ARMK Aramark

Overview and Growth

In fiscal 2025, Aramark recorded $18.51B of revenue, net income of $326.39M, and an operating cash inflow of $921.03M. Revenue of $18.51B sets the scale for evaluating how effectively sales translated into profit and cash during the year. The top line expanded 6.4% from $17.40B in fiscal 2024, increasing the company’s operating scale. Diluted earnings per share were $1.22, translating the period’s attributable earnings into the amount reported for each diluted share. Diluted EPS increased by 23.2% from $0.99 in fiscal 2024, showing how the earnings change reached shareholders on a per-share basis. Revenue equaled 1.39x of total assets, indicating how much reported top-line activity the company produced relative to its period-end asset base.

Profitability

Gross profit was $1.55B, representing the portion of revenue remaining after the reported cost of revenue and before operating expenses. Gross margin was 8.4%, so that share of each revenue unit remained after the cost of revenue reported for the period. Operating income was $791.85M, the earnings remaining from reported operations after the company’s recognized operating cost structure. Operating margin measured 4.3%, showing the portion of revenue preserved after the full set of operating costs. Net income came to $326.39M, completing the progression from revenue through gross and operating profitability to the final reported result. Measured against reported revenue, net income produced a 1.8% margin after operating costs and the remaining recognized items. The earnings statement records $430.46M of pretax income, the profit base against which the reported tax provision can be assessed. Measured against revenue, pretax income equaled 2.3%, adding a pre-tax profitability layer between revenue and net income. The company recognized $103.59M of income tax for the period, completing the transition from pretax income to net income. Relative to pretax income, the tax provision measured 24.1%, quantifying the portion of pre-tax earnings paid in income tax.

Liquidity and Capital Structure

The company held $13.30B of assets against $10.14B of liabilities and $3.15B of equity, revealing how the asset base was financed. At period end, current assets of $3.52B compared with current liabilities of $3.55B, defining the company’s short-term resource position. The current ratio was 0.99x; current liabilities exceeded current assets, leaving a short-term liquidity deficit. Reported cash and equivalents were $639.10M, separating immediately recognizable cash resources from the rest of the current-asset base. Cash and equivalents represented 18.0% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. Relative to total assets, liabilities measured 76.2%, complementing the separate equity-based view of the company’s capital structure. The cash-to-assets relationship was 4.8%, comparing reported cash and equivalents with the full positive asset balance. Total assets were 5.0% higher than fiscal 2024 assets of $12.67B, measuring the company’s own balance-sheet change.

Cash Flow and Earnings Quality

Cash flow from operations was $921.03M, a reported cash inflow that can be compared directly with net income and capital spending. Operating cash flow equaled 2.82x of net income, showing how strongly accounting earnings converted into cash from operations. Capital spending was $489.24M, absorbing part of the cash generated from operations before free cash flow. Relative to operating cash flow, capital expenditures measured 53.1%, connecting investment intensity with the company’s cash-generation base. After capital spending, free cash flow was $431.80M, leaving cash available for debt reduction, shareholder returns, or further investment. Relative to revenue, free cash flow equaled 2.3%, showing how much sales converted into cash after investment. Free cash flow equaled 3.2% of total assets, relating post-investment cash generation to the company’s resource base.

Based on the annual report for the fiscal year ending Oct 3, 2025. Analysis generated Oct 21, 2026.