Cover Page
Cover Page - shares | 3 Months Ended | |
Dec. 29, 2023 | Jan. 26, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Dec. 29, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-36223 | |
Entity Registrant Name | Aramark | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 20-8236097 | |
Entity Address, Address Line One | 2400 Market Street | |
Entity Address, Postal Zip Code | 19103 | |
Entity Address, City or Town | Philadelphia, | |
Entity Address, State or Province | PA | |
City Area Code | 215 | |
Local Phone Number | 238-3000 | |
Title of 12(b) Security | Common Stock, | |
Trading Symbol | ARMK | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 262,453,791 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0001584509 | |
Current Fiscal Year End Date | --09-27 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 29, 2023 | Sep. 29, 2023 |
Current Assets: | ||
Cash and cash equivalents | $ 295,597 | $ 1,927,088 |
Receivables (less allowances: $36,836 and $31,506) | 2,198,781 | 1,970,782 |
Inventories | 367,614 | 403,707 |
Prepayments and other current assets | 305,428 | 297,519 |
Current assets of discontinued operations | 0 | 620,931 |
Total current assets | 3,167,420 | 5,220,027 |
Property and Equipment, net | 1,490,475 | 1,425,973 |
Goodwill | 4,661,018 | 4,615,986 |
Other Intangible Assets | 1,824,457 | 1,804,473 |
Operating Lease Right-of-use Assets | 597,965 | 572,268 |
Other Assets | 678,114 | 728,678 |
Noncurrent Assets of Discontinued Operations | 0 | 2,503,836 |
ASSETS | 12,419,449 | 16,871,241 |
Current Liabilities: | ||
Current maturities of long-term borrowings | 41,513 | 1,543,032 |
Current operating lease liabilities | 50,178 | 51,271 |
Accounts payable | 1,096,193 | 1,271,859 |
Accrued payroll and related expenses | 367,339 | 479,827 |
Accrued expenses and other current liabilities | 934,191 | 1,288,454 |
Current liabilities of discontinued operations | 0 | 395,524 |
Total current liabilities | 2,489,414 | 5,029,967 |
Long-Term Borrowings | 5,930,220 | 5,098,662 |
Noncurrent Operating Lease Liabilities | 244,420 | 245,871 |
Deferred Income Taxes | 399,901 | 410,935 |
Other Noncurrent Liabilities | 500,728 | 503,129 |
Noncurrent Liabilities of Discontinued Operations | 0 | 1,861,735 |
Commitments and Contingencies (see Note 11) | ||
Redeemable Noncontrolling Interests | 8,132 | 8,224 |
Stockholders' Equity: | ||
Common stock, par value $0.01 (authorized: 600,000,000 shares; issued: 302,432,929 shares and 301,069,012 shares; and outstanding: 262,368,455 shares and 261,450,373 shares) | 3,024 | 3,011 |
Capital surplus | 3,847,489 | 3,825,620 |
Retained earnings | 79,299 | 964,158 |
Accumulated other comprehensive loss | (89,011) | (98,237) |
Treasury stock (shares held in treasury: 40,064,474 shares and 39,618,639 shares) | (994,167) | (981,834) |
Total stockholders' equity | 2,846,634 | 3,712,718 |
LIABILITIES AND STOCKHOLDERS' EQUITY | $ 12,419,449 | $ 16,871,241 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 29, 2023 | Sep. 29, 2023 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts receivable, current | $ 36,836 | $ 31,506 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 600,000,000 | 600,000,000 |
Common stock, shares issued (in shares) | 302,432,929 | 301,069,012 |
Common stock, shares outstanding (in shares) | 262,368,455 | 261,450,373 |
Treasury stock, shares held in treasury (in shares) | 40,064,474 | 39,618,639 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Income Statement [Abstract] | ||
Revenue | $ 4,407,765 | $ 3,913,720 |
Costs and Expenses: | ||
Cost of services provided (exclusive of depreciation and amortization) | 4,045,078 | 3,591,802 |
Depreciation and amortization | 105,544 | 102,597 |
Selling and general corporate expenses | 90,193 | 67,636 |
Costs and Expenses | 4,240,815 | 3,762,035 |
Operating income | 166,950 | 151,685 |
Interest Expense, net | 114,562 | 100,951 |
Income from Continuing Operations Before Income Taxes | 52,388 | 50,734 |
Provision for Income Taxes from Continuing Operations | 23,871 | 12,736 |
Net income from Continuing Operations | 28,517 | 37,998 |
Less: Net loss attributable to noncontrolling interests | (19) | (500) |
Net income from Continuing Operations attributable to Aramark stockholders | 28,536 | 38,498 |
Net income attributable to Aramark stockholders | $ 28,536 | $ 74,151 |
Basic earnings per share attributable to Aramark stockholders: | ||
Income from continuing operations (in dollars per share) | $ 0.11 | $ 0.15 |
Income from discontinued operations (in dollars per share) | 0 | 0.14 |
Basic earnings per share attributable to Aramark stockholders (in dollars per share) | 0.11 | 0.29 |
Diluted earnings per share attributable to Aramark stockholders: | ||
Income from continuing operations (in dollars per share) | 0.11 | 0.15 |
Income from discontinued operations (in dollars per share) | 0 | 0.13 |
Diluted earnings per share attributable to Aramark stockholders (in dollars per share) | $ 0.11 | $ 0.28 |
Weighted Average Shares Outstanding: | ||
Basic (in shares) | 262,053 | 259,454 |
Diluted (in shares) | 264,287 | 261,414 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||
Net income from Continuing Operations | $ 28,517 | $ 37,998 |
Income from Discontinued Operations, net of tax | 0 | 35,653 |
Net income | 28,517 | 73,651 |
Other comprehensive (loss) income, net of tax | ||
Foreign currency translation adjustments | 15,349 | 34,837 |
Fair value of cash flow hedges | (37,532) | (6,165) |
Share of equity investee's comprehensive income | 0 | (592) |
Other comprehensive (loss) income, net of tax | (22,183) | 28,080 |
Comprehensive income | 6,334 | 101,731 |
Less: Net loss attributable to noncontrolling interests | (19) | (500) |
Comprehensive income attributable to Aramark stockholders | $ 6,353 | $ 102,231 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Cash flows from operating activities of Continuing Operations: | ||
Net income from Continuing Operations | $ 28,517 | $ 37,998 |
Adjustments to reconcile Net income from Continuing Operations to Net cash used in operating activities of Continuing Operations | ||
Depreciation and amortization | 105,544 | 102,597 |
Asset write-downs | 0 | 18,316 |
Reduction of contingent consideration liability (see Note 13) | 0 | (29,941) |
Deferred income taxes | 1,175 | 12,806 |
Share-based compensation expense | 13,654 | 20,574 |
Changes in operating assets and liabilities: | ||
Receivables | (209,339) | (100,528) |
Inventories | 33,303 | 6,868 |
Prepayments and Other Current Assets | (7,864) | 4,549 |
Accounts Payable | (180,799) | (254,225) |
Accrued Expenses | (460,413) | (415,251) |
Payments made to clients on contracts | (45,075) | (33,868) |
Other operating activities | 64,220 | 14,357 |
Net cash used in operating activities of Continuing Operations | (657,077) | (615,748) |
Cash flows from investing activities of Continuing Operations: | ||
Purchases of property and equipment and other | (115,621) | (88,904) |
Disposals of property and equipment | 4,420 | 3,347 |
Acquisition of certain businesses, net of cash acquired | (83,316) | (3,505) |
Other investing activities | (3,451) | 17,874 |
Net cash used in investing activities of Continuing Operations | (197,968) | (71,188) |
Cash flows from financing activities of Continuing Operations: | ||
Proceeds from long-term borrowings | 228,221 | 301,790 |
Payments of long-term borrowings | (1,538,997) | (19,415) |
Net change in funding under the Receivables Facility | 600,000 | 395,065 |
Payments of dividends | (24,915) | (28,566) |
Proceeds from issuance of common stock | 4,496 | 28,198 |
Other financing activities | (47,808) | (14,538) |
Net cash (used in) provided by financing activities of Continuing Operations | (779,003) | 662,534 |
Discontinued Operations: | ||
Net cash provided by operating activities | 0 | 8,543 |
Net cash used in investing activities | 0 | (12,936) |
Net cash used in financing activities | 0 | (5,476) |
Net cash used in Discontinued Operations | 0 | (9,869) |
Effect of foreign exchange rates on cash and cash equivalents and restricted cash | 5,334 | 11,661 |
Decrease in cash and cash equivalents and restricted cash | (1,628,714) | (22,610) |
Cash and cash equivalents and restricted cash, beginning of period | 1,972,367 | 365,431 |
Cash and cash equivalents and restricted cash, end of period | 343,653 | 342,821 |
Supplemental disclosure of cash flow information | ||
Interest paid | 111,500 | 113,500 |
Income taxes paid | 45,400 | 12,000 |
Balance Sheet classification | ||
Cash and cash equivalents | 295,597 | 288,228 |
Restricted cash in Prepayments and other current assets | 48,056 | 37,771 |
Cash and cash equivalents in Current assets of discontinued operations | 0 | 16,822 |
Total cash and cash equivalents and restricted cash | $ 343,653 | $ 342,821 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Capital Surplus | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock |
Beginning Balance at Sep. 30, 2022 | $ 3,029,640 | $ 2,976 | $ 3,681,966 | $ 406,784 | $ (111,571) | $ (950,515) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 74,151 | 74,151 | ||||
Other comprehensive (loss) income | 28,080 | 28,080 | ||||
Capital contributions from issuance of common stock | 33,594 | 20 | 33,574 | |||
Share-based compensation expense | 24,043 | 24,043 | ||||
Repurchases of common stock | (15,559) | (15,559) | ||||
Payments of dividends | (30,686) | (30,686) | ||||
Ending Balance at Dec. 30, 2022 | 3,143,263 | 2,996 | 3,739,583 | 450,249 | (83,491) | (966,074) |
Beginning Balance at Sep. 29, 2023 | 3,712,718 | 3,011 | 3,825,620 | 964,158 | (98,237) | (981,834) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 28,536 | 28,536 | ||||
Other comprehensive (loss) income | (22,183) | (22,183) | ||||
Capital contributions from issuance of common stock | 8,228 | 13 | 8,215 | |||
Share-based compensation expense | 13,654 | 13,654 | ||||
Repurchases of common stock | (12,333) | (12,333) | ||||
Separation of Uniform Segment | (855,105) | (886,514) | 31,409 | |||
Payments of dividends | (26,881) | (26,881) | ||||
Ending Balance at Dec. 29, 2023 | $ 2,846,634 | $ 3,024 | $ 3,847,489 | $ 79,299 | $ (89,011) | $ (994,167) |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Stockholders' Equity (Parentheticals) - $ / shares | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||
Dividends declared, per share (in dollars per share) | $ 0.095 | $ 0.11 |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 3 Months Ended |
