Sysco Corporation (SYY)
Profitability ratios
Return on sales
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 18.53% | 18.28% | 17.95% | 18.24% | 18.72% |
| Operating profit margin | 4.06% | 3.98% | 3.42% | 2.82% | 1.42% |
| Pretax margin | 3.25% | 2.99% | 2.54% | 1.14% | 0.55% |
| Net profit margin | 2.48% | 2.32% | 1.98% | 1.02% | 0.41% |
Sysco Corporation's profitability ratios show a consistent trend of improvement over the past five years. The gross profit margin has been relatively stable, ranging from 17.95% to 18.53%, indicating efficient management of production costs.
The operating profit margin has shown a steady increase from 1.42% in 2020 to 4.06% in 2024, reflecting the company's ability to control operating expenses and generate operating income effectively.
Similarly, the pretax margin and net profit margin have exhibited significant growth, increasing from 0.55% to 3.25% and from 0.41% to 2.48%, respectively, over the same period. This demonstrates Sysco's success in managing its pre-tax profits and net income relative to its total revenue.
Overall, Sysco Corporation's profitability ratios indicate an improvement in its operational efficiency and overall financial performance over the past five years, showcasing a positive trajectory for the company.
Return on investment
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 12.85% | 13.32% | 10.62% | 6.76% | 3.31% |
| Return on assets (ROA) | 7.85% | 7.76% | 6.15% | 2.45% | 0.95% |
| Return on total capital | 172.15% | 151.25% | 169.76% | 93.19% | 64.69% |
| Return on equity (ROE) | 105.11% | 88.10% | 98.30% | 33.76% | 18.60% |
Sysco Corporation's profitability ratios have shown a generally positive trend over the past five years. The Operating Return on Assets (Operating ROA) has steadily increased from 3.31% in 2020 to 12.85% in 2024, indicating an improvement in the company's ability to generate operating profits from its assets. This suggests that Sysco has been able to effectively utilize its assets to generate operating income.
Similarly, the Return on Assets (ROA) has also shown an upward trajectory, reaching 7.85% in 2024, which reflects the company's efficiency in generating profits relative to its total assets. The Return on Total Capital has experienced significant fluctuations but has generally trended upwards, reaching 172.15% in 2024. This indicates that Sysco has been generating high returns on its total capital, which includes both debt and equity financing.
The Return on Equity (ROE) has shown a remarkable improvement, increasing from 18.60% in 2020 to 105.11% in 2024. This indicates that Sysco has been able to generate significant returns for its shareholders based on their equity investment in the company.
Overall, Sysco Corporation's profitability ratios demonstrate an improving trend, with the company showing enhanced efficiency in generating profits from its assets and capital over the past five years.