COVER PAGE
COVER PAGE - shares | 3 Months Ended | |
Oct. 01, 2022 | Oct. 14, 2022 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Oct. 01, 2022 | |
Document Transition Report | false | |
Entity File Number | 1-6544 | |
Entity Registrant Name | Sysco Corporation | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 74-1648137 | |
Entity Address, Address Line One | 1390 Enclave Parkway | |
Entity Address, City or Town | Houston | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77077-2099 | |
City Area Code | 281 | |
Local Phone Number | 584-1390 | |
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 | 506,767,526 | |
Entity Central Index Key | 0000096021 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --07-01 | |
Common Stock | ||
Document Information [Line Items] | ||
Title of each class | Common stock, $1.00 Par Value | |
Trading Symbol | SYY | |
Security Exchange Name | NYSE | |
Senior Notes, 1.25% Due 2023 | ||
Document Information [Line Items] | ||
Title of each class | 1.25% Notes due June 2023 | |
Trading Symbol | SYY 23 | |
Security Exchange Name | NYSE |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Oct. 01, 2022 | Jul. 02, 2022 |
Current assets | ||
Cash and cash equivalents | $ 437,670 | $ 867,086 |
Accounts receivable, less allowances of $74,002 and $70,790 | 5,336,857 | 4,838,912 |
Inventories | 4,682,609 | 4,437,498 |
Prepaid expenses and other current assets | 310,131 | 303,789 |
Income tax receivable | 0 | 35,934 |
Total current assets | 10,767,267 | 10,483,219 |
Plant and equipment at cost, less accumulated depreciation | 4,462,608 | 4,456,420 |
Other long-term assets | ||
Goodwill | 4,434,476 | 4,542,315 |
Intangibles, less amortization | 906,385 | 952,683 |
Deferred income taxes | 382,778 | 377,604 |
Operating lease right-of-use assets, net | 704,664 | 723,297 |
Other assets | 552,765 | 550,150 |
Total other long-term assets | 6,981,068 | 7,146,049 |
Total assets | 22,210,943 | 22,085,688 |
Current liabilities | ||
Accounts payable | 6,018,227 | 5,752,958 |
Accrued expenses | 2,177,793 | 2,270,753 |
Accrued income taxes | 113,388 | 40,042 |
Current operating lease liabilities | 94,027 | 105,690 |
Current maturities of long-term debt | 555,829 | 580,611 |
Total current liabilities | 8,959,264 | 8,750,054 |
Long-term liabilities | ||
Long-term debt | 10,263,331 | 10,066,931 |
Deferred income taxes | 241,748 | 250,171 |
Long-term operating lease liabilities | 628,861 | 636,417 |
Other long-term liabilities | 971,190 | 967,907 |
Total long-term liabilities | 12,105,130 | 11,921,426 |
Noncontrolling interest | 31,208 | 31,948 |
Shareholders’ equity | ||
Preferred stock, par value $1 per share Authorized 1,500,000 shares, issued none | 0 | 0 |
Common stock, par value $1 per share Authorized 2,000,000,000 shares, issued 765,174,900 shares | 765,175 | 765,175 |
Paid-in capital | 1,754,409 | 1,766,305 |
Retained earnings | 10,757,136 | 10,539,722 |
Accumulated other comprehensive loss | (1,711,325) | (1,482,054) |
Treasury stock at cost, 258,414,989 and 256,531,543 shares | (10,450,054) | (10,206,888) |
Total shareholders’ equity | 1,115,341 | 1,382,260 |
Total liabilities and shareholders’ equity | $ 22,210,943 | $ 22,085,688 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Oct. 01, 2022 | Jul. 02, 2022 |
Statement of Financial Position [Abstract] | ||
Allowance for accounts receivable | $ 74,002 | $ 70,790 |
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, authorized (in shares) | 1,500,000 | 1,500,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, authorized (in shares) | 2,000,000,000 | 2,000,000,000 |
Common stock, issued (in shares) | 765,174,900 | 765,174,900 |
Treasury stock (in shares) | 258,414,989 | 256,531,543 |
CONSOLIDATED RESULTS OF OPERATI
CONSOLIDATED RESULTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Income Statement [Abstract] | ||
Sales | $ 19,126,830 | $ 16,456,546 |
Cost of sales | 15,637,975 | 13,484,838 |
Gross profit | 3,488,855 | 2,971,708 |
Operating expenses | 2,754,522 | 2,340,026 |
Operating income | 734,333 | 631,682 |
Interest expense | 124,150 | 128,214 |
Other expense (income), net | 15,281 | (3,252) |
Earnings before income taxes | 594,902 | 506,720 |
Income taxes | 129,334 | 128,707 |
Net earnings | $ 465,568 | $ 378,013 |
Net earnings: | ||
Basic earnings per share (in dollars per share) | $ 0.92 | $ 0.74 |
Diluted earnings per share (in dollars per share) | $ 0.91 | $ 0.73 |
Average shares outstanding (in shares) | 507,578,576 | 512,516,067 |
Diluted shares outstanding (in shares) | 510,383,149 | 515,782,928 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net earnings | $ 465,568 | $ 378,013 |
Other comprehensive (loss) income: | ||
Foreign currency translation adjustment | (232,182) | (87,194) |
Items presented net of tax: | ||
Amortization of cash flow hedges | 2,155 | 2,155 |
Change in net investment hedges | 23,509 | 10,165 |
Change in cash flow hedges | (26,390) | (429) |
Amortization of prior service cost | 74 | 74 |
Amortization of actuarial loss | 6,891 | 6,367 |
Change in marketable securities | (3,328) | (311) |
Total other comprehensive loss | (229,271) | (69,173) |
Comprehensive income | $ 236,297 | $ 308,840 |
CHANGES IN CONSOLIDATED SHAREHO
CHANGES IN CONSOLIDATED SHAREHOLDERS’ EQUITY (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock |
Beginning balance (in shares) at Jul. 03, 2021 | 765,174,900 | |||||
Treasury stock, beginning balance (in shares) at Jul. 03, 2021 | 253,342,595 | |||||
Beginning balance at Jul. 03, 2021 | $ 1,552,896 | $ 765,175 | $ 1,619,995 | $ 10,151,706 | $ (1,148,764) | $ (9,835,216) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 378,013 | 378,013 | ||||
Foreign currency translation adjustment | (87,194) | (87,194) | ||||
Amortization of cash flow hedges, net of tax | 2,155 | 2,155 | ||||
Change in cash flow hedges, net of tax | (429) | (429) | ||||
Change in net investment hedges, net of tax | 10,165 | 10,165 | ||||
Reclassification of pension and other postretirement benefit plans amounts to net earnings, net of tax | 6,441 | 6,441 | ||||
Change in marketable securities, net of tax | (311) | (311) | ||||
Dividends declared | (241,428) | (241,428) | ||||
Share-based compensation awards | 52,984 | 35,115 | $ 17,869 | |||
Share-based compensation awards (in shares) | (517,515) | |||||
Ending balance (in shares) at Oct. 02, 2021 | 765,174,900 | |||||
Treasury stock, ending balance (in shares) at Oct. 02, 2021 | 252,825,080 | |||||
Ending balance at Oct. 02, 2021 | $ 1,673,292 | $ 765,175 | 1,655,110 | 10,288,291 | (1,217,937) | $ (9,817,347) |
Beginning balance (in shares) at Jul. 02, 2022 | 765,174,900 | |||||
Treasury stock, beginning balance (in shares) at Jul. 02, 2022 | 256,531,543 | 256,531,543 | ||||
Beginning balance at Jul. 02, 2022 | $ 1,382,260 | $ 765,175 | 1,766,305 | 10,539,722 | (1,482,054) | $ (10,206,888) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 465,568 | 465,568 | ||||
Foreign currency translation adjustment | (232,182) | (232,182) | ||||
Amortization of cash flow hedges, net of tax | 2,155 | 2,155 | ||||
Change in cash flow hedges, net of tax | (26,390) | (26,390) | ||||
Change in net investment hedges, net of tax | 23,509 | 23,509 | ||||
Reclassification of pension and other postretirement benefit plans amounts to net earnings, net of tax | 6,965 | 6,965 | ||||
Change in marketable securities, net of tax | (3,328) | (3,328) | ||||
Dividends declared | (248,154) | (248,154) | ||||
Treasury stock purchases (in shares) | 3,099,268 | |||||
Treasury stock purchases | (267,727) | $ (267,727) | ||||
Share-based compensation awards | $ 12,665 | (11,896) | $ 24,561 | |||
Share-based compensation awards (in shares) | (1,215,822) | |||||
Ending balance (in shares) at Oct. 01, 2022 | 765,174,900 | |||||
Treasury stock, ending balance (in shares) at Oct. 01, 2022 | 258,414,989 | 258,414,989 | ||||
Ending balance at Oct. 01, 2022 | $ 1,115,341 | $ 765,175 | $ 1,754,409 | $ 10,757,136 | $ (1,711,325) | $ (10,450,054) |
CHANGES IN CONSOLIDATED SHARE_2
CHANGES IN CONSOLIDATED SHAREHOLDERS’ EQUITY (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||
Dividends declared per common share (in dollars per share) | $ 0.49 | $ 0.47 |
CONSOLIDATED CASH FLOWS (Unaudi
CONSOLIDATED CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Cash flows from operating activities: | ||
Net earnings | $ 465,568 | $ 378,013 |
Adjustments to reconcile net earnings to cash provided by operating activities: | ||
Share-based compensation expense | 27,224 | 29,313 |
Depreciation and amortization | 188,924 | 186,466 |
Operating lease asset amortization | 27,542 | 28,221 |
Amortization of debt issuance and other debt-related costs | 5,435 | 5,577 |
Deferred income taxes | (31,226) | (30,452) |
Provision for losses on receivables | 3,865 | 2,097 |
Other non-cash items | 5,011 | (201) |
Additional changes in certain assets and liabilities, net of effect of businesses acquired: | ||
Increase in receivables | (576,585) | (478,671) |
Increase in inventories | (283,252) | (294,517) |
Increase in prepaid expenses and other current assets | (28,372) | (12,528) |
Increase in accounts payable | 288,517 | 329,523 |
Decrease in accrued expenses | (10,893) | (103,483) |
Decrease in operating lease liabilities | (33,319) | (34,146) |
Increase in accrued income taxes | 109,280 | 69,256 |
Decrease (increase) in other assets | 17,627 | (9,345) |
(Decrease) increase in other long-term liabilities | (16,740) | 45,689 |
Net cash provided by operating activities | 158,606 | 110,812 |
Cash flows from investing activities: | ||
Additions to plant and equipment | (167,260) | (85,019) |
Proceeds from sales of plant and equipment | 22,448 | 5,627 |
Acquisition of businesses, net of cash acquired | (32,651) | (714,010) |
Purchase of marketable securities | (3,296) | (9,925) |
Proceeds from sales of marketable securities | 2,650 | 8,700 |
Other investing activities | 3,274 | 6,022 |
Net cash used for investing activities | (174,835) | (788,605) |
Cash flows from financing activities: | ||
Bank and commercial paper borrowings, net | 97,000 | 0 |
Other debt borrowings including senior notes | 59,063 | 3 |
Other debt repayments including senior notes | (18,104) | (10,051) |
Proceeds from stock option exercises | 24,561 | 17,881 |
Stock repurchases | (267,727) | 0 |
Dividends paid | (249,294) | (240,561) |
Other financing activities | (45,851) | (5,003) |
Net cash used for financing activities | (400,352) | (237,731) |
Effect of exchange rates on cash, cash equivalents and restricted cash | (11,369) | (9,355) |
Net decrease in cash, cash equivalents and restricted cash | (427,950) | (924,879) |
Cash, cash equivalents and restricted cash at beginning of period | 931,376 | 3,037,100 |
Cash, cash equivalents and restricted cash at end of period | 503,426 | 2,112,221 |
Cash paid during the period for: | ||
Interest | 84,010 | 225,031 |
Income taxes, net of refunds | $ 47,985 | $ 76,712 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 3 Months Ended |
