Sysco announced a partnership with Beyond Oil Ltd., a food‑tech company that reduces health risks associated with fried food, on January 8 2026. The partnership will launch on January 16 2026, with training, pilots and co‑marketing initiatives scheduled for the first week of service.
The deal will begin through Sysco’s Los Angeles operating company, with system‑wide availability via SUPC 7461463. This arrangement gives Beyond Oil access to Sysco’s extensive network of restaurants, healthcare facilities and institutional customers, enabling rapid scale across the U.S. market.
The partnership aligns with Sysco’s “Recipe for Growth” strategy, which prioritizes expanding specialty categories and healthier, sustainable product lines. By adding a health‑focused product, Sysco can differentiate itself in a market where consumers and food‑service operators increasingly demand safer cooking solutions.
Sysco’s recent financial performance underscores the strategic fit. In Q1 FY2026, the company reported sales of $21.1 billion and adjusted EPS of $1.15, beating analyst expectations and reflecting strong demand in its core U.S. Foodservice Operations segment. Gross margin expanded to 18.5 % from 18.2 % in the prior quarter, driven by effective cost control and strategic sourcing.
CEO Kevin Hourican said the partnership “strengthens Sysco’s specialty portfolio and positions the company to meet growing demand for healthier cooking options.” CFO Kenny Cheung added that the partnership is part of a broader effort to grow revenue by 3 %–5 % in FY2026 while maintaining margin expansion.
The partnership is expected to generate incremental revenue and margin contribution as Beyond Oil’s product is adopted across Sysco’s network. The scalable distribution model, combined with Sysco’s pricing power and operational leverage, should allow the new product line to contribute to the company’s long‑term growth trajectory.
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