Philadelphia, PA, November 25, 2025
Aramark has announced impressive results for fiscal 2025, achieving an annual revenue of $18.51 billion, a 6% increase from the prior year. This growth is fueled by new business wins and higher client retention rates, reflecting the strength of Philadelphia’s economy. The company anticipates continued growth in the upcoming fiscal year, showcasing its resilience and innovation in a competitive landscape.
Aramark Reports Strong Fiscal 2025 Performance
New Business Wins Drive Revenue Growth in Philadelphia
Philadelphia, PA – Aramark (NYSE: ARMK) has announced impressive results for fiscal 2025, showcasing its ability to navigate the complexities of the business landscape with resilience and innovation. The company recorded an annual revenue of $18.51 billion, which represents a commendable 6% increase from the prior year. These figures not only signal the strength of one of Philadelphia’s key business players but also reflect an encouraging trend in the local economy, as companies demonstrate their capacity to adapt and thrive amid challenges.
The substantial revenue growth can be attributed to a combination of robust new business acquisitions and improved client retention rates. As small businesses and entrepreneurial ventures continue to shape Philadelphia’s economy, the successes of larger firms like Aramark serve as a compass for future growth opportunities within the region.
Financial Highlights
- Annual Revenue: $18.51 billion, a 6% increase from the previous year.
- Fourth-Quarter Revenue: $5.05 billion, up 14% year-over-year.
- Adjusted Earnings Per Share (EPS): $1.82 for the full year, a 19% increase; $0.57 in the fourth quarter, a 6% increase.
- Free Cash Flow: $454 million, a 41% increase compared to the prior year.
Operational Achievements
Aramark’s operational accomplishments further reinforce its commitment to excellence in service delivery and customer satisfaction. In fiscal 2025, the company achieved:
- New Business Wins: Annualized gross new business of $1.6 billion, a 12% increase from fiscal 2024.
- Client Retention Rate: 96.3%, which significantly contributed to a 5.6% net new business growth.
- Leverage Ratio: Improved to 3.25x, the lowest since 2007.
Strategic Initiatives
A look at Aramark’s strategic maneuvers reveals a forward-thinking approach that prioritizes long-term financial health and shareholder value. Key initiatives noted include:
- Debt Management: Aramark successfully repaid $552 million of Senior Notes and refinanced $839 million of term loans, thereby enhancing financial flexibility.
- Share Repurchase Program: Over 4 million shares were repurchased, a clear indication of management’s confidence in future growth.
- Dividend Increase: A 14% increase in quarterly dividends underscores the company’s commitment to returning value to its shareholders.
Fiscal 2026 Outlook
Looking ahead, Aramark is optimistic about its growth trajectory. The company’s projections for fiscal 2026 include:
- Organic Revenue Growth: Expected to be between 7% and 9%.
- Adjusted EPS Growth: Projected increase of 20% to 25%.
- Leverage Ratio Target: Aiming to reach approximately 3.0x by year-end.
Overall, the strong performance exhibited by Aramark in fiscal 2025 highlights its strategic focus on acquiring new business, retaining clients, and operated efficiently. As Philadelphia continues to develop as a hub of innovation and entrepreneurship, the success of Aramark can act as a beacon for other businesses looking to thrive in a competitive landscape.
Frequently Asked Questions (FAQ)
What was Aramark’s annual revenue for fiscal 2025?
Aramark’s annual revenue for fiscal 2025 was $18.51 billion, a 6% increase from the previous year.
How did Aramark perform in the fourth quarter of fiscal 2025?
In the fourth quarter of fiscal 2025, Aramark reported revenue of $5.05 billion, a 14% increase year-over-year, and an adjusted EPS of $0.57, a 6% increase.
What were Aramark’s key operational achievements in fiscal 2025?
Aramark achieved annualized gross new business of $1.6 billion, a 12% increase from fiscal 2024, and maintained a client retention rate of 96.3%, contributing to a 5.6% net new business growth.
What is Aramark’s outlook for fiscal 2026?
Aramark projects organic revenue growth between 7% and 9%, adjusted EPS growth of 20% to 25%, and aims to achieve a leverage ratio of approximately 3.0x by year-end fiscal 2026.
Key Features of Aramark’s Fiscal 2025 Performance
| Metric | Fiscal 2025 | Change from Previous Year |
|---|---|---|
| Annual Revenue | $18.51 billion | +6% |
| Fourth-Quarter Revenue | $5.05 billion | +14% |
| Adjusted EPS (Full Year) | $1.82 | +19% |
| Adjusted EPS (Q4) | $0.57 | +6% |
| Free Cash Flow | $454 million | +41% |
| Annualized Gross New Business | $1.6 billion | +12% |
| Client Retention Rate | 96.3% | +5.6% net new business growth |
| Leverage Ratio | 3.25x | Lowest since 2007 |
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Author: STAFF HERE PHILADELPHIA WRITER
The PHILADELPHIA STAFF WRITER represents the experienced team at HEREPhiladelphia.com, your go-to source for actionable local news and information in Philadelphia, Philadelphia County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Mummers Parade, Philadelphia Flower Show, and Thanksgiving Day Parade. Our coverage extends to key organizations like the Greater Philadelphia Chamber of Commerce and United Way of Greater Philadelphia, plus leading businesses in telecommunications, food services, and healthcare that power the local economy such as Comcast, Aramark, and Children's Hospital of Philadelphia. As part of the broader HERE network, we provide comprehensive, credible insights into Pennsylvania's dynamic landscape.