Oct. 01, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION The consolidated financial statements have been prepared by the company, without audit. The financial statements include consolidated balance sheets, consolidated results of operations, consolidated statements of comprehensive income (loss), changes in consolidated shareholders’ equity and consolidated cash flows. In the opinion of management, all adjustments, which consist of normal recurring adjustments, except as otherwise disclosed, necessary to present fairly the financial position, results of operations, comprehensive income (loss), cash flows and changes in shareholders’ equity for all periods presented have been made. These financial statements should be read in conjunction with the audited financial statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended July 2, 2022. Certain footnote disclosures included in annual financial statements prepared in accordance with generally accepted accounting principles (GAAP) have been condensed or omitted pursuant to applicable rules and regulations for interim financial statements. Supplemental Cash Flow Information The following table sets forth the company’s reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the amounts shown in the consolidated statement of cash flows: Oct. 1, 2022 Oct. 2, 2021 (In thousands) Cash and cash equivalents $ 437,670 $ 2,067,873 Restricted cash (1) 65,756 44,348 Total cash, cash equivalents and restricted cash shown in the consolidated statement of cash flows $ 503,426 $ 2,112,221 (1) Restricted cash primarily represents cash and cash equivalents of Sysco’s wholly owned captive insurance subsidiary, restricted for use to secure the insurer’s obligations for workers’ compensation, general liability and auto liability programs. Restricted cash is located within other assets in each consolidated balance sheet. |
NEW ACCOUNTING STANDARDS
NEW ACCOUNTING STANDARDS | 3 Months Ended |
Oct. 01, 2022 | |
Accounting Policies [Abstract] | |
New Accounting Standards | NEW ACCOUNTING STANDARDS Liabilities – Supplier Financing Programs In September 2022, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2022-04, Liabilities—Supplier Finance Programs, Subtopic 405-50, that requires entities to disclose in the annual financial statements the key terms of supplier finance programs they use in connection with the purchase of goods and services, along with information about their obligations under these programs, including a rollforward of those obligations. Additionally, the guidance requires disclosure of the outstanding amount of the obligations as of the end of each interim period. The guidance does not affect the recognition, measurement, or financial statement presentation of supplier finance program obligations. The guidance is effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2022, which is the first quarter of fiscal 2024 for Sysco, except for the rollforward requirement, which is effective annually for fiscal years beginning after December 15, 2023, which is fiscal year 2025 for Sysco. Early adoption is permitted. The guidance requires retrospective application to all periods in which a balance sheet is presented, except for the rollforward requirement, which will be applied prospectively. The company is currently reviewing the provisions of the new standard. |
REVENUE
REVENUE | 3 Months Ended |
Oct. 01, 2022 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE | REVENUE The company recognizes revenues when its performance obligations are satisfied in an amount that reflects the consideration Sysco expects to be entitled to receive in exchange for those goods and services. Customer receivables, which are included in accounts receivable, less allowances in the consolidated balance sheet, were $4.9 billion and $4.6 billion as of October 1, 2022 and July 2, 2022, respectively. Sysco has certain customer contracts in which upfront monies are paid to its customers. These payments have become industry practice and are not related to financing of the customer’s business. They are not associated with any distinct good or service to be received from the customer and, therefore, are treated as a reduction of transaction prices. All upfront payments are capitalized in other assets and amortized over the life of the contract or the expected life of the relationship with the customer. As of October 1, 2022, Sysco’s contract assets were not significant. Sysco has no significant commissions paid that are directly attributable to obtaining a particular contract. The following tables present our sales disaggregated by reportable segment and sales mix for the company’s principal product categories for the periods presented: 13-Week Period Ended Oct. 1, 2022 US Foodservice Operations International Foodservice Operations SYGMA Other Total (In thousands) Principal Product Categories Canned and dry products $ 2,577,255 $ 691,374 $ 236,168 $ 2,068 $ 3,506,865 Fresh and frozen meats 2,465,450 453,364 463,440 — 3,382,254 Frozen fruits, vegetables, bakery and other 1,843,464 580,032 309,197 149 2,732,842 Poultry 1,574,251 292,849 277,464 — 2,144,564 Dairy products 1,525,483 366,847 164,648 — 2,056,978 Fresh produce 1,337,919 254,737 65,244 — 1,657,900 Paper and disposables 1,022,904 144,068 209,358 15,056 1,391,386 Seafood 638,405 121,201 40,124 — 799,730 Beverage products 315,619 136,475 138,169 24,657 614,920 Other (1) 301,732 242,788 29,645 265,226 839,391 Total Sales $ 13,602,482 $ 3,283,735 $ 1,933,457 $ 307,156 $ 19,126,830 (1) Other sales relate to non-food products, including textiles and amenities for our hotel supply business, equipment, and other janitorial products, medical supplies and smallwares. 13-Week Period Ended Oct. 2, 2021 US Foodservice Operations International Foodservice Operations SYGMA Other Total (In thousands) Principal Product Categories Fresh and frozen meats $ 2,444,461 $ 417,171 $ 474,656 $ — $ 3,336,288 Canned and dry products 2,076,779 581,895 137,597 — 2,796,271 Frozen fruits, vegetables, bakery and other 1,501,293 518,255 273,148 — 2,292,696 Poultry 1,351,200 241,202 229,357 — 1,821,759 Dairy products 1,101,423 305,112 140,224 — 1,546,759 Fresh produce 986,998 218,963 66,563 — 1,272,524 Paper and disposables 911,350 119,740 188,243 15,499 1,234,832 Seafood 693,013 121,465 33,224 — 847,702 Beverage products 256,385 117,220 137,515 22,089 533,209 Other (1) 280,061 254,224 23,506 216,715 774,506 Total Sales $ 11,602,963 $ 2,895,247 $ 1,704,033 $ 254,303 $ 16,456,546 (1) Other sales relate to non-food products, including textiles and amenities for our hotel supply business, equipment, and other janitorial products, medical supplies and smallwares. |
ACQUISITIONS
ACQUISITIONS | 3 Months Ended |
Oct. 01, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
ACQUISITIONS | ACQUISITIONS During the first 13 weeks of fiscal 2023, the company paid cash of $32.7 million for acquisitions. These acquisitions did not have a material effect on the company’s operating results, cash flows or financial position. Certain acquisitions involve contingent consideration that may include earnout agreements that are typically payable over periods of up to three years in the event that certain operating results are achieved. As of October 1, 2022, aggregate contingent consideration outstanding was $93.0 million, of which $89.0 million was recorded as earnout liabilities. Earnout liabilities are all measured using unobservable inputs that are considered a Level 3 fair value measurement. Greco and Sons On August 12, 2021, Sysco consummated its acquisition of Greco and Sons (Greco), a leading independent Italian specialty distributor in the United States, operating out of 10 distribution centers and servicing 22 geographies nationwide. Greco imports and distributes a full line of food and non-food products and manufactures specialty meat products. The acquisition also includes Bellissimo Foods Company, which distributes a broad selection of Italian and Mediterranean ingredients, including a proprietary branded line of products that are sold exclusively through the Bellissimo Foods Company distribution network, serving independent pizza and Italian restaurants. The purpose of the acquisition was to strengthen Sysco’s business within the Italian foodservice sector. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended |
Oct. 01, 2022 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS Sysco’s policy is to invest in only high-quality investments. The fair value of the company’s cash deposits and money market funds included in cash equivalents are valued using inputs that are considered a Level 1 measurement. Other cash equivalents, such as time deposits and highly liquid instruments with original maturities of three months or less, are valued using inputs that are considered a Level 2 measurement. The fair value of the company’s marketable securities are all measured using inputs that are considered a Level 2 measurement, as they rely on quoted prices in markets that are not actively traded or observable inputs over the full term of the asset. The location and the fair value of the company’s marketable securities in the consolidated balance sheet are disclosed in Note 6, “Marketable Securities.” The fair value of the company’s derivative instruments are all measured using inputs that are considered a Level 2 measurement, as they are not actively traded and are valued using pricing models that use observable market quotations. The location and the fair value of derivative assets and liabilities designated as hedges in the consolidated balance sheet are disclosed in Note 7, “Derivative Financial Instruments.” The following tables present the company’s assets measured at fair value on a recurring basis as of October 1, 2022 and July 2, 2022: Assets Measured at Fair Value as of Oct. 1, 2022 Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash equivalents Cash and cash equivalents $ 183,816 $ 5,008 $ — $ 188,824 Other assets (1) 65,756 — — 65,756 Total assets at fair value $ 249,572 $ 5,008 $ — $ 254,580 (1) Represents restricted cash balance recorded within other assets in the consolidated balance sheet. Assets Measured at Fair Value as of Jul. 2, 2022 Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash equivalents Cash and cash equivalents $ 625,281 $ 10,007 $ — $ 635,288 Other assets (1) 64,290 — — 64,290 Total assets at fair value $ 689,571 $ 10,007 $ — $ 699,578 (1) Represents restricted cash balance recorded within other assets in the consolidated balance sheet. |
MARKETABLE SECURITIES
MARKETABLE SECURITIES | 3 Months Ended |
Oct. 01, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
MARKETABLE SECURITIES | MARKETABLE SECURITIES Sysco invests a portion of the assets held by its wholly owned captive insurance subsidiary in a restricted investment portfolio of marketable fixed income securities, which have been classified and accounted for as available-for-sale. The company includes fixed income securities maturing in less than twelve months within prepaid expenses and other current assets and includes fixed income securities maturing in more than twelve months within other assets in the accompanying consolidated balance sheets. The company records the amounts at fair market value, which is determined using quoted market prices at the end of the reporting period. Unrealized gains and any portion of a security’s unrealized loss attributable to non-credit losses are recorded in accumulated other comprehensive loss. There were no significant credit losses recognized in the first 13 weeks of fiscal 2023. The following table presents the company’s available-for-sale marketable securities as of October 1, 2022 and July 2, 2022: Oct. 1, 2022 Amortized Cost Basis Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-Term Marketable Securities Long-Term Marketable Securities (In thousands) Fixed income securities: Corporate bonds $ 96,457 $ — $ (8,615) $ 87,842 $ 5,955 $ 81,887 Government bonds 29,997 — (1,885) 28,112 — 28,112 Total marketable securities $ 126,454 $ — $ (10,500) $ 115,954 $ 5,955 $ 109,999 Jul. 2, 2022 Amortized Cost Basis Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-Term Marketable Securities Long-Term Marketable Securities (In thousands) Fixed income securities: Corporate bonds $ 96,167 $ 8 $ (5,995) $ 90,180 $ 5,983 $ 84,197 Government bonds 30,070 — (302) 29,768 — 29,768 Total marketable securities $ 126,237 $ 8 $ (6,297) $ 119,948 $ 5,983 $ 113,965 As of October 1, 2022, the balance of available-for-sale securities by contractual maturity is shown in the following table. Within the table, maturities of fixed income securities have been allocated based upon timing of estimated cash flows. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. Oct. 1, 2022 (In thousands) Due in one year or less $ 5,955 Due after one year through five years 71,062 Due after five years through ten years 38,937 Total $ 115,954 There were no significant realized gains or losses in marketable securities in the first 13 weeks of fiscal 2023. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 3 Months Ended |
