Sysco Reports First Quarter 2027 Results; Reiterates FY27 Adjusted EPS and Local Volume Guidance
Key Highlights
- ➤Q1 sales increased 2.8% to $21.7 billion
- ➤Adjusted EPS increased 3.5% to $1.19
- ➤FY27 adjusted EPS growth guidance reiterated at 9%-11%
- ➤FY27 local volume growth guidance unchanged at approximately 2.5%
- ➤FY27 sales growth now expected at lower end of 6%-7% range
Expert Statements
Kevin Hourican, Chair of the Board and Chief Executive Officer of Sysco
“We are pleased to report a strong start to fiscal 2027. Our Q1 adjusted EPS performance was in-line with our expectations, fueled by positive volume growth, expanding gross margins, and disciplined expense control. We delivered profitable growth across the US and International segments despite continued softness in restaurant foot traffic, higher than expected fuel costs, and lower than expected U.S. food cost inflation. Sysco remains firmly focused on three priorities for the year: a) delivering with excellence for our customers, as well as our core Sysco financial commitments, b) improving our operating margins through AI-powered business transformation, and c) preparing for the anticipated closure of the Jetro Restaurant Depot transaction. I want to thank our entire team for their customer focus, the improvement in our business that they are delivering, and express how excited everyone at Sysco is for the year ahead,”
Brandon Sewell, Chief Financial Officer of Sysco
“Our teams delivered 2.7% local growth in our U.S. segment and grew adjusted operating income across our USFS and International segments. Our company specific initiatives kept us focused on the elements of performance within our control within a choppy operating environment. Looking ahead, we remain confident in our net cost savings targets enabled by AI technology which include our expectation for $100 million in savings included in our FY27 guidance, with benefits accelerating in the second half. We remain confident in delivering on our adjusted EPS growth guidance of 9%-11%, reflecting unchanged local volume growth assumptions of approximately 2.5%, while full year sales growth is now expected to be at the lower end of our 6%-7% range, reflecting a lower inflation environment for the industry.”
HOUSTON, Nov. 03, 2026 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY) (“Sysco” or the “company”) today announced financial results for its 13-week first fiscal quarter ended September 26, 2026.
Key financial results for the first quarter of fiscal year 2027 include the following (comparisons are to the same period in fiscal year 2026): * Sales increased 2.8%; U.S. Foodservice volume increased 2.6%; U.S. Foodservice local volume increased 2.7%; * Gross profit increased 3.8% to $4.1 billion; * Operating income decreased 10.4% to $717 million, and adjusted operating income increased 3.2% to $927 million(1); * Net earnings increased 10.5% to $526 million, and adjusted net earnings increased 4.2% to $574 million(1); * EBITDA increased 20.4% to $1.2 billion(2), and adjusted EBITDA increased 5.4% to $1.1 billion(1,2); and * EPS(3) increased 10.1% to $1.09, and adjusted EPS(1) increased 3.5% to $1.19. “We are pleased to report a strong start to fiscal 2027. Our Q1 adjusted EPS performance was in-line with our expectations, fueled by positive volume growth, expanding gross margins, and disciplined expense control. We delivered profitable growth across the US and International segments despite continued softness in restaurant foot traffic, higher than expected fuel costs, and lower than expected U.S. food cost inflation. Sysco remains firmly focused on three priorities for the year: a) delivering with excellence for our customers, as well as our core Sysco financial commitments, b) improving our operating margins through AI-powered business transformation, and c) preparing for the anticipated closure of the Jetro Restaurant Depot transaction. I want to thank our entire team for their customer focus, the improvement in our business that they are delivering, and express how excited everyone at Sysco is for the year ahead,” said Kevin Hourican, Sysco’s Chair of the Board and Chief Executive Officer.
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