Sysco Defines Plans at 2024 Investor Day to Improve Core Performance, Advance Recipe for Growth Strategy, Increase Shareholder Value

Company highlights the strength of its industry-leading position and introduces three-year growth algorithm

HOUSTON, May 22, 2024 (GLOBE NEWSWIRE) -- Today, Sysco Corporation (NYSE:SYY), the world’s largest foodservice distributor, hosted its 2024 Investor Day at the New York Stock Exchange (NYSE) to present an update on the company’s growth strategy and highlight initiatives that improve how the company serves its customers while delivering consistent financial performance.

Kevin Hourican, Sysco’s Chair of the Board and CEO, and other senior executives discussed how the company is driving core business performance through local case growth, and leveraging the scale of its merchandising and supply chain capabilities. In addition, Sysco shared the evolution of the company’s ‘Recipe for Growth’ strategy which initially launched three years ago to drive market growth through five pillars: Digital, Products and Solutions, Supply Chain, Customer Teams and Future Horizons.

"Today we outlined plans to improve core performance and advance our Recipe for Growth initiatives, helping fuel consistent growth as the leader in the large and growing food-away-from-home market,” said Hourican. “These plans include financial growth targets with significant top and bottom-line growth over the next three years to create sustainable long-term value for Sysco stakeholders. No one else can match the breadth and depth of our product range, nor our ability to meet customers' needs through our portfolio of specialty companies, our international market growth and our investments in salesforce and supply chain."

Sysco also provided a comprehensive financial outlook for the next three fiscal years based on the company’s new growth algorithm which focuses on delivering sustainable growth, operational excellence and balanced capital return, including:

• Sales growth of 4-6% per year through both organic and inorganic initiatives;
• Adjusted operating income growth of 6-8% per year which includes positive operating leverage;
• Adjusted earnings per share growth of 6-8% per year; and
• Total return to shareholders of 9-11% per year through a growing dividend.

“Sysco’s growth algorithm was built upon a balanced approach to capital allocation –maintaining our investment grade balance sheet and returning value to our shareholders all while investing in the business for the long-term,” said Kenny Cheung, Sysco executive vice president and chief financial officer. “These factors, combined with our actions to drive performance in the core of our business, will further position Sysco to deliver compelling financial results.”