What is the revenue and EPS growth rate for Aramark year over year?

Did Aramark beat or miss consensus estimates last quarter?

What does Aramark do and what are its main business segments?

What were the key takeaways from Aramark’s earnings call?

What is the market's earnings forecast for Aramark next quarter?

What were the key takeaways from Aramark's earnings call?

What guidance did Aramark's management provide for the next earnings period?

What factors drove the changes in Aramark's revenue and profit?

- **Revenue Momentum**: 5% organic growth, driven by Workplace Experience and Corrections. Excluding calendar shift, growth would have been 8%.
- **Strategic Wins**: Major health care contracts (Penn Medicine, RWJ Barnabas) and sports expansion (Welsh Rugby Union) highlight new business success.
- **Financial Targets**: On track for FY26: 7-9% revenue growth, 12-17% AOI growth, 20-25% EPS growth. Q2 expects strong new business onboarding.
- **AI Efficiency**: AI tools enhance supply chain and GPO performance, with minimal capital investment. Supports cost savings and operational scale.
- **Client Retention**: Record-high retention rates, with 4-5% net new business target achievable.

**【CEO Summary Section】**
- **Revenue Growth**: Organic revenue increased 5% to $4.8 billion, driven by Workplace Experience (17th consecutive quarter of double-digit growth) and Corrections. Excluding calendar shift, growth would have been 8%.
- **New Contracts**: Secured major health care wins, including Penn Medicine ($4.8 billion contract) and RWJ Barnabas Health (largest academic health system in New Jersey). Also expanded in sports (e.g., Welsh Rugby Union) and mining.
- **Segment Performance**: FSS U.S. grew 2% (5% excluding calendar shift), with strong Refreshments and Corrections. International revenue rose 13%, led by U.K., Spain, and Chile.
- **AI and Supply Chain**: AI-driven tools enhance GPO efficiency, with $20+ billion in contracted spend. Global supply chain inflation aligns with expectations.

**【CFO Financial Commentary】**
- **Q1 Results**: Operating income $218M (flat YoY), adjusted EPS $0.01. Calendar shift reduced revenue by ~$125M (3%).
- **Profitability**: Adjusted operating income (AOI) would have grown 11% without calendar shift. U.S. AOI down 1% (9% excluding shift), International up 1%.
- **Guidance**: Full-year targets: 7-9% organic revenue growth, 12-17% AOI growth, 20-25% adjusted EPS growth. Q2 expects strong onboarding of new business.
- **Cash Flow**: Q1 cash outflow due to working capital and CapEx for new contracts. Repurchased $30M shares, repriced $400M debt to save 25bps.

**【Q&A Highlights】**
- **Retention**: Record-high client retention, with 4-5% net new business target on track. U.S. retention unaffected by calendar shift.
- **AI Impact**: Back-end efficiencies and cost savings, with minimal capital investment. Supports supply chain negotiations and menu planning.
- **Inflation**: Food inflation ~3%, mitigated by pricing and menu engineering. Labor costs stable across geographies.
- **Contracts**: RWJ Barnabas launch this summer, contributing to FY26. Penn Medicine roll-out ongoing.
- **Cash Flow**: Elevated CapEx for sports and education, expected to normalize. Working capital use aligns with growth.

Aramark (ARMK) Q1 2026 Earnings Call Transcript

- **Revenue Beat**: 14% Q4 organic growth, 7% full-year growth (excluding 53rd week). FY26 guidance: $19.45B-$19.85B revenue (7%-9% growth).
- **New Business Dominance**: $1.6B gross new wins (12% YoY), 5.6% net new growth. Penn Medicine deal to launch early 2026.
- **Retention Excellence**: 96.3% retention rate, 40% incentive comp tied to net new. FY26 target: 4%-5% net new, >95% retention.
- **Financial Strength**: Adjusted EPS $1.82 (20% YoY). FY26 EPS guidance: $2.18-$2.28 (20%-25% growth). Free cash flow up 40%.
- **Margin Expansion**: 30-40bps margin growth in FY26, driven by AI, supply chain, and cost control. Q1 margin impact from 53rd week timing (~3% revenue drag).
- **Strategic Wins**: Penn Medicine AI platform, NFL record revenue in Ireland, and expansion in Workplace Experience (law firms, micro markets).
- **Risk Management**: 3% inflation expected. Medical costs reduced via GLP-1 coverage changes.

