Sysco Corporation (SYY)
Current ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 11,043,000 | 10,608,000 | 10,483,200 | 10,733,600 | 12,348,200 |
| Total current liabilities | US$ in thousands | 9,241,000 | 8,540,000 | 8,750,050 | 7,319,840 | 6,717,850 |
| Current ratio | 1.20 | 1.24 | 1.20 | 1.47 | 1.84 |
June 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $11,043,000K ÷ $9,241,000K
= 1.20
Sysco Corporation's current ratio has been fluctuating over the past five years. The current ratio measures the company's ability to cover its short-term liabilities with its short-term assets. A current ratio above 1 indicates that the company has more current assets than current liabilities, which is generally favorable.
In the most recent year, as of June 30, 2024, Sysco Corporation had a current ratio of 1.20, which indicates that the company had just enough current assets to cover its current liabilities. This could potentially raise concerns about the company's liquidity position and its ability to meet short-term obligations.
Comparing this to the previous years, the current ratio has been trending downwards from 1.84 in June 2020 to 1.20 in June 2024. This declining trend raises questions about the efficiency of Sysco Corporation's current assets management and its ability to maintain liquidity.
It is important for investors and stakeholders to further evaluate the reasons behind the fluctuating current ratio and assess the company's overall financial health and liquidity position.
Peer comparison
Jun 30, 2024