Oct. 01, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | DERIVATIVE FINANCIAL INSTRUMENTSSysco uses derivative financial instruments to enact hedging strategies for risk mitigation purposes; however, the company does not use derivative financial instruments for trading or speculative purposes. Hedging strategies are used to manage interest rate risk, foreign currency risk and fuel price risk. Hedging of interest rate risk Sysco manages its debt portfolio with interest rate swaps from time to time to achieve an overall desired position of fixed and floating rates. Hedging of foreign currency risk The company uses euro-bond denominated debt to hedge the foreign currency exposure of our net investment in certain foreign operations. Additionally, Sysco’s operations in Europe have inventory purchases denominated in currencies other than their functional currency, such as the euro, U.S. dollar, British pound sterling, Polish zloty and Danish krone. These inventory purchases give rise to foreign currency exposure between the functional currency of each entity and these currencies. The company enters into foreign currency forward swap contracts to sell the applicable entity’s functional currency and buy currencies matching the inventory purchase, which operate as cash flow hedges of the company’s foreign currency-denominated inventory purchases. Hedging of fuel price risk Sysco uses fuel commodity swap contracts to hedge against the risk of the change in the price of diesel on anticipated future purchases. These swaps have been designated as cash flow hedges. None of the company’s hedging instruments contain credit-risk-related contingent features. Details of outstanding hedging instruments as of October 1, 2022 are presented below: Maturity Date of the Hedging Instrument Currency / Unit of Measure Notional Value (In millions) Hedging of interest rate risk June 2023 Euro 500 Hedging of foreign currency risk Various (October 2022 to January 2023) Swedish Krona 131 Various (October 2022 to December 2022) British Pound Sterling 10 June 2023 Euro 500 Hedging of fuel risk Various October 2022 to December 2024) Gallons 59 The location and the fair value of derivative instruments designated as hedges in the consolidated balance sheet as of October 1, 2022 and July 2, 2022 are as follows: Derivative Fair Value Balance Sheet location Oct. 1, 2022 Jul. 2, 2022 (In thousands) Fair Value Hedges: Interest rate swaps Other current liabilities $ 7,136 $ 2,820 Cash Flow Hedges: Fuel swaps Other current assets $ 16,188 $ 47,170 Foreign currency forwards Other current assets 945 633 Fuel swaps Other assets 3 — Fuel swaps Other current liabilities 1,647 — Fuel swaps Other long-term liabilities 3,844 209 Gains or losses recognized in the consolidated results of operations for cash flow hedging relationships are not significant for each of the periods presented. The location and amount of gains or losses recognized in the consolidated results of operations for fair value hedging relationships for each of the periods, presented on a pretax basis, are as follows: 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 (In thousands) Total amounts of income and expense line items presented in the consolidated results of operations in which the effects of fair value hedges are recorded $ 124,150 $ 128,214 Gain or (loss) on fair value hedging relationships: Interest rate swaps: Hedged items $ 2,376 $ (2,433) Derivatives designated as hedging instruments (4,759) (8,390) The gains and losses on the fair value hedging relationships associated with the hedged items as disclosed in the table above consist of the following components for each of the periods presented: 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 (In thousands) Interest expense $ (1,939) $ (6,526) Decrease in fair value of debt (4,315) (4,093) Hedged items $ 2,376 $ (2,433) The location and effect of cash flow and net investment hedge accounting on the consolidated statements of comprehensive income for the 13-week periods ended October 1, 2022 and October 2, 2021, presented on a pretax basis, are as follows: 13-Week Period Ended Oct. 1, 2022 Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income Amount of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income (In thousands) (In thousands) Derivatives in cash flow hedging relationships: Fuel swaps $ (36,295) Operating expense $ 12,985 Foreign currency contracts 286 Cost of sales / Other income — Total $ (36,009) $ 12,985 Derivatives in net investment hedging relationships: Foreign denominated debt $ 31,346 N/A $ — Total $ 31,346 $ — 13-Week Period Ended Oct. 2, 2021 Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income Amount of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income (In thousands) (In thousands) Derivatives in cash flow hedging relationships: Fuel swaps $ (485) Operating expense $ 7,972 Foreign currency contracts (78) Cost of sales / Other income — Total $ (563) $ 7,972 Derivatives in net investment hedging relationships: Foreign denominated debt $ 13,553 N/A $ — Total $ 13,553 $ — The location and carrying amount of hedged liabilities in the consolidated balance sheet as of October 1, 2022 are as follows: Oct. 1, 2022 Carrying Amount of Hedged Assets (Liabilities) Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets (Liabilities) (In thousands) Balance sheet location: Current maturities of long-term debt $ (568,766) $ 7,136 The location and carrying amount of hedged liabilities in the consolidated balance sheet as of July 2, 2022 are as follows: Jul. 2, 2022 Carrying Amount of Hedged Assets (Liabilities) Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets (Liabilities) (In thousands) Balance sheet location: Current maturities of long-term debt $ (568,601) $ 2,820 |
DEBT
DEBT | 3 Months Ended |
Oct. 01, 2022 | |
Debt Disclosure [Abstract] | |
DEBT | DEBTSysco has a long-term revolving credit facility that includes aggregate commitments of the lenders thereunder of $3.0 billion, with an option to increase such commitments to $4.0 billion. As of October 1, 2022, there were no borrowings outstanding under this facility.Sysco has a U.S commercial paper program allowing the company to issue short-term unsecured notes. On September 2, 2022, Sysco entered into an amended and restated commercial paper dealer agreement increasing the issuance allowance from an aggregate amount not to exceed $2.0 billion to an aggregate amount not to exceed $3.0 billion. Any outstanding amounts are classified within long-term debt, as the program is supported by the long-term revolving credit facility. As of October 1, 2022, there were $97.0 million in commercial paper issuances outstanding under this program. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 3 Months Ended |
Oct. 01, 2022 | |
Earnings Per Share, Basic [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per share: 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 (In thousands, except for share Numerator: Net earnings $ 465,568 $ 378,013 Denominator: Weighted-average basic shares outstanding 507,578,576 512,516,067 Dilutive effect of share-based awards 2,804,573 3,266,861 Weighted-average diluted shares outstanding 510,383,149 515,782,928 Basic earnings per share $ 0.92 $ 0.74 Diluted earnings per share $ 0.91 $ 0.73 The number of securities that were not included in the diluted earnings per share calculation because the effect would have been anti-dilutive was approximatel y 1,393,000 |
OTHER COMPREHENSIVE INCOME
OTHER COMPREHENSIVE INCOME | 3 Months Ended |
Oct. 01, 2022 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
OTHER COMPREHENSIVE INCOME | OTHER COMPREHENSIVE INCOME Comprehensive income is net earnings plus certain other items that are recorded directly to shareholders’ equity, such as foreign currency translation adjustment, changes in marketable securities, amounts related to certain hedging arrangements and amounts related to pension and other postretirement plans. Comprehensive income was $236.3 million and $308.8 million for the first quarter of fiscal 2023 and fiscal 2022, respectively. A summary of the components of other comprehensive income (loss) and the related tax effects for each of the periods presented is as follows: 13-Week Period Ended Oct. 1, 2022 Location of Before Tax Tax Net of Tax (In thousands) Pension and other postretirement benefit plans: Reclassification adjustments: Amortization of prior service cost Other expense, net $ 99 $ 25 $ 74 Amortization of actuarial loss, net Other expense, net 9,186 2,295 6,891 Total reclassification adjustments 9,285 2,320 6,965 Foreign currency translation: Foreign currency translation adjustment N/A (232,182) — (232,182) Marketable securities: Change in marketable securities (1) N/A (4,212) (884) (3,328) Hedging instruments: Other comprehensive income (loss) before reclassification adjustments: Change in cash flow hedge Operating expenses (2) (36,009) (9,619) (26,390) Change in net investment hedge N/A 31,346 7,837 23,509 Total other comprehensive income before reclassification adjustments (4,663) (1,782) (2,881) Reclassification adjustments: Amortization of cash flow hedges Interest expense 2,874 719 2,155 Total other comprehensive income (loss) $ (228,898) $ 373 $ (229,271) (1) Realized gains or losses on marketa ble securities are presented within other (income) expense, net in the consolidated results of operations; however, there were no significant gains or losses realized in the first quarter of fiscal 2023. (2) Amount partially impacts operating expense for fuel swaps accounted for as cash flow hedges. 