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Here are 1-3 brief analogies for Sysco:

• Sysco is like a giant Costco or Sam's Club, but exclusively for restaurants, schools, and hospitals.
• Sysco is the Amazon for restaurants, hotels, and healthcare facilities, supplying everything from ingredients to kitchen equipment.

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• Food Products Distribution: Sysco distributes a vast array of fresh, frozen, and dry food products to restaurants, healthcare facilities, schools, hotels, and other foodservice operations.
• Non-Food Products Distribution: They provide essential non-food items including kitchen equipment, cleaning supplies, disposables, and operating supplies for the foodservice industry.
• Business Solutions and Consulting: Sysco offers value-added services such as menu planning, inventory management, marketing support, and operational consulting to help their foodservice customers optimize and grow their businesses.

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Sysco (symbol: SYY) primarily sells to other companies (Business-to-Business or B2B) within the foodservice industry. Due to the nature of its business, Sysco serves a highly fragmented customer base consisting of hundreds of thousands of individual establishments rather than a small number of identifiable large, publicly traded corporate customers that account for a significant portion of its revenue. Therefore, it is not possible to list specific major customer companies by name and symbol.

Instead, Sysco's major customer segments (types of companies) include:

• Restaurants: This is Sysco's largest customer segment, encompassing a vast array of independent restaurants, local and regional restaurant chains, and some national restaurant chains.
• Healthcare Facilities: Such as hospitals, nursing homes, and assisted living facilities.
• Educational Institutions: Including K-12 schools, colleges, and universities.
• Hospitality Businesses: Like hotels, motels, resorts, and other lodging establishments.
• Other Foodservice Operations: This broad category includes sports and entertainment venues, corporate cafeterias, governmental institutions, and correctional facilities.

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Kevin Hourican, Chairman of the Board and Chief Executive Officer

Kevin Hourican has served as President and Chief Executive Officer of Sysco Corporation since February 2020, and was appointed Chairman of the Board in January 2023. Prior to joining Sysco, he spent over seven years at CVS Health, most recently as Executive Vice President, CVS Health, and President, CVS Pharmacy, where he oversaw the company's $85 billion retail business, 9,900 retail stores, and over 200,000 employees. His responsibilities at CVS also included merchandising, marketing, supply chain, real estate, and pharmacy operations. Before CVS Health, Hourican held executive leadership roles at Macy's, including Senior Vice President, Regional Director of Stores, managing 110 department stores in the Mid-Atlantic region. He holds a Bachelor of Science in Business Administration from Penn State University and an MBA from the Stern School of Business at New York University.

Kenny Cheung, Executive Vice President and Chief Financial Officer

Kenny Cheung serves as Executive Vice President and Chief Financial Officer of Sysco. He previously held the role of Executive Vice President, Finance, at Sysco. Before joining Sysco in 2022, Cheung served as Executive Vice President and Chief Financial Officer at Life Time Group Holdings, Inc., a healthy lifestyle brand. His experience also includes over 20 years at the global retailer Walmart, where he held various leadership positions, including Chief Financial Officer for Walmart U.S. eCommerce and Chief Financial Officer for Walmart China. He also served as Chief Audit Executive for Walmart Inc. and held positions in investor relations and as Assistant Controller. Prior to Walmart, Cheung worked at Dell and Procter & Gamble. He holds a bachelor's degree in accounting from the University of Arizona and an MBA from the University of Arizona's Eller Graduate School of Management.

Greg Bertrand, Executive Vice President, Global Chief Operating Officer

Greg Bertrand is the Executive Vice President, Global Chief Operating Officer at Sysco. He previously served as Sysco's Executive Vice President, U.S. Foodservice, overseeing the company's U.S. Broadline operations. Bertrand began his career at Sysco in 1993, holding various leadership roles including President of Sysco Denver, Senior Vice President of Merchandising, and Senior Vice President of Healthcare, Hospitality, and National Accounts. He earned a Bachelor of Science degree in Marketing from the University of Louisiana at Lafayette.

Tom Peck, Executive Vice President, Chief Information and Digital Officer

Tom Peck holds the position of Executive Vice President, Chief Information and Digital Officer at Sysco. He joined Sysco in 2018. Prior to Sysco, Peck served as Executive Vice President, Chief Information Officer, and Head of Global Procurement at AECOM. His experience also includes serving as Senior Vice President and Chief Information Officer at PerkinElmer and holding various leadership roles at General Electric. Peck is a graduate of the University of Vermont.

Ron Phillips, Executive Vice President and Chief Human Resources Officer

Ron Phillips serves as Executive Vice President and Chief Human Resources Officer for Sysco. He joined Sysco in 2020. Prior to Sysco, Phillips was Chief People Officer at Carnival Corporation. His previous experience also includes holding senior human resources roles at Raytheon and Danaher. He started his career in the United States Army, where he served as a commissioned officer. Phillips earned a Bachelor of Science degree in business administration from James Madison University.