Dec. 29, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Aramark (the "Company") is a leading global provider of food and facilities services to education, healthcare, business & industry and sports, leisure & corrections clients. The Company's core market is the United States, which is supplemented by an additional 14-country footprint. The Company also provides services on a more limited basis in several additional countries and in offshore locations. The Company operates its business in two reportable segments that share many of the same operating characteristics: Food and Support Services United States ("FSS United States") and Food and Support Services International ("FSS International"). On September 30, 2023, the Company completed the previously announced separation and distribution of its Aramark Uniform and Career Apparel ("Uniform") segment into an independent publicly traded company, Vestis Corporation ("Vestis"), and the historical results of the Uniform segment have been reflected as discontinued operations in the Company's condensed consolidated financial statements for all periods prior to the separation and distribution. Assets and liabilities associated with the Uniform segment are classified as assets and liabilities of discontinued operations in the Company's Condensed Consolidated Balance Sheets as of September 29, 2023. Additional disclosures regarding the separation and distribution are provided in Note 2. The condensed consolidated financial statements included herein have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC") and should be read in conjunction with the audited consolidated financial statements, and the notes to those statements, included in the Company's Form 10-K filed with the SEC on November 21, 2023. The Condensed Consolidated Balance Sheet as of September 29, 2023 was derived from audited financial statements which have been prepared in accordance with generally accepted accounting principles in the United States ("U.S. GAAP"). Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. In the opinion of the Company, the statements include all adjustments, which are of a normal, recurring nature, required for a fair presentation for the periods presented. The results of operations for interim periods are not necessarily indicative of the results for a full year, due to the seasonality of some of the Company's business activities and the possibility of changes in general economic conditions. The condensed consolidated financial statements include the accounts of the Company and all of its subsidiaries in which a controlling financial interest is maintained. All intercompany transactions and accounts have been eliminated. New Accounting Standards Updates Adopted Standards (from most to least recent date of issuance) In September 2022, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") 2022-04 Liabilities - Supplier Finance Programs (Subtopic 405-50) to enhance the transparency of supplier finance programs, which may be referred to as reverse factoring, payables finance or structured payables arrangements. The guidance requires that a buyer in a supplier finance program disclose the program's nature, activity and potential magnitude. The guidance was effective for the Company in the first quarter of fiscal 2024. The Company reviewed existing supplier finance agreements and enhanced disclosures with qualitative and quantitative information about its supplier finance program, but the adoption of this guidance did not have a material impact on the condensed consolidated financial statements. In October 2021, the FASB issued ASU 2021-08 Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers which required that an entity (acquirer) recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Accounting Standards Codification 606, Revenue from Contracts with Customers ("ASC 606") as if it had originated the contracts. The guidance was effective for the Company in the first quarter of fiscal 2024. The adoption of this guidance did not have a material impact on the condensed consolidated financial statements. Standards Not Yet Adopted (from most to least recent date of issuance) In December 2023, the FASB issued ASU 2023-09 Income Taxes (Topic 740): Improvements to Income Tax Disclosures to enhance the transparency and decision usefulness of income tax disclosures. The guidance will require improvements to income tax disclosures primarily related to the rate reconciliation and income taxes paid information. The guidance is effective for the Company's annual disclosures for fiscal 2026 and early adoption is permitted. The Company is currently evaluating the impact of this standard. In November 2023, the FASB issued ASU 2023-07 Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures to enhance the reportable segment disclosures. The guidance will require additional disclosures about significant segment expenses. The guidance is effective for the Company's annual disclosures for fiscal 2025 and early adoption is permitted. The Company is currently evaluating the impact of this standard. Other new accounting pronouncements recently issued or newly effective were not applicable to the Company, did not have a material impact on the condensed consolidated financial statements or are not expected to have a material impact on the condensed consolidated financial statements. Comprehensive Income Comprehensive income includes all changes to stockholders' equity during a period, except those resulting from investments by and distributions to stockholders. Components of comprehensive income include net income, changes in foreign currency translation adjustments (net of tax), changes in the fair value of cash flow hedges (net of tax) and changes to the share of any equity investees' comprehensive loss (net of tax). The summary of the components of comprehensive income is as follows (in thousands): Three Months Ended December 29, 2023 December 30, 2022 Pre-Tax Amount Tax Effect After-Tax Amount Pre-Tax Amount Tax Effect After-Tax Amount Net income $ 28,517 $ 73,651 Foreign currency translation adjustments 15,349 — 15,349 37,069 (2,232) 34,837 Fair value of cash flow hedges (50,719) 13,187 (37,532) (8,331) 2,166 (6,165) Share of equity investee's comprehensive loss — — — (592) — (592) Other comprehensive (loss) income (35,370) 13,187 (22,183) 28,146 (66) 28,080 Comprehensive income 6,334 101,731 Less: Net loss attributable to noncontrolling interests (19) (500) Comprehensive income attributable to Aramark stockholders $ 6,353 $ 102,231 The amounts in the table above exclude the impact of a $5.1 million pension plan adjustment and $26.3 million currency translation adjustment during the three months ended December 29, 2023 related to the separation and distribution of the Uniform segment (see Note 2). Accumulated other comprehensive loss consists of the following (in thousands): December 29, 2023 September 29, 2023 Pension plan adjustments $ (9,165) $ (14,241) Foreign currency translation adjustments (151,433) (193,115) Cash flow hedges 71,587 109,119 $ (89,011) $ (98,237) Currency Translation Gains and losses resulting from the translation of financial statements of non-United States subsidiaries are reflected as a component of accumulated other comprehensive loss in stockholder's equity. Beginning in fiscal 2018, Argentina was determined to have a highly inflationary economy. As a result, the Company remeasures the financial statements of Argentina's operations in accordance with the accounting guidance for highly inflationary economies. The impact of the Argentina remeasurement was a foreign currency transaction loss of $3.9 million and $1.1 million during the three month periods ended December 29, 2023 and December 30, 2022, respectively. The impact of foreign currency transaction gains and losses exclusive of Argentina's operations included in the Company's operating results during the three month periods of both fiscal 2024 and 2023 were immaterial to the condensed consolidated financial statements. Current Assets The Company insures portions of its risk in general liability, automobile liability, workers’ compensation liability claims as well as certain property damage risks through a wholly owned captive insurance subsidiary (the "Captive") as part of its approach to risk finance. The Captive is subject to regulations within its domicile of Bermuda, including regulations established by the Bermuda Monetary Authority (the "BMA") relating to levels of liquidity and solvency as such concepts are defined by the BMA. The Captive was in compliance with these regulations as of December 29, 2023. These regulations may have the effect of limiting the Company's ability to access certain cash and cash equivalents held by the Captive for uses other than for the payment of its general liability, automobile liability, workers' compensation liability, certain property damage and related Captive costs. As of December 29, 2023 and September 29, 2023, cash and cash equivalents at the Captive were $14.4 million and $32.8 million, respectively. The Captive also invests in United States Treasury securities where the amount as of December 29, 2023 and September 29, 2023 was $111.7 million and $110.7 million, respectively, and is recorded in "Prepayments and other current assets" on the Condensed Consolidated Balance Sheets. Within the FSS International segment, the Company receives certain cash on behalf of the Company's clients, which is contractually restricted from withdrawal and usage. This restricted cash is recorded in "Prepayments and other current assets" on the Condensed Consolidated Balance Sheets. Property and Equipment and Operating Lease Right-of-use Assets During fiscal 2023, the Company completed a strategic review of certain administrative locations, taking into account facility capacity and current utilization, among other factors. Based on this review, the Company vacated or otherwise reduced its usage at certain of these locations, resulting in an analysis of the recoverability of the assets associated with the locations. As a result, for the three months ended December 30, 2022, the Company recorded an impairment charge of $18.3 million within its FSS United States segment, which is included in "Cost of services provided (exclusive of depreciation and amortization)" on the Condensed Consolidated Statements of Income. The impairment charge consisted of operating lease right-of-use assets of $7.9 million and property and equipment of $10.4 million. Other Assets Other assets consist primarily of costs to obtain or fulfill contracts (including employee sales commissions), long-term receivables, investments in 50% or less owned entities and computer software costs. For investments in 50% or less owned entities accounted for under the equity method of accounting, the carrying amount as of December 29, 2023 and September 29, 2023 was $71.2 million and $73.5 million, respectively. For investments in 50% or less owned entities, other than those accounted for under the equity method of accounting, the Company measures these investments at cost, less any impairment and adjusted for changes in fair value resulting from observable price changes for an identical or a similar investment of the same issuer due to the lack of readily available fair values related to those investments. The carrying amount of equity investments without readily determinable fair values as of both December 29, 2023 and September 29, 2023 was $83.6 million. Supply Chain Finance Program The Company has agreements with third-party administrators that allow participating vendors to voluntarily elect to sell payment obligations from the Company to financial institutions as part of a Supply Chain Finance Program ("SCF Program"). The Company's payment terms to the financial institutions, including the timing and amount of payments, are based on the original supplier invoices. When participating vendors elect to sell one or more of the Company's payment obligations, the Company's rights and obligations to settle the payable on their contractual due date are not impacted. The Company has no economic or commercial interest in a vendor's decision to sell the Company's payment obligations. The Company agrees on commercial terms with vendors for the goods and services procured, which are consistent with payment terms observed at other peer companies in the industry, and the terms are not impacted by the SCF Program. For the SCF Program, the Company does not provide asset pledges, or other forms of guarantees, as security for the committed payment to the financial institutions. As of December 29, 2023 and September 29, 2023, the Company had $3.1 million and $2.8 million, respectively, of outstanding payment obligations to the financial institutions as part of the SCF Program recorded in "Accounts payable" on the Condensed Consolidated Balance Sheets. Other Current and Noncurrent Liabilities The Company is self-insured for certain obligations related to its employee health care benefit programs as well as for certain risks retained under its general liability, automobile liability, workers' compensation liability and certain property damage programs. Reserves for these programs are estimated through actuarial methods, with the assistance of third-party actuaries using loss development assumptions based on the Company's claims history. Impact of COVID-19 The Coronavirus Aid, Relief and Economic Security Act ("CARES Act") provided for deferred payment of the employer portion of social security taxes through the end of calendar 2020, with 50% of the deferred amount due December 31, 2021 and the remaining 50% of the amount due December 31, 2022. Approximately $47.6 million of deferred social security taxes were paid in fiscal 2023. |