13-Week Period Ended Oct. 2, 2021 Location of Before Tax Tax Net of Tax (In thousands) Pension and other postretirement benefit plans: Reclassification adjustments: Amortization of prior service cost Other expense, net $ 99 $ 25 $ 74 Amortization of actuarial loss, net Other expense, net 8,486 2,119 6,367 Total reclassification adjustments 8,585 2,144 6,441 Foreign currency translation: Foreign currency translation adjustment N/A (87,194) — (87,194) Marketable securities: Change in marketable securities (1) N/A (393) (82) (311) Hedging instruments: Other comprehensive income (loss) before reclassification adjustments: Change in cash flow hedges Operating expenses (2) (563) (134) (429) Change in net investment hedges N/A 13,553 3,388 10,165 Total other comprehensive income before reclassification adjustments 12,990 3,254 9,736 Reclassification adjustments: Amortization of cash flow hedges Interest expense 2,874 719 2,155 Total other comprehensive income $ (63,138) $ 6,035 $ (69,173) (1) Realized gains or losses on marketable securities are presented within other (income) expense, net in the consolidated results of operations; however, there were no significant gains or losses realized in the first quarter of fiscal 2022 . (2) Amount partially impacts operating expense for fuel swaps accounted for as cash flow hedges. The following tables provide a summary of the changes in accumulated other comprehensive (loss) income f or the periods presented: 13-Week Period Ended Oct. 1, 2022 Pension and Other Postretirement Benefit Plans, Foreign Currency Translation Hedging, Marketable Securities, Total (In thousands) Balance as of Jul. 2, 2022 $ (1,011,335) $ (501,517) $ 35,770 $ (4,972) $ (1,482,054) Equity adjustment from foreign currency translation — (232,182) — — (232,182) Amortization of cash flow hedges — — 2,155 — 2,155 Change in net investment hedges — — 23,509 — 23,509 Change in cash flow hedge — — (26,390) — (26,390) Amortization of unrecognized prior service cost 74 — — — 74 Amortization of unrecognized net actuarial losses 6,891 — — — 6,891 Change in marketable securities — — — (3,328) (3,328) Balance as of Oct. 1, 2022 $ (1,004,370) $ (733,699) $ 35,044 $ (8,300) $ (1,711,325) 13-Week Period Ended Oct. 2, 2021 Pension and Other Postretirement Benefit Plans, Foreign Currency Translation Hedging, Marketable Securities Total (In thousands) Balance as of Jul. 3, 2021 $ (1,061,991) $ (40,092) $ (51,096) $ 4,415 $ (1,148,764) Equity adjustment from foreign currency translation — (87,194) — — (87,194) Amortization of cash flow hedges — — 2,155 — 2,155 Change in net investment hedges — — 10,165 — 10,165 Change in cash flow hedge — — (429) — (429) Amortization of unrecognized prior service cost 74 — — — 74 Amortization of unrecognized net actuarial losses 6,367 — — — 6,367 Change in marketable securities — — — (311) (311) Balance as of Oct. 2, 2021 $ (1,055,550) $ (127,286) $ (39,205) $ 4,104 $ (1,217,937) |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 3 Months Ended |
Oct. 01, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
SHARE-BASED COMPENSATION | SHARE-BASED COMPENSATION Sysco provides compensation benefits to employees under several share-based payment arrangements, including various long-term employee stock incentive plans and the 2015 Employee Stock Purchase Plan (ESPP). Stock Incentive Plans In the first 13 weeks of fiscal 2023, options to purchase 882,359 shares were granted to employees. The fair value of each option award is estimated as of the date of grant using a Black-Scholes option pricing model. The weighted average grant-date fair value per option granted during the first 13 weeks of fiscal 2023 was $24.58. In the first 13 weeks of fiscal 2023, employees were granted 420,627 performance share units (PSUs). Based on the jurisdiction in which the employee resides, some of these PSUs were granted with forfeitable dividend equivalents. The fair value of each PSU award granted with a dividend equivalent is based on the company’s stock price as of the date of grant. For PSUs granted without dividend equivalents, the fair value was reduced by the present value of expected dividends during the vesting period. The weighted average grant-date fair value per PSU granted during the first 13 weeks of fiscal 2023 was $85.43. The PSUs will convert into shares of Sysco common stock at the end of the three-year performance period based on actual performance targets achieved, as well as the market-based return of Sysco’s common stock relative to that of each company within the S&P 500 index. In the first 13 weeks of fiscal 2023, employees were granted 172,987 restricted stock units. The weighted average grant-date fair value per restricted stock unit granted during the first 13 weeks of fiscal 2023 was $85.38. Employee Stock Purchase Plan Plan participants purchased 326,226 shares of common stock under the ESPP during the first 13 weeks of fiscal 2023. The weighted average fair value per employee stock purchase right issued pursuant to the ESPP was $10.61 during the first 13 weeks of fiscal 2023. The fair value of each stock purchase right is estimated as the difference between the stock price at the date of issuance and the employee purchase price. All Share-Based Payment Arrangements The total share-based compensation cost that has been recognized in results of operations was $27.2 million and $29.3 million for the first 13 weeks of fiscal 2023 and fiscal 2022, respectively. As of October 1, 2022, there was $152.0 million of total unrecognized compensation cost related to share-based compensation arrangements. This cost is expected to be recognized over a weighted-average period of 2.16 years. |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Oct. 01, 2022 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Effective Tax Rate The effective tax rate for the first quarter of fiscal 2023 was 21.74% and was favorably impacted by the excess tax benefits of equity-based compensation, which totaled $8.9 million. The effective tax rate for the first quarter of fiscal 2022 was 25.40%. As compared to the company’s statutory tax rate, the higher effective tax rate for the first quarter of fiscal 2022 was impacted by the increase in our reserve for uncertain tax positions of $12.0 million, partially offset by (1) the favorable impact of corporate owned life insurance policies that total $1.9 million, and (2) the favorable impact of excess tax benefits of equity-based compensation that totaled $1.4 million. Uncertain Tax Positions As of October 1, 2022, the gross amount of unrecognized tax benefit and related accrued interest was $32.4 million and $6.6 million, respectively. It is reasonably possible that the amount of the unrecognized tax benefit with respect to certain of the company’s unrecognized tax positions will increase or decrease in the next twelve months. At this time, an estimate of the range of the reasonably possible change cannot be made. Other The determination of the company’s provision for income taxes requires judgment, the use of estimates and the interpretation and application of complex tax laws. The company’s provision for income taxes reflects income earned and taxed in the various U.S. federal and state, as well as foreign jurisdictions. Tax law changes, increases or decreases in permanent book versus tax basis differences, accruals or adjustments of accruals for unrecognized tax benefits or valuation allowances, and the company’s change in the mix of earnings from these taxing jurisdictions all affect the overall effective tax rate. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Oct. 01, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Legal Proceedings Sysco is engaged in various legal proceedings that have arisen but have not been fully adjudicated. The likelihood of loss for these legal proceedings, based on definitions within contingency accounting literature, ranges from remote to reasonably possible to probable. When probable and reasonably estimable, the losses have been accrued. Although the final results of legal proceedings cannot be predicted with certainty, based on estimates of the range of potential losses associated with these matters, management does not believe the ultimate resolution of these proceedings, either individually or in the aggregate, will have a material adverse effect upon the consolidated financial position or results of operations of the company. |
BUSINESS SEGMENT INFORMATION
BUSINESS SEGMENT INFORMATION | 3 Months Ended |
Oct. 01, 2022 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENT INFORMATION | BUSINESS SEGMENT INFORMATION Sysco distributes food and related products to restaurants, healthcare and educational facilities, lodging establishments and other foodservice customers. Our primary operations are located in North America and Europe. Under the accounting provisions related to disclosures about segments of an enterprise, we have aggregated certain operating segments into three reportable segments. “Other” financial information is attributable to our other operating segments that do not meet the quantitative disclosure thresholds. • U.S. Foodservice Operations – primarily includes (a) our U.S. Broadline operations, which distribute a full line of food products, including custom-cut meat, seafood, produce, specialty Italian, specialty imports and a wide variety of non-food products and (b) our U.S. Specialty operations, which include our FreshPoint fresh produce distribution business, our Specialty Meats and Seafood Group specialty protein operations, our growing Italian Specialty platform anchored by Greco & Sons, our Asian specialty distribution company and a number of other small specialty businesses that are not material to our operations; • International Foodservice Operations – includes operations outside of the United States (U.S.), which distribute a full line of food products and a wide variety of non-food products. The Americas primarily consists of operations in Canada, Bahamas, Mexico, Costa Rica and Panama, as well as our export operations that distribute to international customers. Our European operations primarily consist of operations in the United Kingdom (U.K.), France, Ireland and Sweden; • SYGMA – our U.S. customized distribution operations serving quick-service chain restaurant customer locations; and • Other – primarily our hotel supply operations, Guest Worldwide. The accounting policies for the segments are the same as those disclosed by Sysco for its consolidated financial statements. Our Global Support Center generally includes all expenses of the corporate office and Sysco’s shared service operations. These also include all U.S. share-based compensation costs. The following tables set forth certain financial information for Sysco’s reportable business segments: 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 Sales: (In thousands) U.S. Foodservice Operations $ 13,602,482 $ 11,602,963 International Foodservice Operations 3,283,735 2,895,247 SYGMA 1,933,457 1,704,033 Other 307,156 254,303 Total $ 19,126,830 $ 16,456,546 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 Operating income (loss): (In thousands) U.S. Foodservice Operations $ 903,828 $ 797,523 International Foodservice Operations 87,208 36,676 SYGMA 5,471 (2,447) Other 11,538 6,456 Total segments 1,008,045 838,208 Global Support Center (273,712) (206,526) Total operating income 734,333 631,682 Interest expense 124,150 128,214 Other expense (income), net 15,281 (3,252) Earnings before income taxes $ 594,902 $ 506,720 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Oct. 01, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS In October 2022, Sysco and an independent fiduciary of the Sysco Corporation Retirement Plan (the Plan), entered into a commitment agreement with Massachusetts Mutual Life Insurance Company (the Insurer), which has AA+, Aa3, and A++ credit ratings from S&P Global, Moody’s, and AM Best, respectively, under which the Plan agreed to purchase a nonparticipating single premium group annuity contract that will transfer to the Insurer approximately $700 million of the Plan’s defined benefit pension obligations related to certain pension benefits. The purchase of the group annuity contract by the Plan closed on October 25, 2022. The contract covers approximately 10,000 Sysco participants and beneficiaries (the Transferred Participants). Under the group annuity contract, the Insurer will make an unconditional and irrevocable commitment to pay the pension benefits of each Transferred Participant that are due on or after January 1, 2023. The transaction will result in no changes to the amount of benefits payable to the Transferred Participants. As a result of the transaction, the company expects to recognize a one-time, non-cash pre-tax pension settlement charge of approximately $250 to $300 million in the second quarter of fiscal 2023. |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 3 Months Ended |
