Slide 1: Fiscal Q1 2026 Earnings Results
Fiscal Q1 2026 Earnings Results October 28, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements made in this presentation that look forward in time or that express management’s beliefs, expectations or hopes are forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements concern, among other things, our future fi
Slide 3: Kevin Hourican, Chair and CEO
Kevin Hourican CHAIR OF THE BOARD AND CHIEF EXECUTIVE OFFICER 3
Slide 4: Q1: Strong Revenue Growth Across USFS, International, and SYGMA
Q1: Strong Revenue Growth Across USFS, International, and SYGMA Fiscal Q1 2026 Highlights +3.2% +3.9% +2.9% +5.5% Revenue growth to $21.1 billion Gross profit dollar increase Adjusted operating income1 Adjusted EPS1 growth to $1.15 to $3.9 billion increase to $898 million +30 bps +120 bps $259 milli
Slide 5: Food Away From Home Continues to Gain Share
Food Away From Home Continues to Gain Share Multi-Decade Trend of Consumer Spending Favoring Food Away From Home Occasions Remains Intact 70% 65% 60% Wallet Share 55% 50% 45% 40% 35% 30% Aug-94 Aug-95 Aug-96 Aug-97 Aug-98 Aug-99 Aug-00 Aug-01 Aug-02 Aug-03 Aug-04 Aug-05 Aug-06 Aug-07 Aug-08 Aug-09 A
Slide 6: Sysco is #1 in an Attractive, Growing Industry
Sysco is #1 in an Attractive, Growing Industry Total Addressable Market Since 2000 $353 B $360 B $370 B 17% $300 B $268 B $224 B $231 B $197 B $161 B $370B 2000 2005 2010 2015 2020 2021 2022 2023 2024 Source: Technomic U.S. Foodservice Industry Wallchart for Calendar Year as of June 2025 6
Slide 7: Sysco's Recipe For Growth is Creating Multiple Vectors to Drive Long-term, Profitable Growth
Sysco’s Recipe For DIGITAL Enrich the customer experience through personalized digital tools that reduce Growth is Creating friction in the purchase experience and introduce innovation to our customers Multiple Vectors to Drive Long-term, PRODUCTS AND SOLUTIONS Profitable Growth Customer focused mar
Slide 8: Sequentially Improving Local Performance
Sequentially Improving Local Performance Q1 Included a >50bps Impact from Exiting a Projecting at Business Within FreshPoint Least 100 bps + of Sequential Sequentially Improved 2.0% Improvement Case Performance Driven By: 1.0% 0.0% • Sysco-Specific Initiatives (0.2%) • Productivity (1.0%) Improvemen
Slide 9: FY 2026: Key Growth Initiatives
FY 2026: Key Growth Initiatives
Slide 10: Q1 2026 Consolidated Results
Q1 2026 Consolidated Results • Gross profit growth of 3.9% was driven by effective management of product cost inflation and strategic sourcing efficiencies Net Sales Gross Profit Adj. Operating Income 1 in Billions in Billions in Millions 1 • Adj. EPS of $1.15 increased 3.2% 3.9% 2.9% YoY YoY YoY 5.
Slide 11: Kenny Cheung, EVP and CFO
Kenny Cheung EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL OFFICER 11
Slide 12: Q1 2026 Consolidated Results
Q1 2026 Consolidated Results • Gross profit growth of 3.9% was driven by effective management of product cost inflation and strategic sourcing efficiencies Net Sales Gross Profit Adj. Operating Income 1 in Billions in Billions in Millions 1 • Adj. EPS of $1.15 increased 3.2% 3.9% 2.9% YoY YoY YoY 5.
Slide 13: Q1 2026 U.S. Foodservice Results
Q1 2026 U.S. Foodservice Results • USFS volumes increased 0.1% • USFS local volumes declined 0.2%, a 120-basis point Net Sales Adj. Operating Income 1 in Billions in Millions sequential improvement 2.9% -1.0% from Q4 YoY YoY • Gross profit dollars $14.8 $925 $916 increased 2.8% to $2.8 $14.4 billion
Slide 14: Updating USFS Case Growth Metric to Include Specialty Meat Business
Updating USFS Case Growth Metric • Updating reported case to Include Specialty Meat Business growth metrics to include Specialty Meat volumes USFS Case Growth (Buckhead Newport Meat & Q1-FY25 Q2-FY25 Q3-FY25 Q4-FY25 FY-FY25 Q1-FY26 Seafood). Historically Reported Case Local 0.2% (0.9%) (3.5%) (1.5%)
Slide 15: Q1 2026 International Results
Q1 2026 International Results • Sales increased 4.5% YoY; increased 2.1% on a 1 constant currency basis Net Sales Adj. Operating Income 1 in Billions in Millions • Excluding the impact of the 4.5% 13.1% Mexico joint venture 1 YoY YoY divestiture, sales grew 7.9% $4.0 1 • Adj. operating income $3.8 $
Slide 16: Q1 2026 SYGMA Results
Q1 2026 SYGMA Results • Gross Profit dollars increased 4.3% YoY Net Sales Operating Income in Billions in Millions 4.1% 38.9% • Flat operating expenses YoY YoY despite 4.1% increase in sales YoY $2.1 $2.0 $25 • Continued segment sales and volume growth after $18 shifting the customer base to a more
Slide 17: Strong Balance Sheet, Strong Investment Grade Credit Rating
Strong Balance Sheet, Strong Investment Grade Credit Rating • Ended the quarter with a 2.9x net debt leverage 1 ratio and continue to target a range of 2.5-2.75x Net Debt to Adj. EBITDA1 • Committed to Investment Grade debt rating 2.90x 2.74x • Ended the quarter with $12.4 billion in net debt1 and a
