Papa John's International Inc (PZZA)
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Debt-to-equity ratio | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Financial leverage ratio | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
The solvency ratios of Papa John's International Inc show a consistently low level of leverage and debt over the period provided. The Debt-to-assets ratio has remained at 0.00 throughout the period, indicating that the company's total assets are entirely financed by equity rather than debt.
The Debt-to-capital, Debt-to-equity, and Financial leverage ratios are not available for the period provided, suggesting that the company has not utilized debt significantly in its capital structure. This conservative approach to leverage indicates a strong solvency position, as the company has a lower risk of financial distress due to its low debt levels.
Overall, based on the solvency ratios, Papa John's International Inc appears to have a solid financial position with minimal reliance on debt for financing its operations.
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 | 3.90 | 4.02 | 3.22 | 3.38 | 3.41 | 3.66 | 3.70 | 4.46 | 4.38 | 4.57 | 6.39 | 7.64 | 9.95 | 10.27 | 9.43 | 8.28 | 5.81 | 4.26 | 2.90 | 1.84 |
Based on the data provided, the interest coverage ratio of Papa John's International Inc has shown fluctuations over the years. The interest coverage ratio measures the company's ability to meet its interest obligations with its operating income.
In March 2020, the interest coverage ratio was 1.84, indicating that the company's operating income was just sufficient to cover its interest expense. However, the ratio gradually improved over the following quarters, reaching its highest point of 10.27 in September 2021. This improvement suggests that Papa John's was generating more operating income relative to its interest expenses during this period.
Subsequently, the interest coverage ratio began to decrease, dropping to 3.41 by December 2023. This decline may indicate a decrease in the company's ability to cover its interest payments with its operating income. By the end of December 2024, the interest coverage ratio stood at 3.90, still showing a reasonable ability to cover interest expenses.
Overall, while the interest coverage ratio of Papa John's International Inc has shown fluctuations, it has generally remained at levels that suggest the company has been able to meet its interest obligations effectively. Investors and creditors often look at this ratio to assess the company's financial health and its ability to handle debt payments.