Sysco Corporation (SYY)
Cash ratio
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | — | 696,000 | 745,201 | 867,086 | 3,007,120 |
| Short-term investments | US$ in thousands | — | 1,182,000 | — | — | — |
| Total current liabilities | US$ in thousands | 9,916,000 | 9,241,000 | 8,540,430 | 8,750,050 | 7,319,840 |
| Cash ratio | 0.00 | 0.20 | 0.09 | 0.10 | 0.41 |
June 30, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($—K
+ $—K)
÷ $9,916,000K
= 0.00
The cash ratio for Sysco Corporation exhibits considerable fluctuations over the analyzed period from June 30, 2021, through June 30, 2025. As of June 30, 2021, the cash ratio stood at 0.41, indicating that Sysco held sufficient cash and cash equivalents to cover approximately 41% of its current liabilities, reflecting a relatively cautious liquidity position with a focus on liquidity safety.
However, by June 30, 2022, the cash ratio declined sharply to 0.10, suggesting a significant reduction in the proportion of current liabilities covered solely by cash and cash equivalents. This downward trend continued into June 30, 2023, with the ratio decreasing further to 0.09, which signals an even more strained immediate liquidity position in terms of available cash relative to current liabilities.
In the subsequent year, the cash ratio improved to 0.20 as of June 30, 2024, representing a notable increase from the prior year, although still remaining below the levels observed in 2021. This modest rise suggests some improvements in cash holdings relative to current liabilities, but the ratio remains below the generally comfortable threshold of 0.50, indicating ongoing liquidity management considerations.
By June 30, 2025, the cash ratio drops to 0.00, implying that the company's cash and cash equivalents were insufficient to cover any portion of its current liabilities solely through these liquid assets. This indicates a potential liquidity concern where the company may rely on other current assets or external financing sources to meet short-term obligations.
Overall, the pattern reflects a decline in the company's immediate liquidity position over the four-year period, with a brief partial recovery, but ending with a minimal cash cushion relative to current liabilities. These fluctuations could be aligned with strategic shifts, operational changes, or external economic factors influencing cash holdings and liquidity management strategies.
Peer comparison
Jun 30, 2025