Discontinued Operations
Discontinued Operations | 3 Months Ended |
Dec. 29, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | DISCONTINUED OPERATIONS: On September 30, 2023, the Company completed the previously announced separation and distribution of its Uniform segment into an independent publicly traded company, Vestis. The separation was structured as a tax free spin-off, which occurred by way of a pro rata distribution to Aramark stockholders. Each of the Aramark stockholders received one share of Vestis common stock for every two shares of Aramark common stock held of record as of the close of business on September 20, 2023. Vestis is now an independent public company under the symbol “VSTS” on the New York Stock Exchange. In connection with the separation and distribution, the Company entered into or adopted several agreements that provide a framework for the relationship between the Company and Vestis, including, but not limited to the following: Separation and Distribution Agreement - governs the rights and obligations of the parties regarding the distribution following the completion of the separation, including the transfer of assets and assumption of liabilities, and establishes certain rights and obligations between the Company and Vestis following the distribution, including procedures with respect to claims subject to indemnification and related matters. Transition Services Agreement - governs services between the Company and Vestis and their respective affiliates to provide each other on an interim, transitional basis, various services, including, but not limited to, administrative, information technology and cybersecurity support services and certain finance, treasury, tax and governmental function services. The services will terminate no later than 24 months following the distribution date. Tax Matters Agreement - governs the parties’ respective rights, responsibilities and obligations with respect to tax liabilities and benefits, tax attributes, the preparation and filing of tax returns, the control of audits and other tax proceedings and other matters regarding taxes. Employee Matters Agreement - governs the allocation of liabilities and responsibilities relating to employment matters, employee compensation and benefits plans and programs and other related matters. Under these agreements, the Company will continue to provide certain services to Vestis following the separation and distribution. The agreements do not provide the Company with the ability to influence the operating or financial policies of Vestis subsequent to the separation date. During the three months ended December 29, 2023, the value of the services provided to Vestis were immaterial to the Company's financial statements with no outstanding receivables balance as of December 29, 2023. The historical results of the Uniform segment have been reflected as discontinued operations in the Company's consolidated financial statements for all periods prior to the separation and distribution on September 30, 2023. Details of "Income from Discontinued Operations, net of tax" are as follows (in thousands): Three Months Ended December 30, 2022 Revenue $ 687,278 Costs and Expenses: Cost of services provided (exclusive of depreciation and amortization) 570,282 Depreciation and amortization 33,887 Selling and general corporate expenses 35,148 639,317 Operating income 47,961 Interest Expense, net 394 Income from Discontinued Operations Before Income Taxes 47,567 Provision for Income Taxes from Discontinued Operations 11,914 Income from Discontinued Operations, net of tax $ 35,653 During the three months ended December 30, 2022, the Company incurred charges of $5.0 million related to the Company's separation and distribution of its Uniform segment, including salaries and benefits, recruiting and relocation costs, accounting and legal related expenses, branding and other costs, of which $3.5 million was recorded within "Income from Discontinued Operations, net of tax" and $1.5 million was recorded within "Selling and general corporate expenses" on the Condensed Consolidated Statements of Income. During the three months ended December 29, 2023, the Company incurred $20.0 million of banker fees related to the separation and distribution of its Uniform segment and $8.8 million of charitable contribution expense for the contribution of Vestis shares to a donor advised fund in order to fund charitable contributions, which were recorded within "Selling and general corporate expenses" on the Condensed Consolidated Statements of Income. The following table summarizes the Uniform segment assets and liabilities classified as discontinued operations in the Company's Condensed Consolidated Balance Sheets (in thousands): September 29, 2023 ASSETS Cash and cash equivalents $ 36,051 Receivables (less allowance: $25,066) 392,916 Inventories 174,720 Prepayments and other current assets 17,244 Current assets of discontinued operations 620,931 Property and Equipment, net 664,530 Goodwill 963,543 Other Intangible Assets 238,609 Operating Lease Right-of-use Assets 57,890 Other Assets 579,264 Noncurrent Assets of Discontinued Operations $ 2,503,836 LIABILITIES Current maturities of long-term borrowings $ 53,910 Current operating lease liabilities 19,935 Accounts payable 134,497 Accrued payroll and other related expenses 113,770 Accrued expenses and other current liabilities 73,412 Current liabilities of discontinued operations 395,524 Long-Term Borrowings 1,567,910 Noncurrent Operating Lease Liabilities 46,084 Deferred Income Taxes 199,535 Other Noncurrent Liabilities 48,206 Noncurrent Liabilities of Discontinued Operations $ 1,861,735 In the fourth quarter of fiscal 2023, the Uniform legal entity entered into the Uniform credit agreement. The Uniform credit agreement included a revolving credit facility, a United States dollar denominated term loan in the amount of $800.0 million due September 2025 and a United States dollar denominated term loan in the amount of $700.0 million due September 2028, which are recorded in "Noncurrent Liabilities of Discontinued Operations" on the Condensed Consolidated Balance Sheets as of September 29, 2023. Also in the fourth quarter of fiscal 2023, the Uniform legal entity paid a cash dividend to the Company of $1,456.7 million. On October 2, 2023, the Company used the proceeds from the cash dividend, along with cash on hand, to repay the $1,500.0 million 6.375% Senior Notes due May 1, 2025 (the "6.375% 2025 Notes") (see Note 4). The Company recorded its distribution of Vestis' net assets as a decrease in "Retained Earnings". The amount recorded reflected the carrying amounts, as of September 29, 2023, of the net assets distributed offset by the holdback of Vestis shares upon distribution of $8.8 million and $3.6 million of net cash received from Vestis post-separation. The Company also recorded a net decrease to "Accumulated other comprehensive loss" of $31.4 million to derecognize foreign currency translation adjustments and pension plan adjustments which were attributable to Vestis. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 3 Months Ended |
Dec. 29, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | GOODWILL AND OTHER INTANGIBLE ASSETS: Goodwill represents the excess of the fair value of consideration paid for an acquired entity over the fair value of assets acquired and liabilities assumed in a business combination. Goodwill is not amortized and is subject to an impairment test that the Company conducts annually or more frequently if a change in circumstances or the occurrence of events indicates that potential impairment exists, using discounted cash flows. Changes in total goodwill during the three months ended December 29, 2023 are as follows (in thousands): Segment September 29, 2023 Acquisitions Translation December 29, 2023 FSS United States $ 4,164,392 $ 24,159 $ 58 $ 4,188,609 FSS International 451,594 4,898 15,917 472,409 $ 4,615,986 $ 29,057 $ 15,975 $ 4,661,018 Other intangible assets consist of the following (in thousands): December 29, 2023 September 29, 2023 Gross Amount Accumulated Amortization Net Amount Gross Amount Accumulated Amortization Net Amount Customer relationship assets $ 1,158,560 $ (456,546) $ 702,014 $ 1,116,771 $ (433,741) $ 683,030 Trade names 1,142,208 (19,765) 1,122,443 1,137,535 (16,092) 1,121,443 $ 2,300,768 $ (476,311) $ 1,824,457 $ 2,254,306 $ (449,833) $ 1,804,473 Amortization of intangible assets for the three months ended December 29, 2023 and December 30, 2022 was $23.9 million and $21.7 million, respectively. |
Borrowings
Borrowings | 3 Months Ended |
Dec. 29, 2023 | |
Debt Disclosure [Abstract] | |
Borrowings | BORROWINGS: Long-term borrowings, net, are summarized in the following table (in thousands): December 29, 2023 September 29, 2023 Senior secured revolving credit facility, due April 2026 $ 387,505 $ 170,759 Senior secured term loan facility, due April 2026 239,924 258,060 Senior secured term loan facility, due January 2027 835,890 835,631 Senior secured term loan facility, due April 2028 724,705 724,393 Senior secured term loan facility, due June 2030 1,076,392 1,078,588 5.000% senior notes, due April 2025 549,701 549,348 3.125% senior notes, due April 2025 (1) 357,982 342,718 6.375% senior notes, due May 2025 — 1,492,153 5.000% senior notes, due February 2028 1,143,276 1,142,910 Receivables Facility, due July 2026 600,000 — Finance leases 34,187 31,933 Other 22,171 15,201 5,971,733 6,641,694 Less—current portion (41,513) (1,543,032) $ 5,930,220 $ 5,098,662 (1) This is a Euro denominated borrowing. As of December 29, 2023, there were approximately $762.3 million of outstanding foreign currency borrowings. As of December 29, 2023, the Company had approximately $737.0 million of availability under the senior secured revolving credit facility. On October 2, 2023, the Company repaid the $1,500.0 million 6.375% 2025 Notes in conjunction with the separation and distribution of the Uniform segment (see Note 2). The Company recorded $31.8 million of charges to "Interest Expense, net" in the Condensed Consolidated Statements of Income for the three months ended December 29, 2023, consisting of the payment of a $23.9 million call premium and a $7.9 million non-cash loss for the write-off of unamortized deferred financing costs on the 6.375% 2025 Notes. The amount paid for the call premium is included within "Other financing activities" on the Condensed Consolidated Statements of Cash Flows for the three months ended December 29, 2023. |
Derivative Instruments
Derivative Instruments | 3 Months Ended |
