ARMKAramark

Retail-Eating Places

Revenue: $18.5B; 6.4% YoY
Operating margin: 4.3%; 5.4% YoY
EBITDA: $1.3B; 11% YoY
Market cap: $14.2B
Employees: 278,390; $66K revenue each
Net debt / EBITDA: 4.4×; $5.6B net debt
AI in 10-K: 1.3; mentions per 10K words

Takeover score 0 of 13

Fixable underperformance 0 of 7

TSR below peersNo
—
3+ of last 5 years
High CEO pay despite TSRNo
—
Median CEO pay ≥ $15M while TSR trails
Earnings not backed by cashNo
282% of net income
Cash flow under 80% of net income
Dilutive SBCNo
0% of revenue
Over 10% of revenue
Payouts exceed cash flowNo
30% of cash flow
Buybacks + dividends over cash flow
Goodwill-heavyNo
36% of assets
Over 40% of assets
Shareholder dissentNo
98% lowest support
Any vote under 80% support

Buyer economics 0 of 4

Low revenue per employeeNo
$66K · 26th pct
Bottom quartile of its SIC industry
Quiet on AINo
1.3 per 10K words · 40th pct
Bottom quartile of AI mentions in 10-Ks
Net cashNo
4.4× EBITDA net debt
More cash than debt, positive EBITDA
Buyout-sizedNo
$14.2B market cap
Market cap $500M–$5B

Catalysts 0 of 2

Active 13DNo
0 filings
Active-intent 13D in 18 months
Net insider sellingNo
−$5M net
Net sales over $10M in 12 months

Financials

Metric	FY2021	FY2022	FY2023	FY2024	FY2025	YoY	Trend
Revenue	$12.1B	$13.7B	$16.1B	$17.4B	$18.5B	6.4%
Operating income	$191M	$415M	$625M	$707M	$792M	12%
Net income	−$91M	$194M	$674M	$263M	$326M	24%
Operating cash flow	$657M	$694M	$766M	$727M	$921M	27%
Capex	$408M	$312M	$384M	$427M	$489M	14%
Stock-based comp	$71M	$82M	$76M	$63M	$59M	6.2%
Buybacks	$0	$0	$24M	$14M	$170M	1080%
Dividends	$112M	$113M	$115M	$100M	$111M	11%

Deal filings

None.

13D filers

Filed	Filer	Form	Stake	Intent
Aug 10, 2023	Mantle Ridge LP	SC 13D/A	4.8%	Passive
Aug 1, 2023	Mantle Ridge LP	SC 13D/A	9.9%	Passive
May 26, 2023	Mantle Ridge LP	SC 13D/A	9.9%	Passive
Aug 16, 2022	Mantle Ridge LP	SC 13D/A	10.0%	Passive
Dec 16, 2020	Mantle Ridge LP	SC 13D/A	9.7%	Passive
Mar 13, 2020	Mantle Ridge LP	SC 13D/A	9.7%	Passive

Insider trading

Open-market buys, 12 mo: $0 · 0
Open-market sells, 12 mo: $5M · 4
Net: −$5M

Pay vs performance

No pay-versus-performance disclosure yet.