Sysco Corp. (NYSE:SYY)

The annual financial data reveals significant fluctuations in current assets over the evaluated periods from mid-2019 through mid-2024. Both the reported current assets and adjusted current assets exhibit similar trends, indicating consistency between the reported figures and any adjustments made for analytical purposes.

Current Assets

Current assets increased markedly from approximately $8.1 billion in mid-2019 to a peak of about $12.3 billion in mid-2020. This growth suggests a buildup of liquid or near-liquid resources possibly reflecting operational or strategic changes. Following this peak, current assets declined to around $10.7 billion in mid-2021 and remained relatively stable with slight fluctuations through mid-2024, ending at approximately $11.0 billion. This pattern indicates a normalization after the significant increase in 2020.

Adjusted Current Assets

Adjusted current assets followed a parallel trajectory to reported current assets, rising from roughly $8.2 billion in 2019 to about $12.7 billion in 2020. Subsequent years saw a decrease to roughly $10.9 billion in 2021 and stabilization around the $10.5 to $11.1 billion range from 2022 onwards. The close alignment between reported and adjusted figures suggests that adjustments had a minimal impact on the overall trend.

Overall, the data indicates that the company experienced a significant increase in liquidity or short-term assets during 2020, likely influenced by external or internal factors. The subsequent moderation and stabilization of current assets through 2024 suggest a return to normal operating conditions or a strategic rebalancing of asset composition. The consistency between reported and adjusted figures reinforces the reliability of the current asset measurements during this period.

Total assets

The total assets exhibited a generally upward trend over the six-year period. Starting at 17,967 million USD in mid-2019, there was a significant increase to 22,628 million USD by mid-2020. This was followed by a slight decrease to 21,414 million USD in mid-2021. Subsequently, total assets rose steadily through mid-2022 to mid-2024, reaching 24,917 million USD, representing an overall increase of approximately 38.7% from 2019 to 2024.

Adjusted total assets

Adjusted total assets followed a similar trajectory to total assets. Beginning at 18,455 million USD in mid-2019, the figure increased to 22,769 million USD in 2020, then decreased slightly to 21,179 million USD in 2021. From 2021 onward, the adjusted total assets increased at a consistent rate, reaching 24,526 million USD by mid-2024. This signifies an overall growth of around 32.9% during the period, mirroring the trend seen in total assets but with slightly different base values and magnitudes.

Total liabilities

The total liabilities exhibit a notable upward trend over the six-year period. Starting from approximately 15.4 billion USD in mid-2019, liabilities increased sharply to over 21.4 billion USD by mid-2020. After reaching this peak, there was a slight decrease in the following years to around 19.8 billion USD in mid-2021, followed by gradual increases leading up to approximately 23 billion USD by mid-2024. This pattern indicates an overall growth in liabilities, with some fluctuations observed between 2020 and 2022.

Adjusted total liabilities

The adjusted total liabilities closely mirror the pattern of total liabilities, beginning at around 15.8 billion USD in mid-2019 and rising significantly to about 21.3 billion USD in mid-2020. After this peak, adjusted liabilities decreased moderately to roughly 19.7 billion USD in mid-2021 and then slightly fluctuated before increasing again to approximately 22.7 billion USD by mid-2024. The adjusted values consistently remain slightly higher than the total liabilities figures but follow a similar trajectory, suggesting consistent adjustments applied throughout the period.

Shareholders’ Equity Trend

The shareholders' equity shows a significant decline from 2019 to 2020, dropping from 2,503 million US dollars to 1,159 million US dollars. Following this sharp decrease, there is a moderate recovery in 2021, with equity increasing to 1,553 million US dollars. However, in 2022, equity decreases again to 1,382 million US dollars before rising substantially to 2,009 million US dollars in 2023. In the most recent period, 2024, there is a slight decline to 1,860 million US dollars.

Adjusted Shareholders’ Equity Trend

The adjusted shareholders’ equity follows a similar pattern to the reported shareholders’ equity. It decreases notably from 2,658 million US dollars in 2019 to 1,420 million US dollars in 2020. A marginal decrease is observed in 2021 with a value of 1,500 million US dollars, followed by a decline to 1,358 million US dollars in 2022. The figure increases significantly in 2023 to 1,970 million US dollars but then decreases slightly to 1,845 million US dollars in 2024.

Comparative Analysis

Throughout the observed periods, the adjusted shareholders’ equity values are consistently slightly higher than the reported shareholders’ equity values, indicating adjustments that affect equity positively, although both indicators move in parallel. The overall pattern shows volatility with substantial decreases in 2020 and 2022, followed by notable recoveries in 2021 and 2023. The most recent data in 2024 highlight a slight downturn after the previous year’s growth.

