01—Abstract
Summary
Summary of the 10-K filed August 21, 2026. Cited figures are marked; the original filing is the authoritative source.
Sysco Corporation reported fiscal 2026 (52 weeks ended June 27, 2026) sales of $84.55 billiona, up 3.9% from $81.37 billion in fiscal 2025, driven by inflation and volume growth including recent acquisitions.
Operating income was $3.10 billionb, up 0.2%, while adjusted operating income rose 2.6% to $3.61 billion after excluding Certain Items such as restructuring, transformation and acquisition costs. Net earnings fell 3.9% to $1.76 billion, and diluted earnings per share were $3.66, down from $3.73; adjusted diluted earnings per share rose to $4.61 from $4.46. Free cash flow increased to $2.11 billion from $1.82 billion, and cash flows from operations were $2.6 billion.
The dominant forward-looking item is the pending acquisition of Jetro Restaurant Depot (JRD), agreed March 30, 2026 for approximately $29.1 billionc, comprising $21.6 billion in cash and 91.5 million shares of Sysco Holdings common stock. Sysco Holdings stockholders are expected to be about 84% Sysco stockholders and 16% JRD equity holders. The Transactions are expected to close by the third quarter of fiscal 2027, but the FTC issued a second request on May 27, 2026, and a $1.164 billion termination fee applies in certain circumstances.
Financing includes a $22 billion bridge facility reduced to $19 billiond after a $3 billion term loan, and deal-contingent rate locks on $6.3 billion of future debt. Share repurchases have been suspended in connection with the deal.
Total debt was $13.5 billion at June 27, 2026, with $792 million maturing within twelve months, and credit ratings were BBB (S&P) and Baa2 (Moody's), with S&P and Fitch outlooks shown as negative. Management expects fiscal 2027 net sales growth of 6% to 7%, inflation of 1.5% to 2.0%, and capital expenditures of approximately $720 million.
02—Key points
Key Highlights
- Sales of $84.55 billion, up 3.9%, with U.S. Foodservice Operations at $58.80 billion (69.5% of total sales).
- Operating income of $3.10 billion, up 0.2%; adjusted operating income of $3.61 billion, up 2.6%.
- Diluted EPS of $3.66, down 1.9% from $3.73; adjusted diluted EPS of $4.61, up from $4.46.
- Pending acquisition of Jetro Restaurant Depot for about $29.1 billion ($21.6 billion cash plus 91.5 million Sysco Holdings shares), expected to close by the third quarter of fiscal 2027; FTC second request received May 27, 2026.
- Free cash flow of $2.11 billion, up from $1.82 billion, with share repurchases of $200 million in fiscal 2026 and suspended thereafter.
- Total debt of $13.5 billion, with $792 million maturing within the next twelve months; S&P and Fitch ratings outlooks are negative.
- Fiscal 2027 guidance: net sales growth of 6% to 7%, inflation of 1.5% to 2.0%, and effective tax rate of 23.7% to 24.2%.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2026, Sysco kept $0.02.
- Revenue$84.55B100.0%
- Cost of revenue−$68.91B81.5%
- Gross profit$15.64B18.5%
- Operating costs−$12.54B14.8%
- Operating income$3.10B3.7%
- Interest, other & tax−$1.34B1.6%
- Net income$1.76B2.1%
Where FY2026 revenue went
$84.55B- Cost of revenue: $68.91B, 82% of revenue
- Operating costs: $12.54B, 15% of revenue
- Net income: $1.76B, 2.1% of revenue
- Interest, other & tax: $1.34B, 1.6% of revenue
Kept 2.1% as net incomeNet income $1.76B · 2.1%
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2026filed August 21, 2026Financial Statements
FY2026 against FY2025
| Line item | FY2026FY2025 | Change |
|---|---|---|
| Revenue | $84.55B$81.37B | +3.9% |
| Cost of Revenue | $68.91B$66.40B | +3.8% |
| Gross Profit | $15.64B$14.97B | +4.5% |
| Operating Expenses | $12.54B$11.88B | +5.6% |
| Operating Income | $3.10B$3.09B | +0.2% |
| Net Income | $1.76B$1.83B | −3.9% |
| EPS (Basic) | $3.67$3.74 | −1.9% |
| EPS (Diluted) | $3.66$3.73 | −1.9% |
| Shares Outstanding (Basic) | 479.12M488.14M | −1.8% |
| Shares Outstanding (Diluted) | 480.61M489.83M | −1.9% |
05—Questions
Frequently Asked Questions
How did Sysco perform financially in fiscal 2026?
Sales rose 3.9% to $84.55 billion, driven by inflation and volume growth. Operating income was $3.10 billion, up 0.2%, and net earnings were $1.76 billion, down 3.9%. Adjusted diluted EPS increased to $4.61 from $4.46 after excluding Certain Items.
What is the status of the Jetro Restaurant Depot acquisition?
Sysco agreed on March 30, 2026 to acquire JRD for about $29.1 billion, including $21.6 billion in cash and 91.5 million Sysco Holdings shares. The Transactions are expected to close by the third quarter of fiscal 2027, subject to customary conditions and HSR clearance. The FTC issued a second request on May 27, 2026, and the filing notes Sysco would owe a $1.164 billion termination fee in certain circumstances.
How will the Jetro acquisition be financed?
The cash portion is expected to be financed with new senior unsecured notes, hybrid debt, cash on hand and equity or equity-linked securities. Sysco has a $22 billion bridge facility commitment, reduced to $19 billion after a $3 billion delayed draw term loan, and has deal-contingent rate locks on $6.3 billion of future permanent debt.
How is Sysco's debt and liquidity position?
Total debt was $13.5 billion at June 27, 2026, of which about 83% was at fixed rates. Cash and cash equivalents were $1.79 billion, and the company had approximately $2.4 billion in cash and available liquidity as of August 4, 2026. Moody's rates Sysco Baa2 with outlook under review, while S&P and Fitch rate it BBB with negative outlooks.
What are management's expectations for fiscal 2027?
Management expects net sales growth of 6% to 7%, inflation of about 1.5% to 2.0%, capital expenditures of approximately $720 million, interest expense of about $770 million including bridge facility amortization, and an effective tax rate of 23.7% to 24.2%. About $100 million of cost savings are also expected.
06—Continue