Oct. 01, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Fair Value Measurements | The fair value of the company’s marketable securities are all measured using inputs that are considered a Level 2 measurement, as they rely on quoted prices in markets that are not actively traded or observable inputs over the full term of the asset. The location and the fair value of the company’s marketable securities in the consolidated balance sheet are disclosed in Note 6, “Marketable Securities.” The fair value of the company’s derivative instruments are all measured using inputs that are considered a Level 2 measurement, as they are not actively traded and are valued using pricing models that use observable market quotations. The location and the fair value of derivative assets and liabilities designated as hedges in the consolidated balance sheet are disclosed in Note 7, “Derivative Financial Instruments.” |
Liabilities – Supplier Financing Programs | Liabilities – Supplier Financing Programs In September 2022, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2022-04, Liabilities—Supplier Finance Programs, Subtopic 405-50, that requires entities to disclose in the annual financial statements the key terms of supplier finance programs they use in connection with the purchase of goods and services, along with information about their obligations under these programs, including a rollforward of those obligations. Additionally, the guidance requires disclosure of the outstanding amount of the obligations as of the end of each interim period. The guidance does not affect the recognition, measurement, or financial statement presentation of supplier finance program obligations. The guidance is effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2022, which is the first quarter of fiscal 2024 for Sysco, except for the rollforward requirement, which is effective annually for fiscal years beginning after December 15, 2023, which is fiscal year 2025 for Sysco. Early adoption is permitted. The guidance requires retrospective application to all periods in which a balance sheet is presented, except for the rollforward requirement, which will be applied prospectively. The company is currently reviewing the provisions of the new standard. |
BASIS OF PRESENTATION (Tables)
BASIS OF PRESENTATION (Tables) | 3 Months Ended |
Oct. 01, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash | The following table sets forth the company’s reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the amounts shown in the consolidated statement of cash flows: Oct. 1, 2022 Oct. 2, 2021 (In thousands) Cash and cash equivalents $ 437,670 $ 2,067,873 Restricted cash (1) 65,756 44,348 Total cash, cash equivalents and restricted cash shown in the consolidated statement of cash flows $ 503,426 $ 2,112,221 (1) Restricted cash primarily represents cash and cash equivalents of Sysco’s wholly owned captive insurance subsidiary, restricted for use to secure the insurer’s obligations for workers’ compensation, general liability and auto liability programs. Restricted cash is located within other assets in each consolidated balance sheet. |
Schedule of Restrictions on Cash and Cash Equivalents | The following table sets forth the company’s reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the amounts shown in the consolidated statement of cash flows: Oct. 1, 2022 Oct. 2, 2021 (In thousands) Cash and cash equivalents $ 437,670 $ 2,067,873 Restricted cash (1) 65,756 44,348 Total cash, cash equivalents and restricted cash shown in the consolidated statement of cash flows $ 503,426 $ 2,112,221 (1) Restricted cash primarily represents cash and cash equivalents of Sysco’s wholly owned captive insurance subsidiary, restricted for use to secure the insurer’s obligations for workers’ compensation, general liability and auto liability programs. Restricted cash is located within other assets in each consolidated balance sheet. |
REVENUE (Tables)
REVENUE (Tables) | 3 Months Ended |
Oct. 01, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following tables present our sales disaggregated by reportable segment and sales mix for the company’s principal product categories for the periods presented: 13-Week Period Ended Oct. 1, 2022 US Foodservice Operations International Foodservice Operations SYGMA Other Total (In thousands) Principal Product Categories Canned and dry products $ 2,577,255 $ 691,374 $ 236,168 $ 2,068 $ 3,506,865 Fresh and frozen meats 2,465,450 453,364 463,440 — 3,382,254 Frozen fruits, vegetables, bakery and other 1,843,464 580,032 309,197 149 2,732,842 Poultry 1,574,251 292,849 277,464 — 2,144,564 Dairy products 1,525,483 366,847 164,648 — 2,056,978 Fresh produce 1,337,919 254,737 65,244 — 1,657,900 Paper and disposables 1,022,904 144,068 209,358 15,056 1,391,386 Seafood 638,405 121,201 40,124 — 799,730 Beverage products 315,619 136,475 138,169 24,657 614,920 Other (1) 301,732 242,788 29,645 265,226 839,391 Total Sales $ 13,602,482 $ 3,283,735 $ 1,933,457 $ 307,156 $ 19,126,830 (1) Other sales relate to non-food products, including textiles and amenities for our hotel supply business, equipment, and other janitorial products, medical supplies and smallwares. 13-Week Period Ended Oct. 2, 2021 US Foodservice Operations International Foodservice Operations SYGMA Other Total (In thousands) Principal Product Categories Fresh and frozen meats $ 2,444,461 $ 417,171 $ 474,656 $ — $ 3,336,288 Canned and dry products 2,076,779 581,895 137,597 — 2,796,271 Frozen fruits, vegetables, bakery and other 1,501,293 518,255 273,148 — 2,292,696 Poultry 1,351,200 241,202 229,357 — 1,821,759 Dairy products 1,101,423 305,112 140,224 — 1,546,759 Fresh produce 986,998 218,963 66,563 — 1,272,524 Paper and disposables 911,350 119,740 188,243 15,499 1,234,832 Seafood 693,013 121,465 33,224 — 847,702 Beverage products 256,385 117,220 137,515 22,089 533,209 Other (1) 280,061 254,224 23,506 216,715 774,506 Total Sales $ 11,602,963 $ 2,895,247 $ 1,704,033 $ 254,303 $ 16,456,546 (1) Other sales relate to non-food products, including textiles and amenities for our hotel supply business, equipment, and other janitorial products, medical supplies and smallwares. |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended |
Oct. 01, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value Table | The following tables present the company’s assets measured at fair value on a recurring basis as of October 1, 2022 and July 2, 2022: Assets Measured at Fair Value as of Oct. 1, 2022 Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash equivalents Cash and cash equivalents $ 183,816 $ 5,008 $ — $ 188,824 Other assets (1) 65,756 — — 65,756 Total assets at fair value $ 249,572 $ 5,008 $ — $ 254,580 (1) Represents restricted cash balance recorded within other assets in the consolidated balance sheet. Assets Measured at Fair Value as of Jul. 2, 2022 Level 1 Level 2 Level 3 Total (In thousands) Assets: Cash equivalents Cash and cash equivalents $ 625,281 $ 10,007 $ — $ 635,288 Other assets (1) 64,290 — — 64,290 Total assets at fair value $ 689,571 $ 10,007 $ — $ 699,578 (1) Represents restricted cash balance recorded within other assets in the consolidated balance sheet. |
MARKETABLE SECURITIES (Tables)
MARKETABLE SECURITIES (Tables) | 3 Months Ended |
Oct. 01, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-For-Sale Marketable Securities | The following table presents the company’s available-for-sale marketable securities as of October 1, 2022 and July 2, 2022: Oct. 1, 2022 Amortized Cost Basis Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-Term Marketable Securities Long-Term Marketable Securities (In thousands) Fixed income securities: Corporate bonds $ 96,457 $ — $ (8,615) $ 87,842 $ 5,955 $ 81,887 Government bonds 29,997 — (1,885) 28,112 — 28,112 Total marketable securities $ 126,454 $ — $ (10,500) $ 115,954 $ 5,955 $ 109,999 Jul. 2, 2022 Amortized Cost Basis Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-Term Marketable Securities Long-Term Marketable Securities (In thousands) Fixed income securities: Corporate bonds $ 96,167 $ 8 $ (5,995) $ 90,180 $ 5,983 $ 84,197 Government bonds 30,070 — (302) 29,768 — 29,768 Total marketable securities $ 126,237 $ 8 $ (6,297) $ 119,948 $ 5,983 $ 113,965 |
Schedule of Available-For-Sale Debt Securities Held To Actual Maturity | As of October 1, 2022, the balance of available-for-sale securities by contractual maturity is shown in the following table. Within the table, maturities of fixed income securities have been allocated based upon timing of estimated cash flows. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. Oct. 1, 2022 (In thousands) Due in one year or less $ 5,955 Due after one year through five years 71,062 Due after five years through ten years 38,937 Total $ 115,954 |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 3 Months Ended |
Oct. 01, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Outstanding Swap Agreements | Details of outstanding hedging instruments as of October 1, 2022 are presented below: Maturity Date of the Hedging Instrument Currency / Unit of Measure Notional Value (In millions) Hedging of interest rate risk June 2023 Euro 500 Hedging of foreign currency risk Various (October 2022 to January 2023) Swedish Krona 131 Various (October 2022 to December 2022) British Pound Sterling 10 June 2023 Euro 500 Hedging of fuel risk Various October 2022 to December 2024) Gallons 59 |
Schedule of Derivatives Balance Sheet Location Table | The location and the fair value of derivative instruments designated as hedges in the consolidated balance sheet as of October 1, 2022 and July 2, 2022 are as follows: Derivative Fair Value Balance Sheet location Oct. 1, 2022 Jul. 2, 2022 (In thousands) Fair Value Hedges: Interest rate swaps Other current liabilities $ 7,136 $ 2,820 Cash Flow Hedges: Fuel swaps Other current assets $ 16,188 $ 47,170 Foreign currency forwards Other current assets 945 633 Fuel swaps Other assets 3 — Fuel swaps Other current liabilities 1,647 — Fuel swaps Other long-term liabilities 3,844 209 The location and carrying amount of hedged liabilities in the consolidated balance sheet as of October 1, 2022 are as follows: Oct. 1, 2022 Carrying Amount of Hedged Assets (Liabilities) Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets (Liabilities) (In thousands) Balance sheet location: Current maturities of long-term debt $ (568,766) $ 7,136 The location and carrying amount of hedged liabilities in the consolidated balance sheet as of July 2, 2022 are as follows: Jul. 2, 2022 Carrying Amount of Hedged Assets (Liabilities) Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets (Liabilities) (In thousands) Balance sheet location: Current maturities of long-term debt $ (568,601) $ 2,820 |