Slide 18: Strong Cash Generation Drives Shareholder Returns
Strong Cash Generation Drives Shareholder Returns $21.5 On-Track to return $19.5 $17.2 approximately $15.0 $21.5 billion $13.5 $12.0 in cumulative cash Dividends $11.1 Share Repurchase $9.4 to shareholders over 12 years $7.6 $5.9 $3.3 $0.7 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26E
Slide 19: Reiterating Fiscal Year 2026 Guidance
Reiterating Fiscal Year 2026 Guidance Sales Growth Adj. EPS Growth1 3%-5% 1%-3% 5%-7% Adj. EPS Growth Excluding Incentive Compensation Headwind 1 See Non-GAAP reconciliations at the end of the presentation. 19
Slide 20: Fiscal Year 2026 Guidance
Fiscal Year 2026 Guidance Modeling Details • FY26 adjusted EPS guidance includes Incentive Compensation approximately $100 Headwind By Quarter 1 million in carry over impact from incentive $100 comp for the year, impacting year over year comparability Dollars in Millions $75 $63 • Excluding this imp
Slide 21: At the heart of food and service
S/sco At the heart of food and service
Slide 22: Non-GAAP Reconciliations
NON-GAAP RECONCILIATIONS food and service
Slide 23: Impact of Certain Items
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 wi
Slide 24: Non-GAAP Reconciliation: Impact of Certain Items Q1 FY26 vs. Q1 FY25
Sysco Corporation and its Consolidated Subsidiaries Non-GAAP Reconciliation (Unaudited) Impact of Certain Items Q1 FY26 vs. Q1 FY25 (Dollars in Millions, Except for Share and Per Share Data) 13-Week 13-Week Period Ended Period Ended Change %/bps Sep. 27, 2025 Sep. 28, 2024 in Dollars Change Sales (G
Slide 25: Non-GAAP Reconciliation: Impact of Certain Items Q1 FY26 vs. Q1 FY25 (continued)
Sysco Corporation and its Consolidated Subsidiaries Non-GAAP Reconciliation (Unaudited) Impact of Certain Items Q1 FY26 vs. Q1 FY25 (Dollars in Millions, Except for Share and Per Share Data) continued Operating margin (GAAP) 3.78% 3.94% -16 bps Operating margin adjusted for Certain Items (Non-GAAP)
Slide 26: Segment Results Non-GAAP Reconciliation
Sysco Corporation and its Consolidated Subsidiaries Segment Results Non-GAAP Reconciliation (Unaudited) Impact of Certain Items Q1 FY26 vs Q1 FY25 (Dollars in Millions) 13-Week 13-Week Period Ended Period Ended Change Sep. 27, 2025 Sep. 28, 2024 in Dollars %/bps Change U.S. FOODSERVICE OPERATIONS Sa
Slide 27: Segment Results Non-GAAP Reconciliation (continued)
Sysco Corporation and its Consolidated Subsidiaries Segment Results Non-GAAP Reconciliation (Unaudited) Impact of Certain Items Q1 FY26 vs Q1 FY25 (Dollars in Millions) continued SYGMA Sales (GAAP) $ 2,129 $ 2,046 $ 83 4.1% Gross Profit (GAAP) 170 163 7 4.3% Gross Margin (GAAP) 7.98% 7.97% 1 bp Oper
Slide 28: Earnings Before Interest, Taxes, Depreciation and Amortization
Earnings Before Interest, Taxes, Depreciation and Amortization 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
Slide 29: Impact of Certain Items on EBITDA (Q1 FY26 vs. Q1 FY25)
Sysco Corporation and its Consolidated Subsidiaries Non-GAAP Reconciliation (Unaudited) Impact of Certain Items on Earnings Before Interest, Taxes, Depreciation and Amortization (Q1 FY26 vs. Q1 FY25) (Dollars in Millions) 13-Week 13-Week Period Ended Period Ended Change Sep. 27, 2025 Sep. 28, 2024 i
Slide 30: Net Debt to Adjusted EBITDA
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 eval
Slide 31: Impact of Certain Items on EBITDA (Trailing Twelve Months)
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 13-Week 13-Week 13-Week Period Ended Period Ended Period Ended Period Ended
Slide 32: Net Debt to Adjusted EBITDA
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 eval
Slide 33: Impact of Certain Items on EBITDA (Trailing Twelve Months)
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 13-Week 13-Week 13-Week Period Ended Period Ended Period Ended Period Ended
Slide 34: Projected Adjusted EBITDA Guidance
Projected Adjusted EBITDA Guidance Adjusted EBITDA is a non-GAAP financial measure; however, we cannot predict with certainty the particular certain items that would be excluded from the calculation of this measure for future periods. Due to these uncertainties, we cannot provide a quantitative reco
Slide 35: Net Debt to Adjusted EBITDA Leverage Ratio Targets
Net Debt to Adjusted EBITDA Leverage Ratio Targets We expect to target our net debt to adjusted EBITDA leverage ratio forecast in fiscal 2026. We cannot predict with certainty when we will achieve these results or whether the calculation of our EBITDA will be on an adjusted basis in future periods t
Slide 36: Projected Adjusted EPS Guidance
Projected Adjusted EPS Guidance Adjusted earnings per share is a non-GAAP financial measure; however, we cannot predict with certainty certain items that would be included in the most directly comparable GAAP measure for the relevant future periods. Due to these uncertainties, we cannot provide a qu