**【CEO Summary Section】**
- **Revenue Growth**: Organic revenue increased 14% in Q4, driven by net new business and base growth. Full-year organic revenue grew 7%, excluding a 53rd week. 
- **New Business Wins**: $1.6 billion in gross new wins (12% higher than FY24), including the largest FSS U.S. contract in history with Penn Medicine. Net new business growth of 5.6%.
- **Client Retention**: Industry-leading 96.3% retention rate, with 40% of incentive compensation tied to net new business performance.
- **Key Wins**: Penn Medicine (AI-driven patient menus, robotic applications), DePaul University, and expansion in Workplace Experience (top-tier law firms).
- **International Growth**: 14% organic revenue growth in Q4, led by U.K., Canada, Spain, and Latin America. Record single-day revenue at NFL games in Ireland.
- **Strategic Initiatives**: AIWX platform for staffing optimization, micro markets, and mobile ordering. Expansion of supply chain GPO network with $1 billion+ new purchasing spend.

**【CFO Financial Commentary】**
- **Q4 Results**: GAAP revenue $18.5B (6% YoY), adjusted EPS $0.57 (6% YoY). Full-year adjusted EPS $1.82 (20% YoY). Free cash flow $454M (40% YoY growth).
- **Margins**: AOI $289M (6% YoY growth), AOI margin 5.1%. Full-year AOI $981M (12% YoY), margin up 25bps.
- **2026 Guidance**: 
  - Organic revenue: $19.45B-$19.85B (7%-9% growth)
  - Adjusted EPS: $2.18-$2.28 (20%-25% growth)
  - Leverage ratio below 3.0x
- **Cost Management**: 3% inflation expected, disciplined medical expense reduction (GLP-1 coverage).

**【Q&A Highlights】**
- **Timing of New Accounts**: Deferred openings in Corrections, Workplace Experience, and Healthcare reduced Q4 revenue by ~$100M. Full-year impact offset by strong retention and new business.
- **Penn Medicine Ramp-Up**: Operations to launch early 2026 across 7 hospitals. Start-up costs baked into FY26 guidance.
- **Margins Outlook**: 30-40bps margin expansion in FY26, driven by supply chain efficiency and SG&A leverage. Q1 margin impact from 53rd week timing (~3% revenue drag).
- **Competitive Landscape**: Strong retention (95%+ target) and first-time outsourcing trends (e.g., higher ed sports, health care) fueling growth. No material impact from competitor changes.
- **Healthcare Expansion**: Penn Medicine deal signals opportunity for self-op conversions. Health care pipeline includes major system conversions.
- **Cash Flow**: $2.4B cash availability, supporting dividend increase (14%), share buybacks, and capital allocation priorities.

Aramark (ARMK) Q4 2025 Earnings Call Transcript

- **Record Q3 Performance**: $4.6B revenue (+6% YoY), AOI +19%, Adjusted EPS +30%.
- **Strategic Wins**: Largest sports entertainment deal with A's, 15 HBCU partnerships.
- **AI-Driven Efficiency**: 5%+ cost savings via contract intelligence agents.
- **Q4 Guidance**: 9-16% organic growth, driven by 34%+ new business pipeline.
- **Cash Flow Strength**: $1.4B cash, $140M buybacks, 3x leverage target.
- **Retention Excellence**: 97%+ client retention through service innovation.

**【CEO Opening Remarks】**
- Q3 revenue reached $4.6 billion, up 6% YoY (5.5% organic), driven by new client wins and base business growth.
- FSS U.S. organic revenue +3%, led by workplace refreshments, education volume, and Corrections new business.
- International organic revenue +10%, with double-digit growth in U.K., Chile, Canada, and Spain.
- Secured one of largest sports entertainment wins in company history with the A's, including minority equity stake.
- Client retention rates exceed 97% in both U.S. and International segments.
- Global supply chain AI tools (e.g., contract intelligence agents) delivered 5%+ cost savings.