Schedule of Location and Effect of Derivative Instruments and Related Hedged Items | The location and amount of gains or losses recognized in the consolidated results of operations for fair value hedging relationships for each of the periods, presented on a pretax basis, are as follows: 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 (In thousands) Total amounts of income and expense line items presented in the consolidated results of operations in which the effects of fair value hedges are recorded $ 124,150 $ 128,214 Gain or (loss) on fair value hedging relationships: Interest rate swaps: Hedged items $ 2,376 $ (2,433) Derivatives designated as hedging instruments (4,759) (8,390) The gains and losses on the fair value hedging relationships associated with the hedged items as disclosed in the table above consist of the following components for each of the periods presented: 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 (In thousands) Interest expense $ (1,939) $ (6,526) Decrease in fair value of debt (4,315) (4,093) Hedged items $ 2,376 $ (2,433) The location and effect of cash flow and net investment hedge accounting on the consolidated statements of comprehensive income for the 13-week periods ended October 1, 2022 and October 2, 2021, presented on a pretax basis, are as follows: 13-Week Period Ended Oct. 1, 2022 Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income Amount of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income (In thousands) (In thousands) Derivatives in cash flow hedging relationships: Fuel swaps $ (36,295) Operating expense $ 12,985 Foreign currency contracts 286 Cost of sales / Other income — Total $ (36,009) $ 12,985 Derivatives in net investment hedging relationships: Foreign denominated debt $ 31,346 N/A $ — Total $ 31,346 $ — 13-Week Period Ended Oct. 2, 2021 Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income Amount of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Income (In thousands) (In thousands) Derivatives in cash flow hedging relationships: Fuel swaps $ (485) Operating expense $ 7,972 Foreign currency contracts (78) Cost of sales / Other income — Total $ (563) $ 7,972 Derivatives in net investment hedging relationships: Foreign denominated debt $ 13,553 N/A $ — Total $ 13,553 $ — |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 3 Months Ended |
Oct. 01, 2022 | |
Earnings Per Share, Basic [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings per Share Table | The following table sets forth the computation of basic and diluted earnings per share: 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 (In thousands, except for share Numerator: Net earnings $ 465,568 $ 378,013 Denominator: Weighted-average basic shares outstanding 507,578,576 512,516,067 Dilutive effect of share-based awards 2,804,573 3,266,861 Weighted-average diluted shares outstanding 510,383,149 515,782,928 Basic earnings per share $ 0.92 $ 0.74 Diluted earnings per share $ 0.91 $ 0.73 |
OTHER COMPREHENSIVE INCOME (Tab
OTHER COMPREHENSIVE INCOME (Tables) | 3 Months Ended |
Oct. 01, 2022 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Summary of Components of Other Comprehensive (Loss) Income and Related Tax Effects | A summary of the components of other comprehensive income (loss) and the related tax effects for each of the periods presented is as follows: 13-Week Period Ended Oct. 1, 2022 Location of Before Tax Tax Net of Tax (In thousands) Pension and other postretirement benefit plans: Reclassification adjustments: Amortization of prior service cost Other expense, net $ 99 $ 25 $ 74 Amortization of actuarial loss, net Other expense, net 9,186 2,295 6,891 Total reclassification adjustments 9,285 2,320 6,965 Foreign currency translation: Foreign currency translation adjustment N/A (232,182) — (232,182) Marketable securities: Change in marketable securities (1) N/A (4,212) (884) (3,328) Hedging instruments: Other comprehensive income (loss) before reclassification adjustments: Change in cash flow hedge Operating expenses (2) (36,009) (9,619) (26,390) Change in net investment hedge N/A 31,346 7,837 23,509 Total other comprehensive income before reclassification adjustments (4,663) (1,782) (2,881) Reclassification adjustments: Amortization of cash flow hedges Interest expense 2,874 719 2,155 Total other comprehensive income (loss) $ (228,898) $ 373 $ (229,271) (1) Realized gains or losses on marketa ble securities are presented within other (income) expense, net in the consolidated results of operations; however, there were no significant gains or losses realized in the first quarter of fiscal 2023. (2) Amount partially impacts operating expense for fuel swaps accounted for as cash flow hedges. 13-Week Period Ended Oct. 2, 2021 Location of Before Tax Tax Net of Tax (In thousands) Pension and other postretirement benefit plans: Reclassification adjustments: Amortization of prior service cost Other expense, net $ 99 $ 25 $ 74 Amortization of actuarial loss, net Other expense, net 8,486 2,119 6,367 Total reclassification adjustments 8,585 2,144 6,441 Foreign currency translation: Foreign currency translation adjustment N/A (87,194) — (87,194) Marketable securities: Change in marketable securities (1) N/A (393) (82) (311) Hedging instruments: Other comprehensive income (loss) before reclassification adjustments: Change in cash flow hedges Operating expenses (2) (563) (134) (429) Change in net investment hedges N/A 13,553 3,388 10,165 Total other comprehensive income before reclassification adjustments 12,990 3,254 9,736 Reclassification adjustments: Amortization of cash flow hedges Interest expense 2,874 719 2,155 Total other comprehensive income $ (63,138) $ 6,035 $ (69,173) (1) Realized gains or losses on marketable securities are presented within other (income) expense, net in the consolidated results of operations; however, there were no significant gains or losses realized in the first quarter of fiscal 2022 . (2) Amount partially impacts operating expense for fuel swaps accounted for as cash flow hedges. |
Schedule of Rollforward of Accumulated Other Comprehensive (Loss) Income | The following tables provide a summary of the changes in accumulated other comprehensive (loss) income f or the periods presented: 13-Week Period Ended Oct. 1, 2022 Pension and Other Postretirement Benefit Plans, Foreign Currency Translation Hedging, Marketable Securities, Total (In thousands) Balance as of Jul. 2, 2022 $ (1,011,335) $ (501,517) $ 35,770 $ (4,972) $ (1,482,054) Equity adjustment from foreign currency translation — (232,182) — — (232,182) Amortization of cash flow hedges — — 2,155 — 2,155 Change in net investment hedges — — 23,509 — 23,509 Change in cash flow hedge — — (26,390) — (26,390) Amortization of unrecognized prior service cost 74 — — — 74 Amortization of unrecognized net actuarial losses 6,891 — — — 6,891 Change in marketable securities — — — (3,328) (3,328) Balance as of Oct. 1, 2022 $ (1,004,370) $ (733,699) $ 35,044 $ (8,300) $ (1,711,325) 13-Week Period Ended Oct. 2, 2021 Pension and Other Postretirement Benefit Plans, Foreign Currency Translation Hedging, Marketable Securities Total (In thousands) Balance as of Jul. 3, 2021 $ (1,061,991) $ (40,092) $ (51,096) $ 4,415 $ (1,148,764) Equity adjustment from foreign currency translation — (87,194) — — (87,194) Amortization of cash flow hedges — — 2,155 — 2,155 Change in net investment hedges — — 10,165 — 10,165 Change in cash flow hedge — — (429) — (429) Amortization of unrecognized prior service cost 74 — — — 74 Amortization of unrecognized net actuarial losses 6,367 — — — 6,367 Change in marketable securities — — — (311) (311) Balance as of Oct. 2, 2021 $ (1,055,550) $ (127,286) $ (39,205) $ 4,104 $ (1,217,937) |
BUSINESS SEGMENT INFORMATION (T
BUSINESS SEGMENT INFORMATION (Tables) | 3 Months Ended |
Oct. 01, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Business Segment Table | The following tables set forth certain financial information for Sysco’s reportable business segments: 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 Sales: (In thousands) U.S. Foodservice Operations $ 13,602,482 $ 11,602,963 International Foodservice Operations 3,283,735 2,895,247 SYGMA 1,933,457 1,704,033 Other 307,156 254,303 Total $ 19,126,830 $ 16,456,546 13-Week Period Ended Oct. 1, 2022 Oct. 2, 2021 Operating income (loss): (In thousands) U.S. Foodservice Operations $ 903,828 $ 797,523 International Foodservice Operations 87,208 36,676 SYGMA 5,471 (2,447) Other 11,538 6,456 Total segments 1,008,045 838,208 Global Support Center (273,712) (206,526) Total operating income 734,333 631,682 Interest expense 124,150 128,214 Other expense (income), net 15,281 (3,252) Earnings before income taxes $ 594,902 $ 506,720 |
BASIS OF PRESENTATION (Details)
BASIS OF PRESENTATION (Details) - USD ($) $ in Thousands | Oct. 01, 2022 | Jul. 02, 2022 | Oct. 02, 2021 | Jul. 03, 2021 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Cash and cash equivalents | $ 437,670 | $ 867,086 | $ 2,067,873 | |
Restricted cash | 65,756 | 44,348 | ||
Total cash, cash equivalents and restricted cash shown in the consolidated statement of cash flows | $ 503,426 | $ 931,376 | $ 2,112,221 | $ 3,037,100 |
REVENUE - Narrative (Details)
REVENUE - Narrative (Details) - USD ($) $ in Billions | Oct. 01, 2022 | Jul. 02, 2022 |
Revenue from Contract with Customer [Abstract] | ||
Customer receivables included in accounts and notes receivable, net | $ 4.9 | $ 4.6 |
REVENUE - Disaggregation of Rev
REVENUE - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 19,126,830 | $ 16,456,546 |
Canned and dry products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,506,865 | 2,796,271 |
Fresh and frozen meats | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,382,254 | 3,336,288 |
Frozen fruits, vegetables, bakery and other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 2,732,842 | 2,292,696 |
Poultry | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 2,144,564 | 1,821,759 |
Dairy products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 2,056,978 | 1,546,759 |
Fresh produce | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,657,900 | 1,272,524 |
Paper and disposables | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,391,386 | 1,234,832 |
Seafood | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 799,730 | 847,702 |
Beverage products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 614,920 | 533,209 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 839,391 | 774,506 |
US Foodservice Operations | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 13,602,482 | 11,602,963 |
US Foodservice Operations | Canned and dry products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 2,577,255 | 2,076,779 |
US Foodservice Operations | Fresh and frozen meats | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 2,465,450 | 2,444,461 |
US Foodservice Operations | Frozen fruits, vegetables, bakery and other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,843,464 | 1,501,293 |
US Foodservice Operations | Poultry | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,574,251 | 1,351,200 |
US Foodservice Operations | Dairy products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,525,483 | 1,101,423 |
US Foodservice Operations | Fresh produce | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,337,919 | 986,998 |
US Foodservice Operations | Paper and disposables | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,022,904 | 911,350 |
