debt as a ratio of Adjusted EBITDA.
Mar. 28, 2026Current maturities of long-term debt $1,190 Long-term debt 12,818 Total Debt (GAAP) 14,008 Cash & Cash Equivalents (1,900)Net Debt (Non-GAAP) $12,108 Net Earnings for the previous 12 months (GAAP) $1,736 Adjusted EBITDA for the previous 12 months (Non-GAAP)(1) $4,327 Total Debt/Net Earnings Ratio (GAAP) 8.07 Total Debt/Adjusted EBITDA Ratio (Non-GAAP) 3.24 Net Debt/Adjusted EBITDA Ratio (Non-GAAP) 2.80 Note:(1) Refer to non-GAAP reconciliation at the end of this release. Sysco Corporation and its Consolidated Subsidiaries
Non-GAAP Reconciliation (Unaudited)
Impact of Certain Items on Earnings Before Interest, Taxes, Depreciation and Amortization (Trailing Twelve Months)
(In Millions)
13-Week
Period Ended
Mar. 28, 2026 13-Week
Period Ended
Dec. 27, 2025 13-Week
Period Ended
Sep. 27, 2025 13-Week
Period Ended
Jun. 28, 2025 TotalNet earnings (GAAP)$340 $389 $476 $531 $1,736Interest (GAAP) 168 173 172 166 679Income taxes (GAAP) 105 121 124 186 536Depreciation and amortization (GAAP) 251 240 233 234 958EBITDA (Non-GAAP)$864 $923 $1,005 $1,117 $3,909Certain Item adjustments: Impact of restructuring, transformational project, and other costs(1) 93 55 54 74 276Impact of acquisition-related costs(2) 13 23 11 3 50Impact of goodwill impairment — — — 92 92EBITDA adjusted for Certain Items (Non-GAAP)(3)$970 $1,001 $1,070 $1,286 $4,327 (1)Includes charges related to restructuring and severance, as well as various transformation initiative costs, primarily consisting of supply chain transformation costs and changes to our business technology strategy, excluding charges related to accelerated depreciation. In addition, the 13-week period ended Mar. 28, 2026 includes charges associated with a legal matter.(2)Includes acquisition and due diligence costs.(3)In arriving at adjusted EBITDA, Sysco does not adjust out interest income of $6 million or non-cash stock compensation expense of $31 million in Q3 fiscal 2026, interest income of $5 million or non-cash stock compensation expense of $33 million in Q2 fiscal 2026, interest income of $6 million or non-cash stock compensation expense of $31 million in Q1 fiscal 2026, nor interest income of $8 million or non-cash stock compensation expense of $19 million in Q4 fiscal 2025. Projected Adjusted EPS Guidance
Adjusted earnings per share is a non-GAAP financial measure; however, we cannot predict with certainty the magnitude or scope of certain items that would be included in the most directly comparable GAAP measure for the relevant future periods, and such items may be significant. Due to these uncertainties, we cannot provide a quantitative reconciliation of projected adjusted EPS to the most directly comparable GAAP financial measure without unreasonable effort. However, we expect to calculate adjusted earnings per share for future periods in the same manner as the reconciliations provided for the historical periods herein.
