SYY · 8-K · 20261103PR000046

Interest Expense Increase

SYSCO CORP · 2026-11-03 · Importance 53 · Surprise 82 · In source text

GAAP interest expense rose 51.7% to $261 million from $172 million in Q1 FY2026. The increase included $90 million of bridge-loan debt-issuance-cost amortization associated with the planned Jetro Restaurant Depot acquisition. Excluding that adjustment, interest expense was $171 million, down 0.6% year over year.

Key facts

• Sysco's first-quarter fiscal 2027 included a $234 million gain in other income related to deal-contingent rate-lock transactions entered into to mitigate interest-rate risk on permanent debt issued to finance the Jetro Restaurant Depot purchase. source
• Sysco's interest expense was $261 million in the 13 weeks ended September 26, 2026, compared with $172 million in the prior-year period, an increase of 51.7%. source
• Sysco's first-quarter fiscal 2027 included $90 million of bridge-loan debt issuance cost amortization, primarily related to the planned Jetro Restaurant Depot acquisition. source
• Sysco adjusted interest expense was $171 million in first-quarter fiscal 2027, compared with $172 million in the prior-year quarter, a decrease of 0.6%. source

Impact estimates