**【CFO Financial Commentary】**
- Operating Income: $183M (+13% YoY), Adjusted Operating Income (AOI): $230M (+19% YoY), AOI margin +60bps.
- U.S. AOI +16% YoY, driven by base business volume and supply chain efficiencies.
- International AOI +11% YoY, led by Chile and Canada.
- GAAP EPS: $0.27, Adjusted EPS: $0.40 (+30% YoY).
- Free cash flow: -$34M (Q3), with strong Q4 cash inflow expected from Collegiate Hospitality.
- Share buybacks: $140M year-to-date, with $62M Term Loan B repayment.
- Cash balance: $1.4B, targeting 3x leverage by FY25 end.

**【Q&A Highlights】**
- **Q4 Revenue Growth**: 9-16% YoY (5.5% Q3 +2% lapping +2-6% new business). July organic +7.5%, strongest month.
- **Events Business Headwinds**: $20M+ drag from lower arena activity and prior year DNC. Not expected to recur.
- **M&A Strategy**: Small bolt-on deals (e.g., Entier Catering) to scale capabilities. No major shift from organic focus.
- **AI Impact**: Supply chain AI tools reduced costs by 5%, with 34% of contracts now AI-optimized.
- **Retention Strategy**: Relationship-driven, not price-based. 97%+ retention fueled by service quality and innovation.
- **A's Investment**: Minority stake in franchise to deepen partnership, not tied to contract duration.
- **2026 Outlook**: On track for multiyear 5-7% organic growth, with FY25 exit rate setting higher FY26 base.

Aramark (ARMK) Q3 2025 Earnings Call Transcript

- **Revenue Acceleration**: Q2 US growth of 6% in April, with Q3/Q4 set to lap facility exits and drive double-digit growth.
- **International Strength**: 10% YoY growth, new wins in sports (Everton FC), and GPO margins >55%.
- **AI & Supply Chain**: AI-driven savings and workplace services (vending, micro-markets) fueling margin expansion (33bps AOI margin).
- **Shareholder Returns**: $140M buybacks YTD; free cash flow up $64M YoY.
- **2026 Outlook**: Q4 exit rate expected to exceed 5-8% target, backed by 4-5% net new and 98%+ retention.

**【CEO Opening Remarks】**
- Q2 organic revenue grew 3% to $4.3 billion, driven by strong retention (98%+ in FSS US and international) and new business wins totaling $760M YTD.
- US revenue growth accelerated to 6% in April, with Q3 and Q4 expected to lap facility exits and see double-digit growth.
- International segment delivered 10% YoY growth, led by UK, Spain, Chile, and Canada, with new wins at Sussex County Cricket Club and Everton FC.
- AI-driven supply chain efficiencies and workplace experience services (e.g., vending, micro-markets) are key growth drivers.

**【CFO Financial Highlights】**
- GAAP net income: $174M (9.5% YoY growth); Adjusted EPS: $0.34 (22% YoY increase on constant currency).
- AOI margin expanded 33bps to 4.8%, driven by supply chain savings and cost discipline.
- Free cash flow: $141M in Q2, $64M higher YoY due to improved earnings and working capital.
- Share buybacks: $140M (4M shares) since November; leverage expected to remain ~3x.

**【Q&A Key Takeaways】**
- **New Business Momentum**: 4-5% net new target achievable with $760M YTD wins and strong pipeline in first-time outsourcing (45% of net new).
- **International Growth**: Double-digit expansion expected to continue, with GPO synergies and local expertise driving margins >55%.
- **Inflation Management**: 2.9% US inflation neutralized via pricing; <10% of purchases exposed to tariffs.
- **Retention Strength**: 98%+ retention rate vs. historical 96-97%, supported by proactive renewals and rebid wins (e.g., Arizona State expansion).
- **2026 Outlook**: Q4 exit rate expected to exceed 5-8% multiyear target, driven by pricing (higher ed meal plans), new business ramp, and base volume growth.


Aramark (ARMK)-6 May 25-2025 Q2 Earnings call transcript

- **Record Q1 Growth**: Organic revenue +5% to $4.6B, FSS US up 3%, International +10%.
- **Profitability Surge**: AOI margin +40bps to 5.6%, adjusted EPS +25% to $0.51.
- **New Business Momentum**: 4-5% net new wins target, ASU retention adds $10M+.
- **Supply Chain Expansion**: $0.5B Quantum acquisition boosts global GPO spend to $20.5B.
- **H2 Acceleration**: Double-digit growth expected post-facilities exit lapping.
- **Tariff Resilience**: 30bps cost impact offset by sourcing flexibility.
- **Share Buybacks**: $500M program underway, 645K shares repurchased to date.