US Foodservice Operations | Seafood | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 638,405 | 693,013 |
US Foodservice Operations | Beverage products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 315,619 | 256,385 |
US Foodservice Operations | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 301,732 | 280,061 |
International Foodservice Operations | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,283,735 | 2,895,247 |
International Foodservice Operations | Canned and dry products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 691,374 | 581,895 |
International Foodservice Operations | Fresh and frozen meats | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 453,364 | 417,171 |
International Foodservice Operations | Frozen fruits, vegetables, bakery and other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 580,032 | 518,255 |
International Foodservice Operations | Poultry | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 292,849 | 241,202 |
International Foodservice Operations | Dairy products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 366,847 | 305,112 |
International Foodservice Operations | Fresh produce | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 254,737 | 218,963 |
International Foodservice Operations | Paper and disposables | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 144,068 | 119,740 |
International Foodservice Operations | Seafood | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 121,201 | 121,465 |
International Foodservice Operations | Beverage products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 136,475 | 117,220 |
International Foodservice Operations | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 242,788 | 254,224 |
SYGMA | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,933,457 | 1,704,033 |
SYGMA | Canned and dry products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 236,168 | 137,597 |
SYGMA | Fresh and frozen meats | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 463,440 | 474,656 |
SYGMA | Frozen fruits, vegetables, bakery and other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 309,197 | 273,148 |
SYGMA | Poultry | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 277,464 | 229,357 |
SYGMA | Dairy products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 164,648 | 140,224 |
SYGMA | Fresh produce | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 65,244 | 66,563 |
SYGMA | Paper and disposables | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 209,358 | 188,243 |
SYGMA | Seafood | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 40,124 | 33,224 |
SYGMA | Beverage products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 138,169 | 137,515 |
SYGMA | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 29,645 | 23,506 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 307,156 | 254,303 |
Other | Canned and dry products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 2,068 | 0 |
Other | Fresh and frozen meats | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 0 | 0 |
Other | Frozen fruits, vegetables, bakery and other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 149 | 0 |
Other | Poultry | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 0 | 0 |
Other | Dairy products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 0 | 0 |
Other | Fresh produce | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 0 | 0 |
Other | Paper and disposables | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 15,056 | 15,499 |
Other | Seafood | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 0 | 0 |
Other | Beverage products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 24,657 | 22,089 |
Other | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 265,226 | $ 216,715 |
ACQUISITIONS - Narrative (Detai
ACQUISITIONS - Narrative (Details) $ in Thousands | 3 Months Ended | ||
Oct. 01, 2022 USD ($) | Oct. 02, 2021 USD ($) | Aug. 12, 2021 center area | |
Business Acquisition [Line Items] | |||
Payments to acquire businesses, net of cash acquired | $ 32,651 | $ 714,010 | |
Series of Individually Immaterial Business Acquisitions | |||
Business Acquisition [Line Items] | |||
Payments to acquire businesses, net of cash acquired | $ 32,700 | ||
Payable term for contingent consideration | 3 years | ||
Contingent consideration outstanding | $ 93,000 | ||
Series of Individually Immaterial Business Acquisitions | Earnout Liabilities | |||
Business Acquisition [Line Items] | |||
Contingent consideration outstanding | $ 89,000 | ||
Greco and Sons | |||
Business Acquisition [Line Items] | |||
Number of distribution centers | center | 10 | ||
Number of geographic areas | area | 22 |
FAIR VALUE MEASUREMENTS - Asset
FAIR VALUE MEASUREMENTS - Assets and Liabilities Measured at Fair Value Table (Details) - Recurring Fair Value Measurements - USD ($) $ in Thousands | Oct. 01, 2022 | Jul. 02, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | $ 188,824 | $ 635,288 |
Other assets | 65,756 | 64,290 |
Total assets at fair value | 254,580 | 699,578 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 183,816 | 625,281 |
Other assets | 65,756 | 64,290 |
Total assets at fair value | 249,572 | 689,571 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 5,008 | 10,007 |
Other assets | 0 | 0 |
Total assets at fair value | 5,008 | 10,007 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Other assets | 0 | 0 |
Total assets at fair value | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS - Narra
FAIR VALUE MEASUREMENTS - Narrative (Details) - USD ($) $ in Billions | Oct. 01, 2022 | Jul. 02, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total debt | $ 10.2 | $ 10.5 |
Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total debt | $ 10.8 | $ 10.6 |
MARKETABLE SECURITIES - Availab
MARKETABLE SECURITIES - Available-For-Sale Marketable Securities (Details) - USD ($) $ in Thousands | Oct. 01, 2022 | Jul. 02, 2022 |
Marketable Securities [Line Items] | ||
Amortized Cost Basis | $ 126,454 | $ 126,237 |
Gross Unrealized Gains | 0 | 8 |
Gross Unrealized Losses | (10,500) | (6,297) |
Fair Value | 115,954 | 119,948 |
Short-Term Marketable Securities | 5,955 | 5,983 |
Long-Term Marketable Securities | 109,999 | 113,965 |
Corporate bonds | ||
Marketable Securities [Line Items] | ||
Amortized Cost Basis | 96,457 | 96,167 |
Gross Unrealized Gains | 0 | 8 |
Gross Unrealized Losses | (8,615) | (5,995) |
Fair Value | 87,842 | 90,180 |
Short-Term Marketable Securities | 5,955 | 5,983 |
Long-Term Marketable Securities | 81,887 | 84,197 |
Government bonds | ||
Marketable Securities [Line Items] | ||
Amortized Cost Basis | 29,997 | 30,070 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (1,885) | (302) |
Fair Value | 28,112 | 29,768 |
Short-Term Marketable Securities | 0 | 0 |
Long-Term Marketable Securities | $ 28,112 | $ 29,768 |
MARKETABLE SECURITIES - Avail_2
MARKETABLE SECURITIES - Available-For-Sale Debt Securities Held To Actual Maturity (Details) - USD ($) $ in Thousands | Oct. 01, 2022 | Jul. 02, 2022 |
Investments, Debt and Equity Securities [Abstract] | ||
Due in one year or less | $ 5,955 | |
Due after one year through five years | 71,062 | |
Due after five years through ten years | 38,937 | |
Amortized Cost Basis | $ 115,954 | $ 119,948 |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS - Outstanding Swap Agreements (Details) - 3 months ended Oct. 01, 2022 € in Millions, £ in Millions, kr in Millions, gal in Millions | EUR (€) gal | SEK (kr) | GBP (£) |
Hedging of interest rate risk, June 2023 | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Notional value | € 500 | ||
Hedging of foreign currency risk Various (January 2022 to April 2022) | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Notional value | kr 131 | £ 10 | |
Hedging of foreign currency risk euro , June 2023 | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Notional value | € 500 | ||
Fuel swaps | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Notional amount (in gallons) | gal | 59 |
DERIVATIVE FINANCIAL INSTRUME_4
DERIVATIVE FINANCIAL INSTRUMENTS - Derivatives Balance Sheet Location Table (Details) - Hedging Instrument - USD ($) $ in Thousands | Oct. 01, 2022 | Jul. 02, 2022 |
Fair Value Hedges | Interest rate swap agreements | Other current liabilities | ||
Derivative [Line Items] | ||
Fair value of derivative liabilities | $ 7,136 | $ 2,820 |
Cash Flow Hedges | Fuel swaps | Other current assets | ||
Derivative [Line Items] | ||
Fair value of derivative assets | 16,188 | 47,170 |
Cash Flow Hedges | Fuel swaps | Other assets | ||
Derivative [Line Items] | ||
Fair value of derivative assets | 3 | 0 |
Cash Flow Hedges | Fuel swaps | Other current liabilities | ||
Derivative [Line Items] | ||
Fair value of derivative liabilities | 1,647 | 0 |
Cash Flow Hedges | Fuel swaps | Other long-term liabilities | ||
Derivative [Line Items] | ||
Fair value of derivative liabilities | 3,844 | 209 |
Cash Flow Hedges | Foreign currency forwards | Other current assets | ||
Derivative [Line Items] | ||
Fair value of derivative assets | $ 945 | $ 633 |
DERIVATIVE FINANCIAL INSTRUME_5
DERIVATIVE FINANCIAL INSTRUMENTS - Location and Effect of Derivative Instruments and Related Hedged Items (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Derivative [Line Items] | ||
Interest expense | $ 124,150 | $ 128,214 |
Interest expense | (1,939) | (6,526) |
Decrease in fair value of debt | (4,315) | (4,093) |
Hedging Instrument | Fair Value Hedges | Interest rate swaps | Interest expense | ||
Derivative [Line Items] | ||
Hedged items | 2,376 | (2,433) |
Derivatives designated as hedging instruments | $ (4,759) | $ (8,390) |
DERIVATIVE FINANCIAL INSTRUME_6
DERIVATIVE FINANCIAL INSTRUMENTS - Cash Flow Hedges (Details) - Hedging Instrument - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Cash Flow Hedges | ||
Derivative [Line Items] | ||
Amount of gain or (loss) recognized in other comprehensive income on derivatives - cash flow hedging | $ (36,009) | $ (563) |
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - cash flow hedging | 12,985 | 7,972 |
Cash Flow Hedges | Fuel swaps | ||
Derivative [Line Items] | ||
Amount of gain or (loss) recognized in other comprehensive income on derivatives - cash flow hedging | (36,295) | (485) |
Cash Flow Hedges | Fuel swaps | Operating expense | ||
Derivative [Line Items] | ||
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - cash flow hedging | 12,985 | 7,972 |
Cash Flow Hedges | Foreign currency contracts | ||
Derivative [Line Items] | ||
Amount of gain or (loss) recognized in other comprehensive income on derivatives - cash flow hedging | 286 | (78) |
Cash Flow Hedges | Foreign currency contracts | Cost of sales / Other income | ||
Derivative [Line Items] | ||
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - cash flow hedging | 0 | 0 |
Net Investment Hedging | ||
Derivative [Line Items] | ||
Amount of gain or (loss) recognized in other comprehensive income on derivatives - net investment hedging | 31,346 | 13,553 |
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - net investment hedging | 0 | 0 |
Net Investment Hedging | Foreign denominated debt | ||
Derivative [Line Items] | ||
Amount of gain or (loss) recognized in other comprehensive income on derivatives - net investment hedging | 31,346 | 13,553 |
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income - net investment hedging | $ 0 | $ 0 |
DERIVATIVE FINANCIAL INSTRUME_7
