SY

Sysco Corporation stock research

Jun 29, 2024

FY2024 Q4

Sysco (SYY) Gross Margin — Quarter Ended Jun 29, 2024

Revenue increased compared to the prior quarter and the same quarter last year, while gross profit also rose. Cost of revenue grew, but the gross margin improved slightly from the previous quarter and remained stable relative to the year-ago period.

Gross margin takeaway

Quarter ended Jun 29, 2024 · FY2024 Q4

Revenue increased compared to the prior quarter and the same quarter last year, while gross profit also rose. Cost of revenue grew, but the gross margin improved slightly from the previous quarter and remained stable relative to the year-ago period.

  • The strongest observable driver was the relationship between revenue and cost of revenue, where revenue growth outpaced cost growth, resulting in a modest gross margin improvement.
  • Compared to the immediately preceding quarter, gross margin was higher; compared to the same quarter one year earlier, gross margin was unchanged.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

18.7%

Gross profit

$3.8B

Revenue

$20.6B

Cost of revenue

$16.7B

Quarter-over-quarter change

+0.0 pts

Year-over-year change

-0.0 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Sep 30, 2023$19.6B$3.6B$16.0B18.6%
Dec 30, 2023$19.3B$3.5B$15.8B18.2%
Mar 30, 2024$19.4B$3.6B$15.8B18.6%
Jun 29, 2024$20.6B$3.8B$16.7B18.7%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Mar 30, 2024

+0.0 pts

Year-over-year change

Jul 1, 2023

-0.0 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The strongest observable driver was the relationship between revenue and cost of revenue, where revenue growth outpaced cost growth, resulting in a modest gross margin improvement.

Compared to the immediately preceding quarter, gross margin was higher; compared to the same quarter one year earlier, gross margin was unchanged.

Monitor the company’s inventory management practices and supplier discount capture, as noted in the filing, which may influence future cost of revenue.