Dec. 29, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | DERIVATIVE INSTRUMENTS: The Company enters into contractual derivative arrangements to manage changes in market conditions related to interest on debt obligations, including interest rate swap agreements, that are recognized as either assets or liabilities on the balance sheet at fair value at the end of each quarter. The counterparties to the Company's contractual derivative agreements are all major international financial institutions. The Company is exposed to credit loss in the event of nonperformance by these counterparties. The Company continually monitors its positions and the credit ratings of its counterparties and does not anticipate nonperformance by the counterparties. The Company formally documents the hedging relationship and its risk management objective and strategy for undertaking the hedge, the hedging instrument, the hedged item, the nature of the risk being hedged and how the hedging instrument's effectiveness in offsetting the hedged risk will be assessed prospectively and retrospectively for designated hedges. The Company also formally assesses, both at the hedge's inception and on an ongoing basis, whether the derivatives that are used in hedging transactions are highly effective in offsetting cash flows of hedged items. Cash Flow Hedges The Company has $2.3 billion notional amount of outstanding interest rate swap agreements as of December 29, 2023, which fix the rate on a like amount of variable rate borrowings with varying maturities through December of fiscal 2028. During the first quarter of fiscal 2024, the Company entered into $100.0 million notional amount of forward starting interest rate swap agreements to hedge the cash flow risk of variability in interest payments on variable rate borrowings. Changes in the fair value of a derivative that is designated as and meets all the required criteria for a cash flow hedge are recorded in accumulated other comprehensive loss and reclassified into earnings as the underlying hedged item affects earnings. Amounts reported in accumulated other comprehensive loss related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. As of December 29, 2023 and September 29, 2023, $71.6 million and $109.1 million, respectively, of unrealized net of tax gains related to the interest rate swaps were included in "Accumulated other comprehensive loss" on the Condensed Consolidated Balance Sheets. The following table summarizes the effect of the Company's derivatives designated as cash flow hedging instruments on Other comprehensive income (loss) (in thousands): Three Months Ended December 29, 2023 December 30, 2022 Interest rate swap agreements $ (31,953) $ 1,984 The following table summarizes the location and fair value, using Level 2 inputs (see Note 13 for a description of the fair value levels), of the Company's derivatives designated as hedging instruments on the Condensed Consolidated Balance Sheets (in thousands): Balance Sheet Location December 29, 2023 September 29, 2023 Interest rate swap agreements Other Assets $ 96,739 $ 147,458 The following table summarizes the location of the gain reclassified from "Accumulated other comprehensive loss" into earnings for derivatives designated as hedging instruments on the Condensed Consolidated Statements of Income (in thousands): Three Months Ended Income Statement Location December 29, 2023 December 30, 2022 Interest rate swap agreements Interest Expense, net $ (18,766) $ (10,315) As of December 29, 2023, the Company has a Euro denominated term loan in the amount of €66.5 million. The term loan was designated as a hedge of the Company's net Euro currency exposure represented by certain holdings in the Company's European affiliates. At December 29, 2023, the net of tax gain expected to be reclassified from "Accumulated other comprehensive loss" into earnings over the next twelve months based on current market rates is approximately $44.4 million. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Dec. 29, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | REVENUE RECOGNITION: The Company generates revenue through sales of food and facility services to customers based on written contracts at the locations it serves. The Company provides food and beverage services, including catering and retail services, and facilities services, including plant operations and maintenance, custodial, housekeeping, landscaping and other services. In accordance with ASC 606, the Company accounts for a customer contract when both parties have approved the arrangement and are committed to perform their respective obligations, each party's rights can be identified, payment terms can be identified, the contract has commercial substance and it is probable the Company will collect substantially all of the consideration to which it is entitled. Revenue is recognized upon the transfer of control of the promised product or service to customers in an amount that reflects the consideration the Company expects to receive in exchange for those goods and services. Performance Obligations The Company recognizes revenue when its performance obligation is satisfied. Each contract generally has one performance obligation, which is satisfied over time. The Company primarily accounts for its performance obligations under the series guidance, using the as-invoiced practical expedient when applicable. The Company applies the right to invoice practical expedient to record revenue as the services are provided, given the nature of the services provided and the frequency of billing under the customer contracts. Under this practical expedient, the Company recognizes revenue in an amount that corresponds directly with the value to the customer of the Company’s performance completed to date and for which the Company has the right to invoice the customer. Certain arrangements include performance obligations which include variable consideration (primarily per transaction fees). For these arrangements, the Company does not need to estimate the variable consideration for the contract and allocate to the entire performance obligation; therefore, the variable fees are recognized in the period they are earned. Disaggregation of Revenue The following table presents revenue disaggregated by revenue source (in millions): Three Months Ended December 29, 2023 December 30, 2022 FSS United States: Business & Industry $ 383.1 $ 331.5 Education 1,112.3 1,003.6 Healthcare (1) 399.1 412.4 Sports, Leisure & Corrections 903.6 784.6 Facilities & Other (1) 414.7 388.9 Total FSS United States 3,212.8 2,921.0 FSS International: Europe 637.8 504.2 Rest of World 557.2 488.5 Total FSS International 1,195.0 992.7 Total Revenue $ 4,407.8 $ 3,913.7 (1) Beginning in fiscal 2024, management began reporting results for healthcare facility services within "Healthcare", whereas the results were previously reported within "Facilities & Other". As such, the "Healthcare" and "Facilities & Other" three months ended December 30, 2022 results were recast to reflect this change. Contract Balances Deferred income is recognized in "Accrued expenses and other current liabilities" on the Condensed Consolidated Balance Sheets when the Company has received consideration, or has the right to receive consideration, in advance of the transfer of the performance obligation of the contract to the customer, primarily prepaid meal plans. The consideration received remains a liability until the goods or services have been provided to the customer. The Company classifies deferred income as current as the deferred income is expected to be recognized in the next 12 months. If the Company cannot render its performance obligation according to contract terms after receiving the consideration in advance, amounts may be contractually required to be refunded to the customer. During the three months ended December 29, 2023, deferred income increased related to customer prepayments and decreased related to income recognized during the period as a result of satisfying the performance obligation or return of funds related to non-performance. For the three months ended December 29, 2023, the Company recognized $217.2 million of revenue that was included in deferred income at the beginning of the period. Deferred income balances are summarized in the following table (in millions): December 29, 2023 September 29, 2023 Deferred income $ 156.5 $ 329.9 |
Income Taxes
Income Taxes | 3 Months Ended |
Dec. 29, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES: During the three months ended December 29, 2023, the Company recorded a valuation allowance to the "Provision for Income Taxes from Continuing Operations" to the Condensed Consolidated Statements of Income of $7.1 million against certain foreign tax credits, as it is more likely than not a tax benefit will not be realized due to the reduction of future forecasted foreign income as a result of the separation and distribution of the Uniform segment. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Dec. 29, 2023 | |
Equity [Abstract] | |
Stockholders' Equity | STOCKHOLDERS' EQUITY: On January 30, 2024, the Company's Board of Directors approved a $0.095 dividend per share of common stock, payable on February 28, 2024, to stockholders of record on the close of business on February 14, 2024. The Company has 100.0 million shares of preferred stock authorized, with a par value of $0.01 per share. At December 29, 2023 and September 29, 2023, zero shares of preferred stock were issued or outstanding. |
Share-Based Compensation
Share-Based Compensation | 3 Months Ended |
Dec. 29, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation | SHARE-BASED COMPENSATION: On October 13, 2023, the Company's Compensation and Human Resources Committee of the Board of Directors (the "Committee"), pursuant to the terms of the Third Amended and Restated 2013 Stock Incentive Plan and to reflect the separation and distribution of the Company’s Uniform segment that occurred on September 30, 2023, approved amendments to the performance goals and performance periods for the Company’s outstanding Performance Stock Units ("PSUs"). For the PSUs granted in fiscal 2022, which were subject to performance targets for the three-year period ending September 27, 2024, two-thirds of these PSUs became subject to new adjusted performance targets and an adjusted performance period for the two-year period ending September 29, 2023 and the remaining one-third of these PSUs will be subject to new adjusted performance targets for the one-year period ending September 27, 2024. The PSUs granted in fiscal 2023, which were subject to performance targets for the three-year period ending October 3, 2025, were amended to be subject to adjusted performance targets primarily to reflect the Company on a post-spin off basis. The Committee also approved adjustments increasing the maximum aggregate number of shares authorized for awards under the 2023 Stock Plan by an additional 3.5 million shares. The following table summarizes the share-based compensation expense and related information for Time-Based Options ("TBOs"), Retention Time-Based Options ("TBO-Rs"), Time-Based Restricted Stock Units ("RSUs"), PSUs, Deferred Stock Units and Employee Stock Purchase Plan ("ESPP") recorded within "Selling and general corporate expenses" on the Condensed Consolidated Statements of Income (in millions). Three Months Ended December 29, 2023 December 30, 2022 TBOs $ 2.4 $ 3.4 TBO-Rs 0.1 1.9 RSUs 7.9 11.2 PSUs 2.8 1.9 Deferred Stock Units 0.5 0.3 ESPP (1) — 1.9 $ 13.7 $ 20.6 Taxes related to share-based compensation $ 2.6 $ 3.5 Cash Received from Option Exercises/ESPP Purchases 4.5 28.2 Tax Benefit on Share Deliveries — 0.7 (1) The Company suspended its ESPP beginning in the second quarter of fiscal 2023. The below table summarizes the number of shares granted and the weighted-average grant-date fair value per unit during the three months ended December 29, 2023: Shares Granted Weighted Average Grant-Date Fair Value TBOs 1.1 $ 11.99 RSUs 1.5 $ 28.05 PSUs 0.7 $ 32.10 3.3 |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Dec. 29, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE: Basic earnings per share is computed using the weighted average number of common shares outstanding during the periods presented. Diluted earnings per share is computed using the weighted average number of common shares outstanding adjusted to include the potentially dilutive effect of stock awards. The following table sets forth the computation of basic and diluted earnings per share attributable to the Company's stockholders (in thousands, except per share data): Three Months Ended December 29, 2023 December 30, 2022 Earnings: Net income from Continuing Operations attributable to Aramark stockholders $ 28,536 $ 38,498 Income from Discontinued Operations, net of tax — 35,653 Net income attributable to Aramark stockholders $ 28,536 $ 74,151 Shares: Basic weighted-average shares outstanding 262,053 259,454 Effect of dilutive securities 2,234 1,960 Diluted weighted-average shares outstanding 264,287 261,414 Basic earnings per share attributable to Aramark stockholders: Income from Continuing Operations $ 0.11 $ 0.15 Income from Discontinued Operations — 0.14 Basic earnings per share attributable to Aramark stockholders $ 0.11 $ 0.29 Diluted earnings per share attributable to Aramark stockholders: Income from Continuing Operations $ 0.11 $ 0.15 Income from Discontinued Operations — 0.13 Diluted earnings per share attributable to Aramark stockholders $ 0.11 $ 0.28 Share-based awards to purchase 13.1 million and 9.1 million shares were outstanding for the three months ended December 29, 2023 and December 30, 2022, respectively, but were not included in the computation of diluted earnings per common share, as their effect would have been antidilutive. In addition, PSUs related to 1.3 million and 0.8 million shares were outstanding for the three months ended December 29, 2023 and December 30, 2022, respectively, but were not included in the computation of diluted earnings per common share, as the performance targets were not yet met. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Dec. 29, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES: Certain of the Company's lease arrangements, primarily vehicle leases, with terms of one |