The financial data reveals several noteworthy trends over the examined periods in relation to debt, equity, and capital metrics.

Total Reported Debt

The total reported debt exhibits significant variability, increasing sharply from 8,163 million USD in mid-2019 to a peak of 14,447 million USD in mid-2020. Subsequently, it declines steadily over the next three periods, reaching 10,411 million USD by mid-2023, but then rises again to 11,982 million USD by mid-2024. This pattern suggests periods of increased leverage, followed by debt repayment or reduction efforts, and a recent reversal towards higher debt levels.

Shareholders’ Equity

Shareholders’ equity shows a contrasting trend. It declines sharply from 2,503 million USD in mid-2019 to 1,159 million USD in mid-2020, highlighting a potential decrease in net asset value or impact from losses or distributions. After mid-2020, equity demonstrates some recovery and volatility, increasing to 2,009 million USD by mid-2023 before a slight decrease to 1,860 million USD in mid-2024. Overall, equity levels remain below the starting point after the initial drop.

Total Reported Capital

Total reported capital, the sum of debt and equity, follows the general movements of these components. It rises from 10,666 million USD in mid-2019 to 15,605 million USD in mid-2020, then declines gradually through mid-2022, and increases modestly again through to mid-2024. This metric reflects changes in the company’s overall financing structure.

Adjusted Total Debt

The adjusted total debt mirrors the trend of the reported debt but at consistently higher values, starting at 8,704 million USD in mid-2019 and peaking at 15,078 million USD in mid-2020. A decline follows through mid-2023 to 11,166 million USD before an increase to 12,945 million USD in mid-2024. This suggests that certain debt adjustments or reclassifications contribute to a higher reported indebtedness under this measure.

Adjusted Shareholders’ Equity

Adjusted shareholders’ equity decreases sharply from 2,658 million USD in mid-2019 to 1,420 million USD in mid-2020, remaining relatively flat and slightly fluctuating in subsequent years, ending at 1,845 million USD in mid-2024. This indicates a similar underlying trend to the reported equity, with adjusted figures reflecting more conservative or comprehensive valuation methods that somewhat temper equity recovery.

Adjusted Total Capital

Adjusted total capital trends similarly to the reported total capital but at higher absolute amounts, starting at 11,362 million USD in mid-2019, reaching 16,498 million USD in mid-2020, and then decreasing and leveling off around 13,136 million USD in mid-2023 with a modest rise to 14,790 million USD by mid-2024. This suggests the company’s overall capital base, inclusive of adjustments, follows comparable cyclical patterns related to its financing activities.

In summary, the data indicates that the company underwent a significant increase in debt and a reduction in equity during the fiscal year ending mid-2020, possibly influenced by external economic factors or internal strategic decisions. Following this, there is a gradual deleveraging phase coupled with partial equity recovery, though not reaching pre-2020 equity levels. The adjusted financial figures maintain these trends but reflect higher absolute debt and capital values, pointing to adjustments in the reported data that affect the assessment of financial structure stability.

Net earnings

The net earnings demonstrate significant volatility over the examined periods. Starting from a high point of 1,674 million USD in 2019, there is a sharp decline to 215 million USD in 2020. Subsequently, the earnings recover progressively, reaching 524 million USD in 2021 and continuing upward to 1,359 million USD in 2022. The upward trend strengthens further in the following years, with net earnings peaking at 1,770 million USD in 2023 and 1,955 million USD in 2024. This pattern suggests resilience and an overall recovery trajectory after the notable dip in 2020.

Adjusted net earnings

Adjusted net earnings exhibit a somewhat parallel but less volatile trend compared to net earnings. In 2019, adjusted net earnings are at 1,360 million USD, similarly followed by a substantial drop to 220 million USD in 2020. From 2021 onwards, adjusted net earnings increase consistently, reaching 711 million USD, then 914 million USD in 2022. Notably, there is a substantial jump to 1,958 million USD in 2023, which slightly decreases to 1,903 million USD in 2024. This indicates strong underlying operational performance despite minor fluctuations, with adjusted net earnings in 2024 remaining significantly above pre-pandemic levels.

Overall trends and insights

The data reveals a considerable impact likely linked to external factors in 2020, reflected by the sharp declines in both net and adjusted net earnings. The recovery path post-2020 is robust, with both metrics ascending to historically high levels by 2023 and 2024. The slight divergence between net earnings and adjusted net earnings in the most recent years suggests that certain adjustments affecting net earnings may be present but do not materially alter the positive trend. The financial performance over this period demonstrates strong resilience and effective management of factors influencing earnings.