Flowers Foods Inc (FLO)

Solvency ratios

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Oct 7, 2023 Sep 30, 2023 Jul 15, 2023 Jun 30, 2023 Apr 22, 2023 Mar 31, 2023 Dec 31, 2022 Oct 8, 2022 Sep 30, 2022 Jun 30, 2022 Apr 23, 2022 Mar 31, 2022 Dec 31, 2021 Oct 9, 2021 Sep 30, 2021
Debt-to-assets ratio 0.00 0.00 0.00 0.00 0.00 0.30 0.00 0.31 0.00 0.31 0.00 0.00 0.27 0.00 0.00 0.27 0.00 0.00 0.27 0.00
Debt-to-capital ratio 0.00 0.00 0.00 0.00 0.00 0.43 0.00 0.42 0.00 0.42 0.00 0.00 0.38 0.00 0.00 0.38 0.00 0.00 0.39 0.00
Debt-to-equity ratio 0.00 0.00 0.00 0.00 0.00 0.75 0.00 0.73 0.00 0.73 0.00 0.00 0.62 0.00 0.00 0.61 0.00 0.00 0.63 0.00
Financial leverage ratio 2.41 2.44 2.48 2.49 2.54 2.50 2.50 2.38 2.38 2.38 2.38 2.30 2.33 2.33 2.31 2.28 2.28 2.31 2.35 2.35

Flowers Foods Inc has shown a stable solvency position over the past few years, as indicated by its debt-related ratios. The debt-to-assets ratio remained consistently low, fluctuating between 0.00 and 0.31, suggesting the company's ability to finance its assets primarily through equity rather than debt.

Similarly, the debt-to-capital ratio also exhibited a low and steady trend, varying from 0.00 to 0.43, indicating modest reliance on debt financing in relation to total capital. This suggests a healthy balance between debt and equity in the company's capital structure.

The debt-to-equity ratio followed a similar pattern, remaining below 0.75 during the period under review. This indicates that Flowers Foods Inc finances a relatively small portion of its operations through debt in comparison to equity, reducing financial risk and enhancing long-term stability.

Furthermore, the financial leverage ratio, which measures the extent of a company's debt financing in relation to its equity, showed a slight increasing trend over time, reaching a peak of 2.54 by December 31, 2023. While this suggests a gradual increase in leverage, the ratio remained within reasonable limits, indicating a manageable level of debt relative to equity.

Overall, the solvency ratios of Flowers Foods Inc demonstrate a prudent approach to capital structure management, with a focus on maintaining a healthy balance between debt and equity to support long-term financial stability and growth.


Coverage ratios

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Oct 7, 2023 Sep 30, 2023 Jul 15, 2023 Jun 30, 2023 Apr 22, 2023 Mar 31, 2023 Dec 31, 2022 Oct 8, 2022 Sep 30, 2022 Jun 30, 2022 Apr 23, 2022 Mar 31, 2022 Dec 31, 2021 Oct 9, 2021 Sep 30, 2021
Interest coverage 9.86 10.82 6.31 1.66 1.32 2.51 7.10 10.85 13.32 11.10 14.21 25.29 16.60 17.96 17.81 13.70 12.50 11.80 10.48 10.37

Flowers Foods Inc's interest coverage ratio has shown fluctuations over the past few years. The interest coverage ratio measures the company's ability to meet interest payments on its debt obligations. A higher interest coverage ratio indicates a stronger ability to cover interest expenses.

As of December 31, 2024, Flowers Foods Inc had an interest coverage ratio of 9.86, indicating that the company generated operating income 9.86 times more than the interest expenses incurred during that period. This suggests a reasonable ability to cover interest payments.

However, it is essential to note the trend in the interest coverage ratio over time. The ratio peaked at 25.29 on December 31, 2022, suggesting a significant improvement in the company's ability to cover interest costs. Subsequently, there was a decline in the ratio, reaching 1.32 by December 31, 2023, indicating a potential strain on the company's ability to meet interest obligations.

The interest coverage ratio improved to 10.82 as of September 30, 2024, indicating a recovery in the company's ability to cover interest expenses compared to the previous year. It is crucial for investors and creditors to closely monitor the interest coverage ratio to assess Flowers Foods Inc's financial health and ability to meet its debt obligations in the long term.