Sysco Corporation ( (SYY) ) has released its Q1 earnings. Here is a breakdown of the information Sysco Corporation presented to its investors.
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Sysco Corporation is a global leader in selling, marketing, and distributing food and related products to various sectors, including restaurants, healthcare, and educational facilities. The company operates in the foodservice industry and is known for its extensive distribution network and customized supply chain solutions.
In its first fiscal quarter of 2026, Sysco Corporation reported a 3.2% increase in sales, reaching $21.1 billion, with a gross profit rise of 3.9% to $3.9 billion. Despite these gains, the company’s operating income saw a slight decline of 1.0% to $800 million, while adjusted operating income increased by 2.9% to $898 million. Notably, adjusted earnings per share rose by 5.5% to $1.15, reflecting strong performance in the local business segment.
Sysco’s U.S. Foodservice operations experienced a modest sales increase of 2.9% to $14.8 billion, with a slight volume growth of 0.1%. The international segment performed robustly, with a 4.5% sales increase to $4.0 billion, driven by effective margin management and local volume growth. The company returned $259 million to shareholders through dividends, although free cash flow was negative at $50 million for the quarter.
Looking ahead, Sysco remains confident in its full-year guidance, anticipating sales growth of 3%-5% and adjusted EPS growth of 1%-3%. The company is optimistic about its strategic initiatives and operational execution, aiming to continue building momentum in the coming quarters.