Performance Food Group Co (PFGC)

Solvency ratios

	Dec 31, 2024	Sep 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
Debt-to-assets ratio	0.33	0.27	0.25	0.27	0.29	0.28	0.29	0.30	0.30	0.32	0.31	0.32	0.32	0.29	0.29	0.33	0.33	0.29	0.40	0.36
Debt-to-capital ratio	0.57	0.48	0.45	0.48	0.49	0.48	0.50	0.51	0.52	0.54	0.54	0.55	0.54	0.52	0.51	0.55	0.56	0.53	0.64	0.61
Debt-to-equity ratio	1.34	0.93	0.81	0.91	0.97	0.92	0.99	1.05	1.08	1.18	1.16	1.22	1.17	1.06	1.04	1.23	1.26	1.12	1.75	1.59
Financial leverage ratio	4.02	3.42	3.26	3.34	3.37	3.34	3.40	3.49	3.58	3.75	3.74	3.78	3.71	3.73	3.62	3.66	3.83	3.84	4.32	4.43

Performance Food Group Co's solvency ratios show the company's ability to meet its long-term financial obligations.

1. Debt-to-assets ratio has been relatively stable over the years, ranging from 0.25 to 0.40. This ratio indicates that around 27% to 40% of the company's assets are financed by debt.

2. Debt-to-capital ratio has shown some fluctuations but generally remained within the range of 0.45 to 0.64. This ratio reflects the proportion of the company's capital that is financed by debt, ranging from 45% to 64%.

3. Debt-to-equity ratio has exhibited a decreasing trend from 0.81 to 1.75 over the years, indicating a decrease in the reliance on debt financing relative to equity. This ratio signifies the amount of debt compared to equity in the company's capital structure.

4. Financial leverage ratio has also displayed a declining trend from 3.26 to 4.43, showing a reduction in the company's reliance on debt to support its operations. This ratio measures the extent to which the company uses debt in its capital structure.

Overall, Performance Food Group Co's solvency ratios suggest a relatively stable financial position with a moderate level of debt relative to assets, capital, and equity. The decreasing trend in debt-to-equity and financial leverage ratios indicates a gradual shift towards a stronger equity base and lower reliance on debt for funding its operations.

Coverage ratios

	Dec 31, 2024	Sep 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
Interest coverage	2.44	3.15	3.51	3.58	3.58	3.50	3.16	2.88	2.54	1.91	1.55	1.30	1.39	1.36	-0.65	-1.00	-0.95	-0.90	2.28	3.93

Performance Food Group Co's interest coverage ratio has shown fluctuations over the period analyzed.

The interest coverage ratio represents the company's ability to meet its interest payments on outstanding debt. A higher ratio indicates that the company is more capable of meeting its interest obligations.

From December 2019 to June 2020, the interest coverage ratio experienced a significant decline from 3.93 to -0.90. This indicates a potential inability to cover interest payments with operating income during this period.

However, from June 2020 onwards, the interest coverage ratio started to improve gradually, reaching a positive figure by June 2021. This suggests a better ability to cover interest expenses with operating income as the company's financial position strengthened.

By the end of December 2024, the interest coverage ratio had improved to 2.44, indicating a stronger ability to meet interest obligations compared to the earlier periods but still slightly below the level at the starting point.

Overall, the company's interest coverage ratio has shown variability but has trended towards improvement in recent periods, suggesting a better ability to service its debt and interest payments.