BUSINESS SEGMENT INFORMATION

6 Months Ended

Dec. 31, 2022

Segment Reporting [Abstract]

BUSINESS SEGMENT INFORMATION

BUSINESS SEGMENT INFORMATION

Sysco distributes food and related products to restaurants, healthcare and educational facilities, lodging establishments and other foodservice customers. Our primary operations are located in North America and Europe. Under the accounting provisions related to disclosures about segments of an enterprise, we have aggregated certain operating segments into three reportable segments. “Other” financial information is attributable to our other operating segments that do not meet the quantitative disclosure thresholds.

•U.S. Foodservice Operations – primarily includes (a) our U.S. Broadline operations, which distribute a full line of food products, including custom-cut meat, seafood, produce, specialty Italian, specialty imports and a wide variety of non-food products and (b) our U.S. Specialty operations, which include our FreshPoint fresh produce distribution business, our Specialty Meats and Seafood Group specialty protein operations, our growing Italian Specialty platform anchored by Greco & Sons, our Asian specialty distribution company and a number of other small specialty businesses that are not material to our operations;

•International Foodservice Operations – includes operations outside of the U.S., which distribute a full line of food products and a wide variety of non-food products. The Americas primarily consists of operations in Canada, Bahamas, Mexico, Costa Rica and Panama, as well as our export operations that distribute to international customers. Our European operations primarily consist of operations in the United Kingdom (U.K.), France, Ireland and Sweden;

•SYGMA – our U.S. customized distribution operations serving quick-service chain restaurant customer locations; and

•Other – primarily our hotel supply operations, Guest Worldwide.

The accounting policies for the segments are the same as those disclosed by Sysco for its consolidated financial statements. Our Global Support Center generally includes all expenses of the corporate office and Sysco’s shared service operations. These also include all U.S. share-based compensation costs.

The following tables set forth certain financial information for Sysco’s reportable business segments:

	13-Week Period Ended				26-Week Period Ended
	Dec. 31, 2022		Jan. 1, 2022		Dec. 31, 2022		Jan. 1, 2022
Sales:	(In thousands)				(In thousands)
U.S. Foodservice Operations	$	13,077,054	$	11,498,155	$	26,679,536	$	23,101,118
International Foodservice Operations	3,282,411		2,806,272		6,566,146		5,701,519
SYGMA	1,933,536		1,771,323		3,866,993		3,475,356
Other	300,952		244,453		608,108		498,756
Total	$	18,593,953	$	16,320,203	$	37,720,783	$	32,776,749
	13-Week Period Ended				26-Week Period Ended
	Dec. 31, 2022		Jan. 1, 2022		Dec. 31, 2022		Jan. 1, 2022
Operating income (loss):	(In thousands)				(In thousands)
U.S. Foodservice Operations	$	780,961	$	676,822	$	1,684,789	$	1,474,345
International Foodservice Operations	57,385		10,745		144,593		47,421
SYGMA	6,805		(6,729)		12,276		(9,176)
Other	9,881		183		21,419		6,639
Total segments	855,032		681,021		1,863,077		1,519,229
Global Support Center	(214,390)		(236,112)		(488,102)		(442,638)
Total operating income	640,642		444,909		1,374,975		1,076,591
Interest expense	132,042		242,899		256,192		371,113
Other expense (income), net	330,124		(10,676)		345,405		(13,928)
Earnings before income taxes	$	178,476	$	212,686	$	773,378	$	719,406