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The key risks to Sysco's business, in order from most significant to less significant, are:

1. Competitive Pressures and Pricing Volatility: The foodservice distribution industry is highly fragmented and intensely competitive, with numerous local, regional, and multi-regional distributors, as well as specialty competitors. This competitive landscape, along with the influence of Group Purchasing Organizations (GPOs), can lead to pressure on Sysco's margins and make it challenging to maintain market share and growth. Sysco may struggle to retain customers or negotiate favorable terms, and intense competition can limit its ability to increase prices.
2. Product Cost Inflation and Deflation: Sysco's profitability is significantly affected by the volatility of product costs. Periods of rapidly increasing inflation can negatively impact results if Sysco cannot effectively pass these higher costs on to its customers due to the competitive environment and the impact on consumer discretionary spending. Conversely, periods of product cost disinflation or deflation can also adversely affect the company's results, as a substantial portion of its sales are priced based on product cost plus a percentage margin.
3. Labor Shortages and Rising Labor Costs: Sysco faces ongoing risks related to the availability of qualified labor and increasing labor costs. A shortage of workers, particularly drivers and warehouse staff, and rising wages due to market dynamics or union negotiations, can materially reduce earnings and impact operational efficiency. Recent contract agreements with unions, for example, have included significant wage increases, highlighting this ongoing challenge.

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Tech-enabled food distributors and supply chain platforms like GrubMarket are emerging as a clear threat. These companies leverage technology, data analytics, and often direct sourcing models to offer restaurants and other foodservice operations a more streamlined, efficient, and potentially cost-effective way to procure food and supplies. By digitizing the supply chain from farm to fork and aggregating suppliers through online platforms, they aim to disintermediate traditional broadline distributors like Sysco, or at least capture market share through superior digital experiences and optimized logistics. GrubMarket, for instance, is actively acquiring traditional distributors and integrating them into its tech platform, demonstrating a clear strategy to disrupt the existing distribution landscape.

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Sysco (NYSE: SYY) operates primarily within the foodservice distribution industry, supplying a wide range of food and non-food products to businesses that serve food. This includes restaurants, healthcare facilities, educational institutions, and sports stadiums. Its product offerings encompass fresh meats, produce, seafood, dairy, frozen foods, prepared meals, canned and dry goods, beverages, as well as dining room supplies, kitchen equipment, and cleaning products.

The addressable markets for Sysco's main products and services are as follows:

• U.S. Foodservice Distribution Market: The U.S. foodservice distribution industry recorded annual sales of approximately $382 billion in 2022. More recent estimates for the total addressable market in the U.S. indicate figures around $370 billion as of June 2025, and $360 billion for the calendar year 2023.
• Global Foodservice Distribution Market: The global foodservice distribution market is estimated at approximately $1.1 trillion in 2025, with projections to reach $1.9 trillion by 2033, growing at a compound annual growth rate (CAGR) of 7.2%.

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Expected Drivers of Future Revenue Growth for Sysco (SYY)

Sysco (SYY) is anticipated to drive future revenue growth over the next 2-3 years through several key strategies and market dynamics:

1. Volume Growth in U.S. Foodservice: Sysco projects positive volume growth in its U.S. Foodservice segment, a crucial component of its overall sales. For fiscal year 2025, the company anticipates low single-digit positive volume growth, contributing to its net sales growth guidance of 4-5%. While U.S. local case growth has seen some fluctuations, with a slight increase of 0.2% in Q1 2025, the company is focused on improving local case performance. Efforts to enhance sales consultant retention and productivity are expected to further support this growth.
2. International Business Expansion: The international segment continues to be a strong growth driver for Sysco, demonstrating substantial growth and positive operating leverage. In Q1 2025, International Foodservice Operations sales increased by 3.0%, with adjusted operating income rising by 12.1%. This segment has consistently delivered double-digit profit growth, indicating its ongoing contribution to top-line expansion. Sysco is actively executing its playbook and growing substantially across regions like Canada and Europe.
3. Strategic Acquisitions and Market Share Gains: Sysco expects benefits from mergers and acquisitions (M&A) to contribute to its net sales growth. The company has a history of profitably gaining market share and leveraging its dominant position in the foodservice distribution sector.
4. Inflationary Pricing: Moderate inflation, estimated at approximately 2% for fiscal year 2025, is expected to be a factor in Sysco's net sales growth. The company has demonstrated its ability to effectively manage product inflation and pass through price increases, contributing to revenue growth.
5. Expansion of Specialty Platform and Product Portfolio: Sysco is actively expanding its specialty platform, which is anticipated to be a significant contributor to future growth. Additionally, the company is focused on strategic initiatives such as the expansion of its brand portfolio and improvements in supply chain efficiency, which can enhance its offerings and market reach. These efforts are part of Sysco's strategy to provide customized supply chain solutions, bespoke specialty product offerings, and culinary support to its diverse customer base.

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Share Repurchases

• Sysco repurchased $1.3 billion of its common stock in fiscal year 2025.
• The company repurchased $1.2 billion in shares during fiscal year 2024.
• As of May 2021, the Board of Directors authorized a share repurchase program of up to $5.0 billion, with approximately $1.5 billion remaining authorization as of June 28, 2025.

Outbound Investments

• In fiscal year 2024, Sysco acquired Edward Don & Company for $969.4 million in cash on November 27, 2023, a distributor of foodservice equipment, supplies, and disposables.

Capital Expenditures

• Capital expenditures, net of proceeds from sales of plant and equipment, were $692 million for fiscal year 2025.
• Capital expenditures totaled $753 million for fiscal year 2024.
• The primary focus of capital expenditures includes investments in supply chain capacity expansion, modernizing customer-facing systems, enhancing customer-facing technology, and developing and training drivers through the Sysco Driver Academy.