INCOME TAXES (Tables)

12 Months Ended

Jun. 27, 2026

Schedule of Earnings Before Income Taxes by Jurisdiction

For financial reporting purposes, earnings before income taxes consists of the following:


	2026		2025		2024
	(In millions)
U.S.	$	2,056	$	2,066	$	2,260
Foreign	220		349		305
Total	$	2,276	$	2,415	$	2,565

Schedule of Income Tax Provision by Jurisdiction

The income tax provision for each fiscal year consists of the following:


	2026		2025		2024
	(In millions)
U.S. federal income taxes	$	356	$	432	$	447
State and local income taxes	99		104		125
Foreign income taxes	64		51		38
Total	$	519	$	587	$	610

Schedule of Income Tax Provision by Component

The current and deferred components of the income tax provisions for each fiscal year are as follows:


	2026		2025		2024
	(In millions)
Current	$	510	$	602	$	584
Deferred	9		(15)		26
Total	$	519	$	587	$	610

Schedule of Tax Rate Reconciliation

Reconciliations of the statutory federal income tax rate to the effective income tax rates for each fiscal year are as follows (dollars in millions):


	2026
	Amount		Percent
US federal statutory tax rate	$	478	21.0	%
State and local income tax, net of federal income tax effect (1)	78		3.4
Foreign tax effects
Luxembourg
Changes in valuation allowances	(26)		(1.1)
Other	25		1.1
Other foreign jurisdictions	18		0.8


Tax credits	(16)		(0.7)

Nontaxable or nondeductible items
Other	(17)		(0.8)
Changes in unrecognized tax benefits	7		0.3
Other	(28)		(1.2)
Effective tax rate	$	519	22.8	%

(1) State taxes in California, Florida, Illinois, Oregon, New York, Virginia and New Jersey for FY26 made up the majority (greater than 50%) of the tax effect in this category.


	2025		2024
U.S. statutory federal income tax rate	21.0	%	21.0	%
State and local income taxes, net of any applicable federal income tax benefit	3.4		3.9
Foreign income taxes	(1.1)		(1.0)
Uncertain tax positions	0.6		0.1
Tax benefit of equity-based compensation	0.2		0.1



Other	0.2		(0.3)
Effective income tax rate	24.3	%	23.8	%

Schedule of Cash Income Taxes Paid and Income Taxes Paid of Refunds Received

The following table sets forth the company’s non-cash investing and financing activities:


	Jun. 27, 2026		Jun. 28, 2025		Jun. 29, 2024
	(In millions)
Non-cash investing and financing activities:
Plant and equipment acquired through financing programs	$	154	$	281	$	402
Assets obtained in exchange for finance lease obligations	55		202		115

Cash income taxes paid, net of refunds received, consisted of the following:


	2026
	(in millions)
Federal	$	303
State	85
Foreign	89
Total	$	477

Income taxes paid, net of refunds exceeded 5% of total income taxes paid, net of refunds, in the following jurisdictions:


	2026
	(in millions)
United States (Federal)	$	303
Canada	60

Schedule of Components of Deferred Tax Assets and Liabilities

Significant components of Sysco’s deferred tax assets and liabilities are as follows:


	Jun. 27, 2026		Jun. 28, 2025
	(In millions)
Deferred tax assets:
Net operating tax loss carryforwards	$	578	$	595
Operating lease liabilities	356		291
Interest carryforwards	279		263
Pension	86		124
Receivables	58		56
Inventory	34		32
Share-based compensation	30		25
Deferred compensation	27		27

Other	110		74
Deferred tax assets before valuation allowances	1,558		1,487
Valuation allowances	(299)		(328)
Total deferred tax assets	1,259		1,159
Deferred tax liabilities:
Excess tax depreciation and basis differences of assets	394		286
Goodwill and intangible assets	388		384
Operating lease assets	345		282
Foreign currency remeasurement losses and currency hedge	27		1

Other	55		54
Total deferred tax liabilities	1,209		1,007
Total net deferred tax assets	$	50	$	152