Business Segments
Business Segments | 3 Months Ended |
Dec. 29, 2023 | |
Segment Reporting [Abstract] | |
Business Segments | BUSINESS SEGMENTS: The Company reports its operating results in two reportable segments: FSS United States and FSS International. Corporate includes general expenses not specifically allocated to an individual segment and share-based compensation expense (see Note 9). Approximately 74% of the global revenue is related to food services and 26% is related to facilities services. During the three months ended December 30, 2022, the Company received proceeds of $19.8 million relating to the recovery of the Company's investment (possessory interest) at one of the National Park Service sites within the FSS United States segment. The Company recorded a gain related to the recovery of its investment, which is included in "Cost of services provided (exclusive of depreciation and amortization)" on the Condensed Consolidated Statements of Income. Financial information by segment follows (in millions): Three Months Ended Revenue December 29, 2023 December 30, 2022 FSS United States $ 3,212.8 $ 2,921.0 FSS International 1,195.0 992.7 Total Revenue $ 4,407.8 $ 3,913.7 Three Months Ended Operating Income December 29, 2023 December 30, 2022 FSS United States $ 174.8 $ 158.6 FSS International 46.3 26.8 Total Segment Operating Income 221.1 185.4 Corporate (54.1) (33.7) Total Operating Income $ 167.0 $ 151.7 Three Months Ended Reconciliation to Income from Continuing Operations Before Income Taxes December 29, 2023 December 30, 2022 Total Operating Income $ 167.0 $ 151.7 Interest Expense, net 114.6 101.0 Income from Continuing Operations Before Income Taxes $ 52.4 $ 50.7 |
Fair Value of Financial Assets
Fair Value of Financial Assets and Financial Liabilities | 3 Months Ended |
Dec. 29, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Assets and Financial Liabilities | FAIR VALUE OF FINANCIAL ASSETS AND FINANCIAL LIABILITIES: Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities recorded at fair value are classified based upon the level of judgment associated with the inputs used to measure their fair value. The hierarchical levels related to the subjectivity of the valuation inputs are defined as follows: • Level 1—inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets • Level 2—inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument • Level 3—inputs to the valuation methodology are unobservable and significant to the fair value measurement Recurring Fair Value Measurements The Company's financial instruments consist primarily of cash and cash equivalents, accounts receivable, accounts payable, borrowings and derivatives. Management believes that the carrying value of cash and cash equivalents, accounts receivable and accounts payable are representative of their respective fair values. In conjunction with the fair value measurement of the derivative instruments, the Company made an accounting policy election to measure the credit risk of its derivative instruments that are subject to master netting agreements on a net basis by counterparty portfolio, as the gross values would not be materially different. The fair value of the Company's debt at December 29, 2023 and September 29, 2023 was $5,973.0 million and $6,606.7 million, respectively. The carrying value of the Company's debt at December 29, 2023 and September 29, 2023 was $5,971.7 million and $6,641.7 million, respectively. The fair values were computed using market quotes, if available, or based on discounted cash flows using market interest rates as of the end of the respective periods. The inputs utilized in estimating the fair value of the Company's debt have been classified as Level 2 in the fair value hierarchy levels. As part of the Union Supply acquisition completed in fiscal 2022, the Company recorded a contingent consideration obligation based on the fair value of the expected payments with a separate amount that will be accounted for as compensation expense to be recognized on the Condensed Consolidated Statements of Income over the earnout period. The Company performed a fair value assessment of the contingent consideration obligation based on the terms and conditions of the Union Supply purchase agreement, using internal models. The inputs utilized in estimating the fair value of the contingent consideration have been classified as Level 3 in the fair value hierarchy levels and are subject to risk and uncertainty. The calculation of fair value is dependent on several subjective factors including future earnings and profitability. If assumptions or estimates vary from what was expected, the fair value of the contingent consideration liability may materially change. The contingent consideration liability at December 29, 2023 and September 29, 2023 was $9.0 million and $8.4 million, respectively. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Pay vs Performance Disclosure | ||
Net income | $ 28,536 | $ 74,151 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 29, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Dec. 29, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | The condensed consolidated financial statements included herein have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (the "SEC") and should be read in conjunction with the audited consolidated financial statements, and the notes to those statements, included in the Company's Form 10-K filed with the SEC on November 21, 2023. The Condensed Consolidated Balance Sheet as of September 29, 2023 was derived from audited financial statements which have been prepared in accordance with generally accepted accounting principles in the United States ("U.S. GAAP"). Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. In the opinion of the Company, the statements include all adjustments, which are of a normal, recurring nature, required for a fair presentation for the periods presented. The results of operations for interim periods are not necessarily indicative of the results for a full year, due to the seasonality of some of the Company's business activities and the possibility of changes in general economic conditions. |
New Accounting Standard Updates | New Accounting Standards Updates Adopted Standards (from most to least recent date of issuance) In September 2022, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") 2022-04 Liabilities - Supplier Finance Programs (Subtopic 405-50) to enhance the transparency of supplier finance programs, which may be referred to as reverse factoring, payables finance or structured payables arrangements. The guidance requires that a buyer in a supplier finance program disclose the program's nature, activity and potential magnitude. The guidance was effective for the Company in the first quarter of fiscal 2024. The Company reviewed existing supplier finance agreements and enhanced disclosures with qualitative and quantitative information about its supplier finance program, but the adoption of this guidance did not have a material impact on the condensed consolidated financial statements. In October 2021, the FASB issued ASU 2021-08 Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers which required that an entity (acquirer) recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Accounting Standards Codification 606, Revenue from Contracts with Customers ("ASC 606") as if it had originated the contracts. The guidance was effective for the Company in the first quarter of fiscal 2024. The adoption of this guidance did not have a material impact on the condensed consolidated financial statements. Standards Not Yet Adopted (from most to least recent date of issuance) In December 2023, the FASB issued ASU 2023-09 Income Taxes (Topic 740): Improvements to Income Tax Disclosures to enhance the transparency and decision usefulness of income tax disclosures. The guidance will require improvements to income tax disclosures primarily related to the rate reconciliation and income taxes paid information. The guidance is effective for the Company's annual disclosures for fiscal 2026 and early adoption is permitted. The Company is currently evaluating the impact of this standard. In November 2023, the FASB issued ASU 2023-07 Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures to enhance the reportable segment disclosures. The guidance will require additional disclosures about significant segment expenses. The guidance is effective for the Company's annual disclosures for fiscal 2025 and early adoption is permitted. The Company is currently evaluating the impact of this standard. |
Comprehensive Income | Comprehensive Income |
Currency Translation | Currency Translation |
Current Assets | Current Assets The Company insures portions of its risk in general liability, automobile liability, workers’ compensation liability claims as well as certain property damage risks through a wholly owned captive insurance subsidiary (the "Captive") as part of its approach to risk finance. The Captive is subject to regulations within its domicile of Bermuda, including regulations established by the Bermuda Monetary Authority (the "BMA") relating to levels of liquidity and solvency as such concepts are defined by the BMA. The Captive was in compliance with these regulations as of December 29, 2023. These regulations may have the Within the FSS International segment, the Company receives certain cash on behalf of the Company's clients, which is contractually restricted from withdrawal and usage. This restricted cash is recorded in "Prepayments and other current assets" on the Condensed Consolidated Balance Sheets. |
Property and Equipment and Operating Lease Right-of-use Assets | Property and Equipment and Operating Lease Right-of-use Assets |
Other Assets | Other Assets Other assets consist primarily of costs to obtain or fulfill contracts (including employee sales commissions), long-term receivables, investments in 50% or less owned entities and computer software costs. For investments in 50% or less owned entities accounted for under the equity method of accounting, the carrying amount as of December 29, 2023 and September 29, 2023 was $71.2 million and $73.5 million, respectively. For investments in 50% or less owned entities, other than those accounted for under the equity method of accounting, the Company measures these investments at cost, less any impairment and adjusted for changes in fair value resulting from observable price changes for an identical or a similar investment of the same issuer due to the lack of readily available fair values related to those investments. The carrying amount of equity investments without readily determinable fair values as of both December 29, 2023 and September 29, 2023 was $83.6 million. |
Other Current and Noncurrent Liabilities | Other Current and Noncurrent Liabilities The Company is self-insured for certain obligations related to its employee health care benefit programs as well as for certain risks retained under its general liability, automobile liability, workers' compensation liability and certain property damage programs. Reserves for these programs are estimated through actuarial methods, with the assistance of third-party actuaries using loss development assumptions based on the Company's claims history. |
