Sysco Corp

Company facts

Industry

Wholesale-Groceries & Related Products

Headquarters

Houston, Texas

Most recent report

8-K, filed Sep 4, 2026

Incorporated

Delaware

Filings on record

1,000+ filings

On EDGAR

CIK 96021

Fiscal year ends

June

Filer status

Large accelerated filer

What to read: FY2026 10-K

SECSift found 6 of 27 sections worth reading, with 3 positive, 17 notable, and 3 negative flags.

• Business (Item 1)

  Major pending acquisition, record sales, interim CFO, and capex guidance all company-specific.
  Notable

  • Pending $29.1B acquisition of JRD (cash/stock) expected to close by Q3 FY2027, JRD holders get 16% of combined entity.
  • No single customer accounts for 10% or more of sales, showing low customer concentration risk.
  • CapEx guidance for FY2027: $720M net, up from $524M in FY2026, signaling continued investment.

• Risk Factors (Item 1A)

  Company-specific risks: $13.5B debt, Jetro $21.6B deal with FTC second request, large union renegotiations.
  Notable

  • March 2023 cybersecurity incident extracted company, customer, employee data; operations not impacted.
  • $13.5B total debt at June 27, 2026; $792M matures within 12 months, needs refinancing.
  • Estimated withdrawal liability up to $66M if Sysco leaves multiemployer pension plans.
  • Existing stockholders' ownership will drop to ~84% of combined company after deal closes.
  Negative

  • 75,000 employees, 14% union; 26% of US union contracts up for renewal in FY2027, risking work stoppages.

• Market for the Stock (Item 5)

  Dividend increase, buyback suspension for acquisition, and performance data.
  Positive

  • Regular quarterly dividend increased to $0.55 per share (up $0.01) in April 2026 for Q4 FY2026.
  Notable

  • Share repurchases suspended due to planned JRD acquisition; none in Q4 FY2026 after $200M buyback during FY2026.

• Management's Discussion (Item 7)

  Pending $19B acquisition, financing, negative credit outlooks, and detailed results.
  Positive

  • Free cash flow rose 16.3% to $2.1B as capital expenditures fell and operating cash flow grew.
  Notable

  • UK rebranding will add ~$100M amortization over 19 months; $29M already recorded in FY2026.
  • A $22B bridge loan for the JRD acquisition was reduced to $19B by a term loan; $30M interest in FY2026.
  • Sysco incurred $54M in losses on rate lock transactions tied to future debt for the JRD acquisition.
  Negative

  • IRS disputed $131M tax benefit from TCJA; loss could require reversal and cash payment.

• Market Risk (Item 7A)

  Quantified swap and debt exposures; material JRD financing; pension sensitivity.
  Notable

  • $2.3B fixed-to-floating swaps; a 100bp rate move changes fair value by $140M (FY2026).
  • $6.3B deal-contingent swaps for JRD acquisition lock in rates pre-debt issuance (FY2026).
  • Fixed-rate debt share dropped from 90% to 83% of $13.5B total (FY2026), increasing floating exposure.
  • 87 million gallons of diesel hedged through June 2028, covering 80% of bulk fuel purchases for FY2027.
  • 10% pension investment loss would reduce equity by $259M and add $25M in pension expense (FY2026).

• Financial Statements (Item 8)

  Core financial statements and notes with pending $29B acquisition and margin pressures.
  Positive

  • U.S. Retirement Plan swung from $112M underfunded in FY2025 to $23M overfunded in FY2026.
  Notable

  • Agreed to acquire Jetro Restaurant Depot for ~$29.1B, paid with $21.6B cash and 91.5M shares.
  Negative

  • If regulatory clearance fails, Sysco owes a $1.164B termination fee, a large potential cash outflow.

What changed: FY2026 vs. FY2025

About 16% of SYY's FY2026 10-K is new information. 165 paragraphs were added, 363 changed, and 84 removed. Below are the most important lines SECSift identified.

• Financial Statements (Item 8) 154
• Management's Discussion (Item 7) 149
• Risk Factors (Item 1A) 117
• Business (Item 1) 26
• Market Risk (Item 7A) 11
• Properties (Item 2) 6
• Market for the Stock (Item 5) 5
• Exhibits (Item 15) 4
• Cybersecurity (Item 1C) 4
• Form 10-K Summary (Item 16) 3
• Controls and Procedures (Item 9A) 2