The quarter came in just under a modest market bar. Adjusted diluted EPS was $1.59 versus published consensus of roughly $1.60, while revenue was $18.03 billion versus approximately $18.09 billion expected. That is a narrow miss, not a breakdown, but the market was already looking for another earnings beat.
| Metric | Q4 FY26 | Q4 FY25 | Market expectation |
|---|---|---|---|
| Revenue | $18.03B | $16.94B | ~$18.09B |
| Adjusted diluted EPS | $1.59 | $1.55 | ~$1.60 |
| Adjusted EBITDA | $587.5M | $546.9M | Not available |
| Total case volume | +3.5% | — | — |
| Organic independent Foodservice case volume | +5.8% | — | — |
Underlying demand was better than the headline miss suggests. Independent Foodservice case volume rose 8.0%, including 5.8% organic growth, and gross profit grew 8.3%—faster than sales. But Foodservice adjusted EBITDA increased only 2.2% as operating expenses rose 9.9%, showing that the strongest volume gains are still being absorbed by labor, fuel, insurance, and acquisition-related costs. (Fourth-Quarter Financial Summary; Segment Results — Foodservice)
Cash generation was the clearest strength. Fiscal-year operating cash flow reached $1.41 billion and free cash flow $1.03 billion, up from $1.21 billion and $704.1 million, respectively. Lower capital spending and stronger working-capital support helped offset only modest adjusted EPS growth of 1.6% for the full year. (Cash Flow and Capital Spending; Fiscal-Year Non-GAAP Reconciliation)
The new outlook is constructive, but not a proven beat. Fiscal 2027 guidance calls for $72.5 billion-$73.0 billion of revenue and $2.125 billion-$2.225 billion of adjusted EBITDA, including a 53rd week. At the midpoint, that implies roughly 7% revenue growth and 13% adjusted EBITDA growth from fiscal 2026, but the filing provides no published consensus against which to label the outlook raised or lowered. (Fiscal 2027 Outlook)
Net read: a mixed quarter with a slight negative earnings surprise. The narrow EPS and revenue miss matters because consensus was already close to the reported numbers, while the strong independent-channel growth, free cash flow, and fiscal 2027 framework keep the broader operating picture intact. The main unresolved issue is whether Foodservice can convert its volume momentum into faster profit growth. (Segment Results — Foodservice; Cash Flow and Capital Spending)
Read the original 8-K on SEC EDGAR ↗