Aramark Stock Earnings Reports

Aramark reported strong fiscal Q2 results driven by broad-based organic revenue growth (12% YoY, $4.8B) and improved profitability. Key operational highlights include: >98% client retention, record-level net new business wins (~$1B year-to-date with the company on track vs. last year's $1.6B), robust performance across FSS U.S. and International segments, and strength in Sports & Entertainment, Workplace Experience, Healthcare and Refreshments. Management announced a new strategic initiative, Aramark Nexus, to serve hyperscale AI data centers and related construction workforce needs — an asset-light, integrated hospitality/workforce solution that management expects to deliver margins above the company average and sizable long-term revenue potential (initial multiyear engagement with a top hyperscaler). Financials: operating income improved (GAAP operating income $220M, adjusted operating income $258M; AOI margins +50 bps), adjusted EPS $0.49 (+40% YoY on constant currency), strong cash generation (Q2 operating cash flow $400M; free cash flow $305M). The company returned capital through $194M of buybacks to date and repaid $55M of term loans; liquidity remains >$1.4B. Management raised the FY26 organic revenue guidance to the high end of the prior 7–9% range and reaffirmed AOI growth of +12–17% and adjusted EPS growth of +20–25%, while not yet embedding Nexus ramp into FY26 guidance. Management emphasized disciplined execution, continued margin expansion, and significant upside potential from hyperscale data center opportunities that are expected to scale over several years.