Fair Value of Financial Instruments | Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities recorded at fair value are classified based upon the level of judgment associated with the inputs used to measure their fair value. The hierarchical levels related to the subjectivity of the valuation inputs are defined as follows: • Level 1—inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets • Level 2—inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument • Level 3—inputs to the valuation methodology are unobservable and significant to the fair value measurement Recurring Fair Value Measurements |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Components of Comprehensive Income | The summary of the components of comprehensive income is as follows (in thousands): Three Months Ended December 29, 2023 December 30, 2022 Pre-Tax Amount Tax Effect After-Tax Amount Pre-Tax Amount Tax Effect After-Tax Amount Net income $ 28,517 $ 73,651 Foreign currency translation adjustments 15,349 — 15,349 37,069 (2,232) 34,837 Fair value of cash flow hedges (50,719) 13,187 (37,532) (8,331) 2,166 (6,165) Share of equity investee's comprehensive loss — — — (592) — (592) Other comprehensive (loss) income (35,370) 13,187 (22,183) 28,146 (66) 28,080 Comprehensive income 6,334 101,731 Less: Net loss attributable to noncontrolling interests (19) (500) Comprehensive income attributable to Aramark stockholders $ 6,353 $ 102,231 |
Schedule of Accumulated Other Comprehensive Loss | Accumulated other comprehensive loss consists of the following (in thousands): December 29, 2023 September 29, 2023 Pension plan adjustments $ (9,165) $ (14,241) Foreign currency translation adjustments (151,433) (193,115) Cash flow hedges 71,587 109,119 $ (89,011) $ (98,237) |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations | Details of "Income from Discontinued Operations, net of tax" are as follows (in thousands): Three Months Ended December 30, 2022 Revenue $ 687,278 Costs and Expenses: Cost of services provided (exclusive of depreciation and amortization) 570,282 Depreciation and amortization 33,887 Selling and general corporate expenses 35,148 639,317 Operating income 47,961 Interest Expense, net 394 Income from Discontinued Operations Before Income Taxes 47,567 Provision for Income Taxes from Discontinued Operations 11,914 Income from Discontinued Operations, net of tax $ 35,653 The following table summarizes the Uniform segment assets and liabilities classified as discontinued operations in the Company's Condensed Consolidated Balance Sheets (in thousands): September 29, 2023 ASSETS Cash and cash equivalents $ 36,051 Receivables (less allowance: $25,066) 392,916 Inventories 174,720 Prepayments and other current assets 17,244 Current assets of discontinued operations 620,931 Property and Equipment, net 664,530 Goodwill 963,543 Other Intangible Assets 238,609 Operating Lease Right-of-use Assets 57,890 Other Assets 579,264 Noncurrent Assets of Discontinued Operations $ 2,503,836 LIABILITIES Current maturities of long-term borrowings $ 53,910 Current operating lease liabilities 19,935 Accounts payable 134,497 Accrued payroll and other related expenses 113,770 Accrued expenses and other current liabilities 73,412 Current liabilities of discontinued operations 395,524 Long-Term Borrowings 1,567,910 Noncurrent Operating Lease Liabilities 46,084 Deferred Income Taxes 199,535 Other Noncurrent Liabilities 48,206 Noncurrent Liabilities of Discontinued Operations $ 1,861,735 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill Assets by Segment | Changes in total goodwill during the three months ended December 29, 2023 are as follows (in thousands): Segment September 29, 2023 Acquisitions Translation December 29, 2023 FSS United States $ 4,164,392 $ 24,159 $ 58 $ 4,188,609 FSS International 451,594 4,898 15,917 472,409 $ 4,615,986 $ 29,057 $ 15,975 $ 4,661,018 |
Schedule of Other Intangible Assets | Other intangible assets consist of the following (in thousands): December 29, 2023 September 29, 2023 Gross Amount Accumulated Amortization Net Amount Gross Amount Accumulated Amortization Net Amount Customer relationship assets $ 1,158,560 $ (456,546) $ 702,014 $ 1,116,771 $ (433,741) $ 683,030 Trade names 1,142,208 (19,765) 1,122,443 1,137,535 (16,092) 1,121,443 $ 2,300,768 $ (476,311) $ 1,824,457 $ 2,254,306 $ (449,833) $ 1,804,473 |
Borrowings (Tables)
Borrowings (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Long-term borrowings, net, are summarized in the following table (in thousands): December 29, 2023 September 29, 2023 Senior secured revolving credit facility, due April 2026 $ 387,505 $ 170,759 Senior secured term loan facility, due April 2026 239,924 258,060 Senior secured term loan facility, due January 2027 835,890 835,631 Senior secured term loan facility, due April 2028 724,705 724,393 Senior secured term loan facility, due June 2030 1,076,392 1,078,588 5.000% senior notes, due April 2025 549,701 549,348 3.125% senior notes, due April 2025 (1) 357,982 342,718 6.375% senior notes, due May 2025 — 1,492,153 5.000% senior notes, due February 2028 1,143,276 1,142,910 Receivables Facility, due July 2026 600,000 — Finance leases 34,187 31,933 Other 22,171 15,201 5,971,733 6,641,694 Less—current portion (41,513) (1,543,032) $ 5,930,220 $ 5,098,662 (1) This is a Euro denominated borrowing. |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) | The following table summarizes the effect of the Company's derivatives designated as cash flow hedging instruments on Other comprehensive income (loss) (in thousands): Three Months Ended December 29, 2023 December 30, 2022 Interest rate swap agreements $ (31,953) $ 1,984 |
Schedule of Derivative Instruments, Balance Sheet Presentation | The following table summarizes the location and fair value, using Level 2 inputs (see Note 13 for a description of the fair value levels), of the Company's derivatives designated as hedging instruments on the Condensed Consolidated Balance Sheets (in thousands): Balance Sheet Location December 29, 2023 September 29, 2023 Interest rate swap agreements Other Assets $ 96,739 $ 147,458 |
Schedule Summarizes the Location of (Gain) Loss Reclassified from AOCI Into Earnings for Derivatives Designated as Hedging Instruments and the Location of (Gain) Loss | The following table summarizes the location of the gain reclassified from "Accumulated other comprehensive loss" into earnings for derivatives designated as hedging instruments on the Condensed Consolidated Statements of Income (in thousands): Three Months Ended Income Statement Location December 29, 2023 December 30, 2022 Interest rate swap agreements Interest Expense, net $ (18,766) $ (10,315) |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following table presents revenue disaggregated by revenue source (in millions): Three Months Ended December 29, 2023 December 30, 2022 FSS United States: Business & Industry $ 383.1 $ 331.5 Education 1,112.3 1,003.6 Healthcare (1) 399.1 412.4 Sports, Leisure & Corrections 903.6 784.6 Facilities & Other (1) 414.7 388.9 Total FSS United States 3,212.8 2,921.0 FSS International: Europe 637.8 504.2 Rest of World 557.2 488.5 Total FSS International 1,195.0 992.7 Total Revenue $ 4,407.8 $ 3,913.7 (1) Beginning in fiscal 2024, management began reporting results for healthcare facility services within "Healthcare", whereas the results were previously reported within "Facilities & Other". As such, the "Healthcare" and "Facilities & Other" three months ended December 30, 2022 results were recast to reflect this change. |
Schedule of Contract with Customer, Asset and Liability | Deferred income balances are summarized in the following table (in millions): December 29, 2023 September 29, 2023 Deferred income $ 156.5 $ 329.9 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan | The following table summarizes the share-based compensation expense and related information for Time-Based Options ("TBOs"), Retention Time-Based Options ("TBO-Rs"), Time-Based Restricted Stock Units ("RSUs"), PSUs, Deferred Stock Units and Employee Stock Purchase Plan ("ESPP") recorded within "Selling and general corporate expenses" on the Condensed Consolidated Statements of Income (in millions). Three Months Ended December 29, 2023 December 30, 2022 TBOs $ 2.4 $ 3.4 TBO-Rs 0.1 1.9 RSUs 7.9 11.2 PSUs 2.8 1.9 Deferred Stock Units 0.5 0.3 ESPP (1) — 1.9 $ 13.7 $ 20.6 Taxes related to share-based compensation $ 2.6 $ 3.5 Cash Received from Option Exercises/ESPP Purchases 4.5 28.2 Tax Benefit on Share Deliveries — 0.7 (1) The Company suspended its ESPP beginning in the second quarter of fiscal 2023. |
Schedule of Unrecognized Compensation Cost, Nonvested Awards | The below table summarizes the number of shares granted and the weighted-average grant-date fair value per unit during the three months ended December 29, 2023: Shares Granted Weighted Average Grant-Date Fair Value TBOs 1.1 $ 11.99 RSUs 1.5 $ 28.05 PSUs 0.7 $ 32.10 3.3 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the computation of basic and diluted earnings per share attributable to the Company's stockholders (in thousands, except per share data): Three Months Ended December 29, 2023 December 30, 2022 Earnings: Net income from Continuing Operations attributable to Aramark stockholders $ 28,536 $ 38,498 Income from Discontinued Operations, net of tax — 35,653 Net income attributable to Aramark stockholders $ 28,536 $ 74,151 Shares: Basic weighted-average shares outstanding 262,053 259,454 Effect of dilutive securities 2,234 1,960 Diluted weighted-average shares outstanding 264,287 261,414 Basic earnings per share attributable to Aramark stockholders: Income from Continuing Operations $ 0.11 $ 0.15 Income from Discontinued Operations — 0.14 Basic earnings per share attributable to Aramark stockholders $ 0.11 $ 0.29 Diluted earnings per share attributable to Aramark stockholders: Income from Continuing Operations $ 0.11 $ 0.15 Income from Discontinued Operations — 0.13 Diluted earnings per share attributable to Aramark stockholders $ 0.11 $ 0.28 |
Business Segments (Tables)
Business Segments (Tables) | 3 Months Ended |
Dec. 29, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Sales by Segment | Financial information by segment follows (in millions): Three Months Ended Revenue December 29, 2023 December 30, 2022 FSS United States $ 3,212.8 $ 2,921.0 FSS International 1,195.0 992.7 Total Revenue $ 4,407.8 $ 3,913.7 |
Schedule of Operating Income by Segment | Three Months Ended Operating Income December 29, 2023 December 30, 2022 FSS United States $ 174.8 $ 158.6 FSS International 46.3 26.8 Total Segment Operating Income 221.1 185.4 Corporate (54.1) (33.7) Total Operating Income $ 167.0 $ 151.7 Three Months Ended Reconciliation to Income from Continuing Operations Before Income Taxes December 29, 2023 December 30, 2022 Total Operating Income $ 167.0 $ 151.7 Interest Expense, net 114.6 101.0 Income from Continuing Operations Before Income Taxes $ 52.4 $ 50.7 |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies - Narrative (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 29, 2023 USD ($) segment country | Dec. 30, 2022 USD ($) | Sep. 29, 2023 USD ($) | |
Basis of Presentation and Summary of Significant Accounting Policies [Line Items] | |||
Number of reportable segments | segment | 2 | ||
Foreign currency transaction loss | $ 3,900 | $ 1,100 | |
Cash and cash equivalents | 295,597 | 288,228 | $ 1,927,088 |
Impairment charges | 0 | 18,316 | |
Equity method investment, aggregate cost | 71,200 | 73,500 | |
Equity securities without readily determinable fair value, amount | 83,600 | 83,600 | |
Supplier finance program, obligation | 3,100 | 2,800 | |
Pension plan adjustments from spin-off | 5,100 | ||
Foreign currency translation adjustments, spin-off | 26,300 | ||
Cost of services provided | FSS United States and Uniform | |||
Basis of Presentation and Summary of Significant Accounting Policies [Line Items] | |||
Impairment charges | 18,300 | ||
Cost of services provided | FSS - United States | Right Of Use Assets | |||
Basis of Presentation and Summary of Significant Accounting Policies [Line Items] | |||
