Aramark Files 10-Q for Period Ending December 29, 2023

TL;DR

Aramark's 10-Q filing provides a detailed financial snapshot for Q1 FY2024, highlighting balance sheet figures and segment costs.

AI Summary

Aramark (ARMK) filed a Quarterly Report (10-Q) with the SEC on February 6, 2024. Aramark reported financial results for the first quarter of fiscal year 2024, ending December 29, 2023. The filing includes detailed balance sheet information as of December 29, 2023, and September 29, 2023. Key financial statement components such as common stock, capital surplus, retained earnings, and accumulated other comprehensive income are presented for comparative periods. The report also references specific cost of services provided for various segments, including Food and Support Services International and United States, for the quarter ended December 30, 2022. Details on deferred income taxes and other noncurrent liabilities related to the CARES Act are provided for the period from October 1, 2022, to September 29, 2023.

Why It Matters

For investors and stakeholders tracking Aramark, this filing contains several important signals. This filing offers investors a clear view of Aramark's financial health and operational costs during the first quarter of fiscal year 2024. Understanding these specific financial details allows for a more informed assessment of the company's performance and potential future trends.

Risk Assessment

Risk Level: medium — Aramark shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q), which typically contains detailed financial information but does not usually include significant new strategic announcements or forward-looking guidance that would drastically alter risk perception.

Analyst Insight

Review the detailed balance sheet and segment cost data to understand the company's financial position and operational efficiency in Q1 FY2024.

Key Numbers

• 2023-12-29 — Conformed Period of Report (Fiscal period end date)
• 2024-02-06 — Filed As Of Date (Date of filing)
• 2023-09-30 — Previous Balance Sheet Date (Prior period balance sheet date)
• 2022-12-30 — Prior Year Quarter End (End date of the comparable prior year quarter)

Key Players & Entities

• Aramark (company) — Filer name
• 2023-12-29 (date) — Conformed period of report
• 2024-02-06 (date) — Filed as of date
• 2400 MARKET STREET (address) — Business address
• PHILADELPHIA (city) — Business address city
• PA (state) — Business address state
• 19103 (zip_code) — Business address zip
• 215-238-3000 (phone) — Business phone

Forward-Looking Statements

• Aramark will continue to show stable or increasing retained earnings in upcoming quarters. (Aramark) — medium confidence, target: 2024-09-27

FAQ

Industry Context

Aramark operates in the food and facilities services industry, providing services to businesses, healthcare facilities, educational institutions, and sports and entertainment venues.

Regulatory Implications

As a publicly traded company, Aramark is subject to the reporting requirements of the Securities and Exchange Commission (SEC), including the filing of quarterly (10-Q) and annual (10-K) reports.

What Investors Should Do

1. Analyze the balance sheet changes between Q4 FY2023 and Q1 FY2024.
2. Examine the cost of services provided for different segments to identify any significant trends or variances.
3. Compare current quarter financial data with the prior year's comparable quarter for performance analysis.

Key Dates

• 2023-12-29: Quarterly Period End — End of the reporting period for the 10-Q filing.
• 2024-02-06: Filing Date — Date the 10-Q report was officially submitted to the SEC.

Year-Over-Year Comparison

This filing represents the first quarterly report for fiscal year 2024, providing updated financial data compared to the previous fiscal year's filings.

Key Financial Figures

• $0.01 — ch Registered Common Stock, par value $0.01 per share ARMK New York Stock Exchang

Filing Documents

• cik0-20231229.htm (10-Q) — 928KB
• ex311q12024.htm (EX-31.1) — 9KB
• ex312q12024.htm (EX-31.2) — 9KB
• ex321q12024.htm (EX-32.1) — 7KB
• cik0-20231229_g1.jpg (GRAPHIC) — 208KB
• 0001584509-24-000047.txt ( ) — 7087KB
• cik0-20231229.xsd (EX-101.SCH) — 51KB
• cik0-20231229_cal.xml (EX-101.CAL) — 102KB
• cik0-20231229_def.xml (EX-101.DEF) — 274KB
• cik0-20231229_lab.xml (EX-101.LAB) — 722KB
• cik0-20231229_pre.xml (EX-101.PRE) — 493KB
• cik0-20231229_htm.xml (XML) — 757KB

- Financial Information

PART I - Financial Information Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) 1 Condensed Consolidated Balance Sheets 1 Condensed Consolidated Statements of Income 2 Condensed Consolidated Statements of Comprehensive Income 3 Condensed Consolidated Statements of Cash Flows 4 Condensed Consolidated Statements of Stockholders' Equity 6 Notes to Condensed Consolidated Financial Statements 7 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 19 Item 3. Quantitative and Qualitative Disclosure About Market Risk 27 Item 4.