**【CEO Opening Remarks】**
- Q1 organic revenue grew 5% to $4.6 billion, driven by 6% growth in foodservice business.
- FSS US organic revenue up 3% to $3.3B, with strong performance in Workplace Experience, Collegiate Hospitality, and Corrections.
- International organic revenue increased 10% to $1.3B, led by UK, Canada, Chile, and Ireland.
- Acquired Quantum Cost Consultancy Group to expand global supply chain capabilities, adding $0.5B in managed spend.
- New business wins include Walmart's HQ, General Dynamics, WPP, and expanded partnership with FC Barcelona.
- Retained ASU Collegiate Hospitality contract, adding athletics services.
- Global inflation remains favorable at 2-3%, with 85% of US products domestically sourced.

**【CFO Financial Review】**
- Q1 AOI (Adjusted Operating Income) rose 13% to $258M (constant currency), with margin expanding 40bps to 5.6%.
- US AOI grew 13% with margin +60bps, driven by Education & Healthcare.
- International AOI up 15% (constant currency), Chile leading with high-single-digit growth.
- GAAP EPS $0.39, adjusted EPS $0.51 (+25% YoY).
- Free cash flow improved $63M vs prior year, despite seasonal Collegiate Hospitality outflow.
- Initiated $500M share buyback program, repurchasing 645K shares ($25M) to date.
- Refinanced $1.4B debt to extend maturities to 2030, maintaining 3x leverage target.

**【Q&A Key Highlights】**
- **Revenue Acceleration**: Q2 organic growth ~5%, H2 to resume double-digit growth post-facilities exit lapping.
- **Tariff Impact**: 30bps cost increase modeled, mitigated by menu engineering and local sourcing (85% US products domestic).
- **Education Growth**: K-12 and Collegiate Hospitality to accelerate in H2, ASU contract expansion adds ~$10M+.
- **Quantum Acquisition**: Low revenue impact but high margin accretion via scale benefits; $20.5B total GPO spend.
- **Labor Market**: Availability strong, inflation ~4-5%, no material headwinds.
- **Athletics Expansion**: NCAA business growing rapidly, Nebraska contract pending board approval.
- **2026 Outlook**: 5-8% organic growth run rate, excluding 53rd week boost.


Actual												0.26	-0.69	-0.35	-0.31	-0.24	0.03	0.21	0.22	0.22	0.25	0.48	0.41	0.28	0.36	0.64	0.41	0.29	0.31	0.54	0.51	0.34	0.4	0.57	0.51
Forecast												0.2504	-0.6776	-0.3675	-0.413	-0.3428	0.0179	0.1912	0.2186	0.2149	0.2363	0.4861	0.4273	0.2617	0.3398	0.637	0.3592	0.2707	0.3021	0.525	0.4825	0.3274	0.3997	0.6412	0.5032
Surprise	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	+3.83%	-1.83%	+4.76%	+24.94%	+29.99%	+67.60%	+9.83%	+0.64%	+2.37%	+5.80%	-1.25%	-4.05%	+6.99%	+5.94%	+0.47%	+14.14%	+7.13%	+2.62%	+2.86%	+5.70%	+3.85%	+0.08%	-11.10%	+1.35%

ARMK

ARMK fundamentals

ARMK Q1 2026 Earnings

Earnings Call

You can ask Aime

ARMK

ARMK fundamentals

ARMK Q1 2026 Earnings

Earnings Call

ARMK Earnings Call Summary for Q1/20268:30 AM on Feb 10, 2026

ARMK Earnings Call Summary for Q4/20258:30 AM on Nov 17, 2025

ARMK Earnings Call Summary for Q3/20258:30 AM on Aug 5, 2025

ARMK Earnings Call Summary for Q2/20258:30 AM on May 6, 2025

ARMK Earnings Call Summary for Q1/20258:30 AM on Feb 4, 2025

You can ask Aime