Overview

• U.S. food and facilities manager's fiscal Q2 revenue rose 15%, beating analyst expectations

• Adjusted EPS for fiscal Q2 rose 40% year-over-year

• Company repurchased $25 mln of stock and entered hyperscale AI data center market

Outlook

• Aramark sees fiscal 2026 organic revenue growth at the high end of +7% to +9% range

• Company expects fiscal 2026 adjusted operating income (AOI) growth of +12% to +17% and adjusted EPS growth of +20% to +25%

• Aramark expects leverage ratio under 3x for fiscal 2026

Result Drivers

• NET NEW BUSINESS - Growth led by broad-based net new business and base business expansion across sectors and geographies

• CALENDAR SHIFT - Approximately 3% benefit to revenue and organic revenue growth, and 14% benefit to operating income, from the calendar shift

• PRODUCTIVITY & SUPPLY CHAIN - Enhanced technology, productivity gains in food and labor, and supply chain efficiencies supported profitability

Company press release: ID:nBw7hj6Dca

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q2 Revenue	Beat	$4.91 bln	$4.75 bln (11 Analysts)
Q2 EPS		$0.38
Q2 Dividend		$0.12
Q2 Free Cash Flow		$305 mln
Q2 Operating income		$220 mln

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the restaurants & bars peer group is "buy"

• Wall Street's median 12-month price target for Aramark is $48.00, about 7.7% above its May 11 closing price of $44.56

• The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 16 three months ago

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