Sysco Corporation (SYY)
Interest coverage
| Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 3,202,000 | 3,195,068 | 3,167,199 | 3,107,798 | 3,041,017 | 2,838,335 | 2,639,887 | 2,444,154 | 2,339,035 | 2,142,004 | 1,882,192 | 1,649,345 | 1,437,242 | 335,978 | 160,335 | 500,766 | 749,505 | 2,001,615 | 2,470,926 | 2,370,328 |
| Interest expense (ttm) | US$ in thousands | 19,000 | 29,597 | 29,723 | 30,040 | 30,921 | 27,670 | 28,112 | 28,669 | 28,811 | 26,614 | 28,007 | 28,962 | 29,939 | 28,113 | 22,620 | 17,455 | 17,003 | 13,513 | 17,897 | 21,314 |
| Interest coverage | 168.53 | 107.95 | 106.56 | 103.46 | 98.35 | 102.58 | 93.91 | 85.25 | 81.19 | 80.48 | 67.20 | 56.95 | 48.01 | 11.95 | 7.09 | 28.69 | 44.08 | 148.13 | 138.06 | 111.21 |
June 30, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $3,202,000K ÷ $19,000K
= 168.53
Sysco Corporation's interest coverage ratio has varied over the past few quarters. The trend shows fluctuations in the company's ability to cover its interest expenses with operating income.
In the most recent quarter, ending June 30, 2024, the interest coverage ratio was 168.53, indicating a strong ability to meet interest obligations. This was an improvement compared to the previous quarter where the ratio was 107.95.
Looking further back, there was a consistent improvement in interest coverage from September 2021 to June 2022, with ratios gradually increasing. However, there was a significant drop in interest coverage in the last quarter of 2022, and this downward trend continued into early 2023.
Although the ratio rebounded in the second quarter of 2023, reaching 102.58, it experienced another decline in the following periods until the recent recovery in June 2024.
Overall, the interest coverage ratio for Sysco Corporation has shown volatility in recent quarters, with fluctuations impacting the company's ability to cover interest expenses. It is essential for investors and stakeholders to monitor this metric closely to assess the company's financial health and leverage levels.
Peer comparison
Jun 30, 2024