Sysco expands AI push after posting $22.1 billion in Q4 sales

Sysco reported higher fourth-quarter sales, earnings and case volume for the quarter ended June 27, citing growth in US and international foodservice. Fourth-quarter sales rose 4.7%, gross profit increased 3.7% to $4.1 billion, operating income rose 10.6% to $983 million, and net earnings grew 3.8% to $551 million. Sysco also introduced fiscal 2027 guidance tied to AI productivity gains.

Sysco said it stopped buying Mexican iceberg lettuce, including from Taylor Farms’ Mexican operations, while officials investigate a multistate Cyclospora outbreak. Reuters cited Sysco CEO Kevin Hourican. CDC reported 10,468 lab-confirmed cases in the US through Aug 3, 2026. FDA’s July 24 advisory cited 1,947 illnesses linked to shredded iceberg lettuce from Taylor Farms de Mexico.

Sysco forecast strong fiscal results after beating quarterly sales and profit estimates, citing resilient customer demand despite macro uncertainty and a US cyclosporiasis outbreak. Quarterly sales rose 4.7% to about $22.12B. Adjusted EPS was $1.53 vs $1.51. FY2027 sales are expected to grow 6% to 7%, and adjusted EPS 9% to 11%, with $100M net savings from cost cuts. Shares fell ~2% after gross margin declined to 18.7%.

Sysco (SYY) reported higher quarterly sales and EPS in its recent results, though full-year net income and continuing-ops EPS were slightly lower. The company guided fiscal 2027 for 6% to 7% sales growth and said it completed a US$3.88 billion buyback, retiring 48.29 million shares. The update affects its capital-return and earnings outlook.

Sysco reported Q4 FY2026 sales of $22.1B, up 4.7% year on year, and net profit up 3.8% to $551M. Adjusted net profit rose 2.5% to $734M. US foodservice sales increased 4.4% to $15.4B and international sales rose 6.7% to $4.2B. For FY2027, Sysco expects 6%–7% sales growth and about $100M cost savings.

Sysco Corp (SYY) stopped buying iceberg lettuce from Mexico after a U.S. cyclosporiasis outbreak, CEO Kevin Hourican told Reuters. Sysco halted sales and distribution of Taylor Farms lettuce in mid-July, then issued a voluntary recall and later followed Taylor Farms’ official recall. FDA linked the outbreak to lettuce served at Taco Bell, sourced from Taylor Farms. Sysco is diversifying procurement.