Impairment charges | 7,900 | ||
Cost of services provided | FSS - United States | Leasehold Improvements | |||
Basis of Presentation and Summary of Significant Accounting Policies [Line Items] | |||
Impairment charges | $ 10,400 | ||
Deferred Income Taxes and Other Noncurrent Liabilities | CARES Act | |||
Basis of Presentation and Summary of Significant Accounting Policies [Line Items] | |||
Payment of deferred social security taxes | 47,600 | ||
Captive | |||
Basis of Presentation and Summary of Significant Accounting Policies [Line Items] | |||
Cash and cash equivalents | 14,400 | 32,800 | |
Captive | Prepaid Expenses and Other Current Assets | |||
Basis of Presentation and Summary of Significant Accounting Policies [Line Items] | |||
Investment at cost | $ 111,700 | $ 110,700 | |
Foreign Countries Outside North America | |||
Basis of Presentation and Summary of Significant Accounting Policies [Line Items] | |||
Number of foreign countries in which entity operates | country | 14 |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies - Schedule of Components of Comprehensive (Loss) Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Pre-Tax Amount | ||
Foreign currency translation adjustments | $ 15,349 | $ 37,069 |
Fair value of cash flow hedges | (50,719) | (8,331) |
Share of equity investee's comprehensive loss | 0 | (592) |
Other comprehensive (loss) income | (35,370) | 28,146 |
Tax Effect | ||
Foreign currency translation adjustments | 0 | (2,232) |
Fair value of cash flow hedges | 13,187 | 2,166 |
Share of equity investee's comprehensive loss | 0 | 0 |
Other comprehensive (loss) income | 13,187 | (66) |
After-Tax Amount | ||
Net income | 28,517 | 73,651 |
Foreign currency translation adjustments | 15,349 | 34,837 |
Fair value of cash flow hedges | (37,532) | (6,165) |
Share of equity investee's comprehensive income | 0 | (592) |
Other comprehensive (loss) income | (22,183) | 28,080 |
Comprehensive income | 6,334 | 101,731 |
Less: Net (loss) income attributable to noncontrolling interests | (19) | (500) |
Comprehensive income attributable to Aramark stockholders | $ 6,353 | $ 102,231 |
Basis of Presentation and Sum_6
Basis of Presentation and Summary of Significant Accounting Policies - Schedule of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | Dec. 29, 2023 | Sep. 29, 2023 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Pension plan adjustments | $ (9,165) | $ (14,241) |
Foreign currency translation adjustments | (151,433) | (193,115) |
Cash flow hedges | 71,587 | 109,119 |
Total accumulated other comprehensive loss | $ (89,011) | $ (98,237) |
Discontinued Operations - Detai
Discontinued Operations - Details of Income from Discontinued Operations, Net of Tax (Details) - Vestis $ in Thousands | 3 Months Ended |
Dec. 30, 2022 USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Revenue | $ 687,278 |
Cost of services provided (exclusive of depreciation and amortization) | 570,282 |
Depreciation and amortization | 33,887 |
Selling and general corporate expenses | 35,148 |
Costs and Expenses | 639,317 |
Operating income | 47,961 |
Interest Expense, net | 394 |
Income from Discontinued Operations Before Income Taxes | 47,567 |
Provision for Income Taxes from Discontinued Operations | 11,914 |
Income from Discontinued Operations, net of tax | $ 35,653 |
Discontinued Operations - Narra
Discontinued Operations - Narrative (Details) $ in Thousands | 3 Months Ended | ||||
Oct. 02, 2023 USD ($) | Sep. 30, 2023 | Dec. 29, 2023 USD ($) | Sep. 29, 2023 USD ($) | Dec. 30, 2022 USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Separation of Uniform Segment | $ (855,105) | ||||
Transition Services, Termination Period Following the Distribution Date | 24 months | ||||
6.375% senior notes, due May 2025 | Senior Notes | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Long-term debt | $ 0 | $ 1,492,153 | |||
Repayments of debt | $ 1,500,000 | ||||
Interest rate stated percentage | 6.375% | ||||
Uniform Credit Agreement | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Dividends, Cash | 1,456,700 | ||||
Uniform Credit Agreement | United States Dollar Denominated Term Loan Due September 2025 | Secured Debt | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Long-term debt | 800,000 | ||||
Uniform Credit Agreement | United States Dollar Denominated Term Loan Due September 2028 | Secured Debt | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Long-term debt | $ 700,000 | ||||
Accumulated Other Comprehensive Loss | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Separation of Uniform Segment | $ 31,409 | ||||
Vestis | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Number of Vestis common stock for every two shares or Aramark common stock held | 0.5 | ||||
Charges related to separation and distribution | 20,000 | ||||
Income from Discontinued Operations, net of tax | $ 35,653 | ||||
Selling and general corporate expenses | 35,148 | ||||
Charitable contribution expense | (8,800) | ||||
Cash distribution | $ (3,600) | ||||
Vestis | Uniform Segment | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Charges related to separation and distribution | 5,000 | ||||
Income from Discontinued Operations, net of tax | 3,500 | ||||
Selling and general corporate expenses | $ 1,500 |
Discontinued Operations - Asset
Discontinued Operations - Assets and Liabilities of Discontinued Operations (Details) - USD ($) $ in Thousands | Dec. 29, 2023 | Sep. 29, 2023 | Dec. 30, 2022 |
ASSETS | |||
Cash and cash equivalents in Current assets of discontinued operations | $ 0 | $ 16,822 | |
Current assets of discontinued operations | 0 | $ 620,931 | |
Noncurrent Assets of Discontinued Operations | 0 | 2,503,836 | |
LIABILITIES | |||
Current liabilities of discontinued operations | 0 | 395,524 | |
Noncurrent Liabilities of Discontinued Operations | $ 0 | 1,861,735 | |
Vestis | |||
ASSETS | |||
Cash and cash equivalents in Current assets of discontinued operations | 36,051 | ||
Receivables (less allowance: $25,066) | 392,916 | ||
Receivables allowance | 25,066 | ||
Inventories | 174,720 | ||
Prepayments and other current assets | 17,244 | ||
Current assets of discontinued operations | 620,931 | ||
Property and Equipment, net | 664,530 | ||
Goodwill | 963,543 | ||
Other Intangible Assets | 238,609 | ||
Operating Lease Right-of-use Assets | 57,890 | ||
Other Assets | 579,264 | ||
Noncurrent Assets of Discontinued Operations | 2,503,836 | ||
LIABILITIES | |||
Current maturities of long-term borrowings | 53,910 | ||
Current operating lease liabilities | 19,935 | ||
Accounts payable | 134,497 | ||
Accrued payroll and other related expenses | 113,770 | ||
Accrued expenses and other current liabilities | 73,412 | ||
Current liabilities of discontinued operations | 395,524 | ||
Long-Term Borrowings | 1,567,910 | ||
Noncurrent Operating Lease Liabilities | 46,084 | ||
Deferred Income Taxes | 199,535 | ||
Other Noncurrent Liabilities | 48,206 | ||
Noncurrent Liabilities of Discontinued Operations | $ 1,861,735 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Schedule of Goodwill Assets by Segment (Details) $ in Thousands | 3 Months Ended |
Dec. 29, 2023 USD ($) | |
Goodwill [Roll Forward] | |
Balance at beginning of the period | $ 4,615,986 |
Acquisitions | 29,057 |
Translation | 15,975 |
Balance at the end of the period | 4,661,018 |
FSS - United States | |
Goodwill [Roll Forward] | |
Balance at beginning of the period | 4,164,392 |
Acquisitions | 24,159 |
Translation | 58 |
Balance at the end of the period | 4,188,609 |
FSS International | |
Goodwill [Roll Forward] | |
Balance at beginning of the period | 451,594 |
Acquisitions | 4,898 |
Translation | 15,917 |
Balance at the end of the period | $ 472,409 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 29, 2023 | Sep. 29, 2023 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 2,300,768 | $ 2,254,306 |
Accumulated Amortization | (476,311) | (449,833) |
Net Amount | 1,824,457 | 1,804,473 |
Customer relationship assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 1,158,560 | 1,116,771 |
Accumulated Amortization | (456,546) | (433,741) |
Net Amount | 702,014 | 683,030 |
Trade names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 1,142,208 | 1,137,535 |
Accumulated Amortization | (19,765) | (16,092) |
Net Amount | $ 1,122,443 | $ 1,121,443 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization of intangible assets | $ 23.9 | $ 21.7 |
Borrowings - Schedule of Debt (
Borrowings - Schedule of Debt (Details) - USD ($) $ in Thousands | Dec. 29, 2023 | Sep. 29, 2023 |
Debt Instrument [Line Items] | ||
Finance leases | $ 34,187 | $ 31,933 |
Other | 22,171 | 15,201 |
Debt and capital lease obligations | 5,971,733 | 6,641,694 |
Less—current portion | (41,513) | (1,543,032) |
Long-Term Borrowings | 5,930,220 | 5,098,662 |
Receivables Facility, due July 2026 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 600,000 | 0 |
Secured Debt | Senior secured revolving credit facility, due April 2026 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 387,505 | 170,759 |
Secured Debt | Senior secured term loan facility, due April 2026 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 239,924 | 258,060 |
Secured Debt | Senior secured term loan facility, due January 2027 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 835,890 | 835,631 |
Secured Debt | Senior secured term loan facility, due April 2028 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 724,705 | 724,393 |
Secured Debt | Senior secured term loan facility, due June 2030 | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 1,076,392 | 1,078,588 |
Senior Notes | 5.000% senior notes, due April 2025 | ||
Debt Instrument [Line Items] | ||
Interest rate stated percentage | 5% | |
Long-term debt | $ 549,701 | 549,348 |
Senior Notes | 3.125% senior notes, due April 2025 | ||
Debt Instrument [Line Items] | ||
Interest rate stated percentage | 3.125% | |
Long-term debt | $ 357,982 | 342,718 |
Senior Notes | 6.375% senior notes, due May 2025 | ||
Debt Instrument [Line Items] | ||
Interest rate stated percentage | 6.375% | |
Long-term debt | $ 0 | 1,492,153 |
Senior Notes | 5.000% senior notes, due February 2028 | ||
Debt Instrument [Line Items] | ||
Interest rate stated percentage | 5% | |
Long-term debt | $ 1,143,276 | $ 1,142,910 |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Oct. 02, 2023 | Dec. 29, 2023 | Sep. 29, 2023 | |
6.375% senior notes, due May 2025 | Senior Notes | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 0 | $ 1,492,153 | |
Repayments of debt | $ 1,500,000 | ||
Interest rate stated percentage | 6.375% | ||
6.375% senior notes, due May 2025 | Senior Notes | Interest Expense, net | |||
Debt Instrument [Line Items] | |||
Debt issuance costs, gross | $ 31,800 | ||
6.375% senior notes, due May 2025 | Senior Notes | Interest and Other Financing Costs, Net | |||
Debt Instrument [Line Items] | |||
Call premium | 23,900 | ||
6.375% senior notes, due May 2025 | Secured Debt | Interest and Other Financing Costs, Net | |||
Debt Instrument [Line Items] | |||
Write off of deferred debt issuance cost | 7,900 | ||
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Remaining borrowing capacity | 737,000 | ||
Revolving Credit Facility | Secured Debt | |||
Debt Instrument [Line Items] | |||
Long-term debt | 387,505 | $ 170,759 | |
Foreign | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 762,300 |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) $ in Thousands, € in Millions | 3 Months Ended | ||
Dec. 29, 2023 USD ($) | Dec. 29, 2023 EUR (€) | Sep. 29, 2023 USD ($) | |
Derivative [Line Items] | |||
Cash flow hedges | $ 71,587 | $ 109,119 | |
Senior secured term loan facility, due April 2026 | Secured Debt | |||
Derivative [Line Items] | |||
Long-term debt | 239,924 | 258,060 | |
Designated as Hedging Instrument | Euro Denominated Term Loan, Aramark Investments Limited | Senior secured term loan facility, due April 2026 | Secured Debt | |||
Derivative [Line Items] | |||
Long-term debt | € | € 66.5 | ||
Designated as Hedging Instrument | Cash Flow Hedging | |||
Derivative [Line Items] | |||
