Sysco (SYY) Q4 2026 earnings summary

Executive summary

• Q4 FY26 sales rose 4.7% year-over-year to $22.1 billion, with adjusted EPS up 3.4% to $1.53 and strong momentum across all business segments.

• Full-year FY26 sales increased 3.9% to $84.6 billion, with adjusted EPS up 3.4% to $4.61, surpassing guidance.

• Launched AI-driven efficiency initiatives, targeting $100 million in FY27 cost savings and multi-year margin expansion.

• Announced acquisition of Restaurant Depot, expected to accelerate growth, profitability, and deliver $250 million in annualized cost synergies.

Financial highlights

• Q4 gross profit grew 3.7% to $4.1 billion; adjusted operating income rose 4.1% to $1.1 billion; adjusted EBITDA up 4.7% to $1.3 billion.

• Full-year adjusted operating income was $3.6 billion, up 2.6%; adjusted EBITDA was $4.4 billion, up 2.2%.

• Free cash flow for the year was $2.1 billion, up 16% year-over-year.

• Returned $1.2 billion to shareholders in FY26 via dividends and share repurchases.

Outlook and guidance

• FY27 guidance: 6%-7% sales growth (to ~$90B), 9%-11% adjusted EPS growth ($5.02-$5.12), and ~2.5% local case growth in USFS.

• Double-digit profit growth expected in the international segment; $1 billion in dividends planned.

• $100 million in cost savings from AI and technology initiatives, with a run-rate of $160 million.

• Share repurchases paused pending Restaurant Depot acquisition and deleveraging.