Controls and Procedures

Controls and Procedures 27

- Other Information

PART II - Other Information Item 1.

Legal Proceedings

Legal Proceedings 28 Item 1A.

Risk Factors

Risk Factors 28 Item 2. Unregistered Sales of Equity Securities, Use of Proceeds, and Issuer Purchases of Equity Securities 28 Item 3. Defaults Upon Senior Securities 28 Item 4. Mine Safety Disclosures 28 Item 5. Other Information 28 Item 6. Exhibits 28 Table of Contents Special Note About Forward-Looking Statements This report contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements reflect our current expectations as to future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. These statements include, but are not limited to, statements related to our expectations regarding the performance of our business, our financial results, our operations, our liquidity and capital resources, the conditions in our industry and our growth strategy. In some cases, forward-looking statements can be identified by words such as "outlook," "aim," "anticipate," "have confidence," "estimate," "expect," "will be," "will continue," "will likely result," "project," "intend," "plan," "believe," "see," "look to" and other words and terms of similar meaning or the negative versions of such words. These forward-looking statements are subject to risks and uncertainties that may change at any time, and actual results or outcomes may differ materially from those that we expected. Some of the factors that we believe could affect or continue to affect our results include without limitation: unfavorable economic conditions; natural disasters, global calamities, climate change, pandemics, energy shortages, sports strikes and other adverse incidents; geopolitical events including, but not limited to, the ongoing conflict between Russia and Ukraine and the growing conflict in the Middle East, global supply chain disruptions, inflation, volatility and disruption of global financial markets; the failure to retain current client

Financial Statements

Item 1. Financial Statements ARAMARK AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (in thousands, except share amounts) December 29, 2023 September 29, 2023 ASSETS Current Assets: Cash and cash equivalents $ 295,597 $ 1,927,088 Receivables (less allowances: $ 36,836 and $ 31,506 ) 2,198,781 1,970,782 Inventories 367,614 403,707 Prepayments and other current assets 305,428 297,519 Current assets of discontinued operations — 620,931 Total current assets 3,167,420 5,220,027 Property and Equipment, net 1,490,475 1,425,973 Goodwill 4,661,018 4,615,986 Other Intangible Assets 1,824,457 1,804,473 Operating Lease Right-of-use Assets 597,965 572,268 Other Assets 678,114 728,678 Noncurrent Assets of Discontinued Operations — 2,503,836 $ 12,419,449 $ 16,871,241 LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities: Current maturities of long-term borrowings $ 41,513 $ 1,543,032 Current operating lease liabilities 50,178 51,271 Accounts payable 1,096,193 1,271,859 Accrued payroll and related expenses 367,339 479,827 Accrued expenses and other current liabilities 934,191 1,288,454 Current liabilities of discontinued operations — 395,524 Total current liabilities 2,489,414 5,029,967 Long-Term Borrowings 5,930,220 5,098,662 Noncurrent Operating Lease Liabilities 244,420 245,871 Deferred Income Taxes 399,901 410,935 Other Noncurrent Liabilities 500,728 503,129 Noncurrent Liabilities of Discontinued Operations — 1,861,735 Commitments and Contingencies (see Note 11) Redeemable Noncontrolling Interests 8,132 8,224 Stockholders' Equity: Common stock, par value $ 0.01 (authorized: 600,000,000 shares; issued: 302,432,929 shares and 301,069,012 shares; and outstanding: 262,368,455 shares and 261,450,373 shares) 3,024 3,011 Capital surplus 3,847,489 3,825,620 Retained earnings 79,299 964,158 Accumulated other comprehensive loss ( 89,011 ) ( 98,237 ) Treasury stock (shares held in treasury: 40,064,474 shares and 39,618,639

View Full Filing

View this 10-Q filing on SEC EDGAR