Pfizer Inc (PFE)
Solvency ratios
| Dec 31, 2024 | Sep 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 2.42 | 2.38 | 2.47 | 2.40 | 2.54 | 2.22 | 2.22 | 1.94 | 2.06 | 2.11 | 2.24 | 2.23 | 2.35 | 2.37 | 2.43 | 2.31 | 2.44 | 2.74 | 2.77 | 2.56 |
Based on the provided data, Pfizer Inc has consistently maintained a very low level of debt in relation to its assets, capital, and equity over the period from March 31, 2020, to December 31, 2024. The debt-to-assets ratio, debt-to-capital ratio, and debt-to-equity ratio have all been reported as 0.00% throughout this period, indicating that Pfizer's assets, capital, and equity are not significantly funded by debt.
Additionally, the financial leverage ratio has shown a declining trend from 2.56 in March 2020 to 2.42 in December 2024. This indicates that Pfizer's reliance on debt to finance its operations has decreased over time, reflecting a conservative financial structure and solid financial health.
Overall, the solvency ratios suggest that Pfizer Inc has a strong financial position with minimal reliance on debt, which bodes well for its long-term sustainability and ability to weather economic challenges.
Coverage ratios
| Dec 31, 2024 | Sep 30, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 3.60 | 2.28 | -0.41 | 0.43 | 1.59 | 6.82 | 16.88 | 26.87 | 29.03 | 27.85 | 26.62 | 22.38 | 18.82 | 13.54 | 9.21 | 6.46 | 5.01 | 5.52 | 10.51 | 11.11 |
Interest coverage is a financial ratio that measures a company's ability to pay interest expenses on its outstanding debt. It is calculated by dividing a company's earnings before interest and taxes (EBIT) by its interest expenses for a given period. A higher interest coverage ratio indicates a greater ability to meet interest obligations.
Analyzing Pfizer Inc's interest coverage ratio over the past few years, we observe a fluctuating trend. In March 2020, the interest coverage ratio was 11.11, indicating that Pfizer's earnings were 11.11 times greater than its interest expenses for that period. The ratio remained relatively stable around the 10-11 range until September 2020 when it started to decline.
From September 2020 to September 2021, Pfizer's interest coverage ratio decreased significantly, reaching a low of 5.01 in December 2020. This decline could indicate a strain on the company's ability to cover its interest payments with its earnings.
However, starting from March 2021, there was a notable improvement in Pfizer's interest coverage ratio, which continued to increase steadily. By December 2022, the ratio had reached 29.03, reflecting a strong ability to cover interest expenses with earnings.
In the subsequent periods, the interest coverage ratio began to decrease, falling to 0.43 in March 2024 and even turning negative (-0.41) by June 2024, suggesting potential challenges in meeting interest obligations during those periods.
Overall, Pfizer Inc's interest coverage ratio has shown variability over the analyzed timeframe, with periods of both strength and weakness. It is essential for investors and stakeholders to closely monitor this ratio to assess the company's financial health and its ability to manage debt obligations effectively.