Net tax loss expected to be reclassified from accumulated other comprehensive loss | 44,400 | ||
Interest rate swap agreements | Designated as Hedging Instrument | |||
Derivative [Line Items] | |||
Notional amount of derivative | 2,300,000 | ||
Interest rate swap agreements | Designated as Hedging Instrument | Cash Flow Hedging | |||
Derivative [Line Items] | |||
Cash flow hedges | 71,600 | $ 109,100 | |
Interest rate swap agreements | Not Designated as Hedging Instrument | Cash Flow Hedging | |||
Derivative [Line Items] | |||
Notional amount of derivative | $ 100,000 |
Derivative Instruments - Schedu
Derivative Instruments - Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Interest rate swap agreements | Cash Flow Hedging | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Gain (loss) on interest rate swap agreements | $ (31,953) | $ 1,984 |
Derivative Instruments - Balanc
Derivative Instruments - Balance Sheet Presentation (Details) - USD ($) $ in Thousands | Dec. 29, 2023 | Sep. 29, 2023 |
Other Assets | Interest rate swap agreements | Designated as Hedging Instrument | ||
Derivative instruments | ||
Fair value of derivative assets | $ 96,739 | $ 147,458 |
Derivative Instruments - Locati
Derivative Instruments - Location of (Gain) Loss Reclassified from AOCI Into Earnings (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Interest rate swap agreements | Cash Flow Hedging | Designated as Hedging Instrument | ||
Derivative instruments | ||
Gain (Loss), reclassification, before tax | $ (18,766) | $ (10,315) |
Revenue Recognition - Performan
Revenue Recognition - Performance Obligation Narrative (Details) $ in Millions | 3 Months Ended |
Dec. 29, 2023 USD ($) performance_obligation | |
Revenue from Contract with Customer [Abstract] | |
Number of remaining performance obligations | performance_obligation | 1 |
Deferred revenue recognized | $ | $ 217.2 |
Revenue Recognition - Schedule
Revenue Recognition - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 4,407,765 | $ 3,913,720 |
FSS - United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,212,800 | 2,921,000 |
FSS - United States | Total FSS United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,212,800 | 2,921,000 |
FSS International | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,195,000 | 992,700 |
FSS International | Total FSS International | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,195,000 | 992,700 |
FSS International | Europe | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 637,800 | 504,200 |
FSS International | Rest of World | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 557,200 | 488,500 |
Business & Industry | FSS - United States | Total FSS United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 383,100 | 331,500 |
Education | FSS - United States | Total FSS United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,112,300 | 1,003,600 |
Healthcare | FSS - United States | Total FSS United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 399,100 | 412,400 |
Sports, Leisure & Corrections | FSS - United States | Total FSS United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 903,600 | 784,600 |
Facilities & Other | FSS - United States | Total FSS United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 414,700 | $ 388,900 |
Revenue Recognition - Schedul_2
Revenue Recognition - Schedule of Deferred Income (Details) - USD ($) $ in Millions | Dec. 29, 2023 | Sep. 29, 2023 |
Revenue from Contract with Customer [Abstract] | ||
Deferred income | $ 156.5 | $ 329.9 |
Income Taxes (Details)
Income Taxes (Details) $ in Millions | 3 Months Ended |
Dec. 29, 2023 USD ($) | |
Foreign Tax Authority | |
Income Tax Contingency [Line Items] | |
Valuation allowance against DTAs | $ 7.1 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - $ / shares | Jan. 30, 2024 | Dec. 29, 2023 | Sep. 29, 2023 |
Subsequent Event [Line Items] | |||
Preferred stock, shares authorized (in shares) | 100,000,000 | 100,000,000 | |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |
Preferred stock, shares outstanding (in shares) | 0 | 0 | |
Preferred stock, shares issued (in shares) | 0 | 0 | |
Subsequent Event | |||
Subsequent Event [Line Items] | |||
Dividends payable (in dollars per share) | $ 0.095 |
Share-Based Compensation - Narr
Share-Based Compensation - Narrative (Details) - shares | 3 Months Ended | ||
Dec. 29, 2023 | Dec. 30, 2022 | Oct. 13, 2023 | |
2023 Stock Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized (in shares) | 3,500,000 | ||
PSUs | Third Amended and Restated 2013 Stock Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period (in years) | 3 years | ||
PSUs | Third Amended and Restated 2013 Stock Incentive Plan | Share-Based Payment Arrangement, Two Third of PSU at Ending September 29, 2023 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period (in years) | 2 years | ||
PSUs | Third Amended and Restated 2013 Stock Incentive Plan | Share-Based Payment Arrangement, One-Third of PSU at Ending September 27, 2024 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period (in years) | 1 year |
Share-Based Compensation - Comp
Share-Based Compensation - Compensation Expense and Other Options (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated share-based compensation expense | $ 13,700 | $ 20,600 |
Taxes related to share-based compensation | 2,600 | 3,500 |
Cash Received from Option Exercises/ESPP Purchases | 4,496 | 28,198 |
Tax Benefit on Share Deliveries | 0 | 700 |
TBOs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated share-based compensation expense | 2,400 | 3,400 |
TBO-Rs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated share-based compensation expense | 100 | 1,900 |
RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated share-based compensation expense | 7,900 | 11,200 |
PSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated share-based compensation expense | 2,800 | 1,900 |
Deferred Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated share-based compensation expense | 500 | 300 |
ESPP | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated share-based compensation expense | $ 0 | $ 1,900 |
Share-Based Compensation - Sche
Share-Based Compensation - Schedule of Unrecognized Compensation Cost (Details) shares in Millions | 3 Months Ended |
Dec. 29, 2023 $ / shares shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares granted (in shares) | 3.3 |
TBOs | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares granted (in shares) | 1.1 |
Weighted Average Grant-Date Fair Value (dollars per share) | $ / shares | $ 11.99 |
RSUs | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares granted (in shares) | 1.5 |
Weighted Average Grant-Date Fair Value (dollars per share) | $ / shares | $ 28.05 |
PSUs | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares granted (in shares) | 0.7 |
Weighted Average Grant-Date Fair Value (dollars per share) | $ / shares | $ 32.10 |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Basic and Diluted Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Earnings: | ||
Net income from Continuing Operations attributable to Aramark stockholders | $ 28,536 | $ 38,498 |
Net income attributable to Aramark stockholders | $ 28,536 | $ 74,151 |
Shares: | ||
Basic weighted-average shares outstanding (in shares) | 262,053 | 259,454 |
Effect of dilutive securities (in shares) | 2,234 | 1,960 |
Diluted weighted-average shares outstanding (in shares) | 264,287 | 261,414 |
Basic earnings per share attributable to Aramark stockholders: | ||
Income from continuing operations (in dollars per share) | $ 0.11 | $ 0.15 |
Income from discontinued operations (in dollars per share) | 0 | 0.14 |
Basic earnings per share attributable to Aramark stockholders (in dollars per share) | 0.11 | 0.29 |
Diluted earnings per share attributable to Aramark stockholders: | ||
Income from continuing operations (in dollars per share) | 0.11 | 0.15 |
Income from discontinued operations (in dollars per share) | 0 | 0.13 |
Diluted earnings per share attributable to Aramark stockholders (in dollars per share) | $ 0.11 | $ 0.28 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) - shares shares in Millions | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Share-based Compensation Award | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of EPS (in shares) | 13.1 | 9.1 |
Performance-Based Options and Performance Stock Units | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of EPS (in shares) | 1.3 | 0.8 |
Commitments and Contingencies (
Commitments and Contingencies (Details) | Dec. 29, 2023 USD ($) |
Loss Contingencies [Line Items] | |
Residual value guarantee | $ 0 |
Minimum | Vehicles | |
Loss Contingencies [Line Items] | |
Lease term (in years) | 1 year |
Maximum | |
Loss Contingencies [Line Items] | |
Residual value guarantee | $ 31,300,000 |
Residual value of leased asset | $ 0 |
Maximum | Vehicles | |
Loss Contingencies [Line Items] | |
Lease term (in years) | 8 years |
Business Segments - Narrative (
Business Segments - Narrative (Details) $ in Millions | 3 Months Ended | |
Dec. 29, 2023 segment | Dec. 30, 2022 USD ($) nationalPark | |
Segment Reporting Information [Line Items] | ||
Number of reportable segments | segment | 2 | |
FSS - United States | ||
Segment Reporting Information [Line Items] | ||
Possessory interest in National Park service sites | nationalPark | 1 | |
Cost of services provided | FSS - United States | ||
Segment Reporting Information [Line Items] | ||
Proceeds from recovery of investment | $ | $ 19.8 | |
Food Services | Sales | Product Concentration Risk | ||
Segment Reporting Information [Line Items] | ||
Concentration risk, percentage | 74% | |
Facilities & Other | Sales | Product Concentration Risk | ||
Segment Reporting Information [Line Items] | ||
Concentration risk, percentage | 26% |
Business Segments - Schedule of
Business Segments - Schedule of Operating Income by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 29, 2023 | Dec. 30, 2022 | |
Segment Reporting Information [Line Items] | ||
Total Revenue | $ 4,407,765 | $ 3,913,720 |
Total Operating Income | 166,950 | 151,685 |
Income from Continuing Operations Before Income Taxes | 52,388 | 50,734 |
Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total Operating Income | 221,100 | 185,400 |
Corporate | ||
Segment Reporting Information [Line Items] | ||
Total Operating Income | (54,100) | (33,700) |
Reconciling Items | ||
Segment Reporting Information [Line Items] | ||
Total Operating Income | 167,000 | 151,700 |
Interest Expense, net | 114,600 | 101,000 |
Income from Continuing Operations Before Income Taxes | 52,400 | 50,700 |
FSS - United States | ||
Segment Reporting Information [Line Items] | ||
Total Revenue | 3,212,800 | 2,921,000 |
FSS - United States | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total Operating Income | 174,800 | 158,600 |
FSS International | ||
Segment Reporting Information [Line Items] | ||
Total Revenue | 1,195,000 | 992,700 |
FSS International | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total Operating Income | $ 46,300 | $ 26,800 |
Fair Value of Financial Asset_2
Fair Value of Financial Assets and Financial Liabilities (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Dec. 30, 2022 | Dec. 29, 2023 | Sep. 29, 2023 | |
Fair Value Disclosure | Next Level Hospitality | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Change in amount of contingent consideration liability | $ 29.9 | ||
Fair Value Disclosure | Fair Value, Measurements, Recurring | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair value of debt | $ 5,973 | $ 6,606.7 | |
Fair Value Disclosure | Fair Value, Measurements, Recurring | Union Supply Group, Inc. | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Contingent consideration | 9 | 8.4 | |
Fair Value Disclosure | Fair Value, Measurements, Recurring | Next Level Hospitality | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Contingent consideration | 0 | ||
Carrying Value Disclosure | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Carrying value of debt | $ 5,971.7 | $ 6,641.7 |