DERIVATIVE FINANCIAL INSTRUMENTS - Location of Hedged Liabilities (Details) - Current maturities of long-term debt - USD ($) $ in Thousands | Oct. 01, 2022 | Jul. 02, 2022 |
Derivative [Line Items] | ||
Carrying Amount of Hedged Assets (Liabilities) | $ (568,766) | $ (568,601) |
Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets (Liabilities) | $ 7,136 | $ 2,820 |
DEBT - Narrative (Details)
DEBT - Narrative (Details) - USD ($) | 3 Months Ended | |
Sep. 02, 2022 | Oct. 01, 2022 | |
Debt [Line Items] | ||
Maximum board-authorized aggregate commercial paper limit | $ 2,000,000,000 | $ 3,000,000,000 |
Line of Credit | Revolving Credit Facility | ||
Debt [Line Items] | ||
Aggregate commitments | 3,000,000,000 | |
Increase in commitment fee amount | 4,000,000,000 | |
Borrowings outstanding under revolving credit facility | 0 | |
Commercial Paper | ||
Debt [Line Items] | ||
Carrying value of total debt | $ 97,000,000 |
EARNINGS PER SHARE - Computatio
EARNINGS PER SHARE - Computation of Basic and Diluted Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Numerator: | ||
Net earnings | $ 465,568 | $ 378,013 |
Denominator: | ||
Weighted-average basic shares outstanding (in shares) | 507,578,576 | 512,516,067 |
Dilutive effect of share-based awards (in shares) | 2,804,573 | 3,266,861 |
Weighted-average diluted shares outstanding (in shares) | 510,383,149 | 515,782,928 |
Basic earnings per share (in dollars per share) | $ 0.92 | $ 0.74 |
Diluted earnings per share (in dollars per share) | $ 0.91 | $ 0.73 |
EARNINGS PER SHARE - Narrative
EARNINGS PER SHARE - Narrative (Details) - shares shares in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Employee Stock Option | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive securities excluded (in shares) | 1,393 | 1,963 |
OTHER COMPREHENSIVE INCOME - Na
OTHER COMPREHENSIVE INCOME - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||
Comprehensive income | $ 236,297 | $ 308,840 |
OTHER COMPREHENSIVE INCOME - Co
OTHER COMPREHENSIVE INCOME - Components of Other Comprehensive (Loss) Income and Related Tax Effects (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Before Tax Amount | ||
Total other comprehensive income (loss) | $ (228,898) | $ (63,138) |
Tax | ||
Total other comprehensive income (loss) | 373 | 6,035 |
Net of Tax Amount | ||
Total other comprehensive loss | (229,271) | (69,173) |
Pension and other postretirement benefit plans: | Other expense, net | ||
Before Tax Amount | ||
Reclassification adjustments, before tax | 9,285 | 8,585 |
Tax | ||
Amortization of prior service cost | 2,320 | 2,144 |
Net of Tax Amount | ||
Amortization of prior service cost | 6,965 | 6,441 |
Amortization of prior service cost | ||
Net of Tax Amount | ||
Amortization of prior service cost | 74 | 74 |
Amortization of prior service cost | Other expense, net | ||
Before Tax Amount | ||
Reclassification adjustments, before tax | 99 | 99 |
Tax | ||
Amortization of prior service cost | 25 | 25 |
Net of Tax Amount | ||
Amortization of prior service cost | 74 | 74 |
Amortization of actuarial loss, net | ||
Net of Tax Amount | ||
Amortization of prior service cost | 6,891 | 6,367 |
Amortization of actuarial loss, net | Other expense, net | ||
Before Tax Amount | ||
Reclassification adjustments, before tax | 9,186 | 8,486 |
Tax | ||
Amortization of prior service cost | 2,295 | 2,119 |
Net of Tax Amount | ||
Amortization of prior service cost | 6,891 | 6,367 |
Foreign currency translation: | ||
Before Tax Amount | ||
Other comprehensive income before reclassifications, before tax | (232,182) | (87,194) |
Tax | ||
Before reclassifications tax | 0 | 0 |
Net of Tax Amount | ||
Before reclassifications, net of tax | (232,182) | (87,194) |
Change in marketable securities | ||
Before Tax Amount | ||
Other comprehensive income before reclassifications, before tax | (4,212) | (393) |
Tax | ||
Before reclassifications tax | (884) | (82) |
Net of Tax Amount | ||
Before reclassifications, net of tax | (3,328) | (311) |
Hedging, net of tax | ||
Before Tax Amount | ||
Other comprehensive income before reclassifications, before tax | (4,663) | 12,990 |
Tax | ||
Before reclassifications tax | (1,782) | 3,254 |
Net of Tax Amount | ||
Before reclassifications, net of tax | (2,881) | 9,736 |
Amortization of cash flow hedges | ||
Net of Tax Amount | ||
Amortization of prior service cost | 2,155 | 2,155 |
Before reclassifications, net of tax | (26,390) | (429) |
Amortization of cash flow hedges | Operating expenses | ||
Before Tax Amount | ||
Other comprehensive income before reclassifications, before tax | (36,009) | (563) |
Tax | ||
Before reclassifications tax | (9,619) | (134) |
Net of Tax Amount | ||
Before reclassifications, net of tax | (26,390) | (429) |
Amortization of cash flow hedges | Interest expense | ||
Before Tax Amount | ||
Reclassification adjustments, before tax | 2,874 | 2,874 |
Tax | ||
Amortization of prior service cost | 719 | 719 |
Net of Tax Amount | ||
Amortization of prior service cost | 2,155 | 2,155 |
Change in net investment hedges | ||
Before Tax Amount | ||
Other comprehensive income before reclassifications, before tax | 31,346 | 13,553 |
Tax | ||
Before reclassifications tax | 7,837 | 3,388 |
Net of Tax Amount | ||
Before reclassifications, net of tax | $ 23,509 | $ 10,165 |
OTHER COMPREHENSIVE INCOME - Ro
OTHER COMPREHENSIVE INCOME - Roll forward of Accumulated Other Comprehensive (Loss) Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 1,382,260 | $ 1,552,896 |
Ending balance | 1,115,341 | 1,673,292 |
Total | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (1,482,054) | (1,148,764) |
Ending balance | (1,711,325) | (1,217,937) |
Pension and Other Postretirement Benefit Plans, net of tax | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (1,011,335) | (1,061,991) |
Ending balance | (1,004,370) | (1,055,550) |
Amortization of prior service cost | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Reclassification adjustment, net of tax | 74 | 74 |
Amortization of unrecognized net actuarial losses | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Reclassification adjustment, net of tax | 6,891 | 6,367 |
Foreign Currency Translation | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (501,517) | (40,092) |
OCI before reclassifications, net of tax | (232,182) | (87,194) |
Ending balance | (733,699) | (127,286) |
Hedging, net of tax | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 35,770 | (51,096) |
OCI before reclassifications, net of tax | (2,881) | 9,736 |
Ending balance | 35,044 | (39,205) |
Amortization of cash flow hedges | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
OCI before reclassifications, net of tax | (26,390) | (429) |
Reclassification adjustment, net of tax | 2,155 | 2,155 |
Change in net investment hedges | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
OCI before reclassifications, net of tax | 23,509 | 10,165 |
Change in marketable securities | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (4,972) | 4,415 |
OCI before reclassifications, net of tax | (3,328) | (311) |
Ending balance | $ (8,300) | $ 4,104 |
SHARE-BASED COMPENSATION - Stoc
SHARE-BASED COMPENSATION - Stock Incentive Plans (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options granted (in shares) | 882,359 | |
Options granted, weighted average grant date fair value (in dollars per share) | $ 24.58 | |
Share-based compensation expense | $ 27,224 | $ 29,313 |
Total unrecognized compensation cost related to share-based compensation arrangements | $ 152,000 | |
Weighted average period of time for unrecognized compensation cost to be recognized (in years) | 2 years 1 month 28 days | |
Performance Share Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Equity instruments other than options granted (in shares) | 420,627 | |
Equity instruments other than options granted, weighted average grant date fair value per share (in dollars per share) | $ 85.43 | |
Performance period | 3 years | |
Restricted Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Equity instruments other than options granted (in shares) | 172,987 | |
Equity instruments other than options granted, weighted average grant date fair value per share (in dollars per share) | $ 85.38 | |
Employees' Stock Purchase Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Equity instruments other than options granted (in shares) | 326,226 | |
Equity instruments other than options granted, weighted average grant date fair value per share (in dollars per share) | $ 10.61 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Oct. 01, 2022 | Oct. 02, 2021 | |
Income Tax Disclosure [Abstract] | ||
Effective income tax rate | 21.74% | 25.40% |
Impact of excess tax benefits of equity-based compensation | $ 8.9 | $ 1.4 |
Increase in reserve for uncertain tax positions | 12 | |
Impact of corporate owned life insurance policies | $ 1.9 | |
Unrecognized tax benefits | 32.4 | |
Liability recorded for interest and penalties related to unrecognized tax benefits | $ 6.6 |
BUSINESS SEGMENT INFORMATION (D
BUSINESS SEGMENT INFORMATION (Details) $ in Thousands | 3 Months Ended | |
Oct. 01, 2022 USD ($) segment | Oct. 02, 2021 USD ($) | |
Segment Reporting [Abstract] | ||
Number of reporting segments | segment | 3 | |
Segment Reporting Information [Line Items] | ||
Sales | $ 19,126,830 | $ 16,456,546 |
Operating income (loss): | 734,333 | 631,682 |
Interest expense | 124,150 | 128,214 |
Other expense (income), net | 15,281 | (3,252) |
Earnings before income taxes | 594,902 | 506,720 |
US Foodservice Operations | ||
Segment Reporting Information [Line Items] | ||
Sales | 13,602,482 | 11,602,963 |
International Foodservice Operations | ||
Segment Reporting Information [Line Items] | ||
Sales | 3,283,735 | 2,895,247 |
SYGMA | ||
Segment Reporting Information [Line Items] | ||
Sales | 1,933,457 | 1,704,033 |
Other | ||
Segment Reporting Information [Line Items] | ||
Sales | 307,156 | 254,303 |
Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Sales | 19,126,830 | 16,456,546 |
Operating income (loss): | 1,008,045 | 838,208 |
Operating Segments | US Foodservice Operations | ||
Segment Reporting Information [Line Items] | ||
Sales | 13,602,482 | 11,602,963 |
Operating income (loss): | 903,828 | 797,523 |
Operating Segments | International Foodservice Operations | ||
Segment Reporting Information [Line Items] | ||
Sales | 3,283,735 | 2,895,247 |
Operating income (loss): | 87,208 | 36,676 |
Operating Segments | SYGMA | ||
Segment Reporting Information [Line Items] | ||
Sales | 1,933,457 | 1,704,033 |
Operating income (loss): | 5,471 | (2,447) |
Operating Segments | Other | ||
Segment Reporting Information [Line Items] | ||
Sales | 307,156 | 254,303 |
Operating income (loss): | 11,538 | 6,456 |
Global Support Center | ||
Segment Reporting Information [Line Items] | ||
Operating income (loss): | $ (273,712) | $ (206,526) |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) participant in Thousands, $ in Millions | 3 Months Ended | |
Jan. 02, 2023 USD ($) | Oct. 31, 2022 USD ($) participant | |
Forecast | Minimum | ||
Subsequent Event [Line Items] | ||
Benefit obligation, non-cash pre-tax pension settlement charge | $ 250 | |
Forecast | Maximum | ||
Subsequent Event [Line Items] | ||
Benefit obligation, non-cash pre-tax pension settlement charge | $ 300 | |
Subsequent Event | ||
Subsequent Event [Line Items] | ||
Number of participants | participant | 10 | |
Subsequent Event | Insurer | ||
Subsequent Event [Line Items] | ||
Benefit obligation | $ 700 |