Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Dollar General Corp., solvency ratios
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Dollar General Corp. debt to equity ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Dollar General Corp. debt to equity ratio (including operating lease liability) deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Dollar General Corp. debt to capital ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Dollar General Corp. debt to capital ratio (including operating lease liability) deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Dollar General Corp. debt to assets ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Dollar General Corp. debt to assets ratio (including operating lease liability) deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Dollar General Corp. financial leverage ratio increased from 2022 to 2023 but then slightly decreased from 2023 to 2024 not reaching 2022 level. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Dollar General Corp. interest coverage ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Dollar General Corp. fixed charge coverage ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Debt to Equity
Dollar General Corp., debt to equity calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current portion of long-term obligations | 768,645) | —) | —) | —) | 555) | 1,950) | |
| Long-term obligations, excluding current portion | 6,231,539) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,438) | 2,862,740) | |
| Total debt | 7,000,184) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,993) | 2,864,690) | |
| Shareholders’ equity | 6,749,119) | 5,541,772) | 6,261,986) | 6,661,238) | 6,702,500) | 6,417,393) | |
| Solvency Ratio | |||||||
| Debt to equity1 | 1.04 | 1.26 | 0.67 | 0.62 | 0.43 | 0.45 | |
| Benchmarks | |||||||
| Debt to Equity, Competitors2 | |||||||
| Costco Wholesale Corp. | 0.31 | 0.31 | 0.40 | 0.49 | 0.45 | 0.48 | |
| Target Corp. | 1.19 | 1.44 | 1.07 | 0.88 | 0.97 | 1.00 | |
| Walmart Inc. | 0.56 | 0.58 | 0.51 | 0.60 | 0.73 | 0.80 | |
| Debt to Equity, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 0.61 | 0.55 | 0.62 | 0.71 | 0.77 | |
| Debt to Equity, Industry | |||||||
| Consumer Staples | — | 1.39 | 1.27 | 1.29 | 1.47 | 1.38 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Debt to equity = Total debt ÷ Shareholders’ equity
= 7,000,184 ÷ 6,749,119 = 1.04
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Dollar General Corp. debt to equity ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
Debt to Equity (including Operating Lease Liability)
Dollar General Corp., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current portion of long-term obligations | 768,645) | —) | —) | —) | 555) | 1,950) | |
| Long-term obligations, excluding current portion | 6,231,539) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,438) | 2,862,740) | |
| Total debt | 7,000,184) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,993) | 2,864,690) | |
| Current portion of operating lease liabilities | 1,387,083) | 1,288,939) | 1,183,559) | 1,074,079) | 964,805) | —) | |
| Long-term operating lease liabilities, excluding current portion | 9,703,499) | 9,362,761) | 8,890,709) | 8,385,388) | 7,819,683) | —) | |
| Total debt (including operating lease liability) | 18,090,766) | 17,661,099) | 14,246,336) | 13,590,442) | 11,696,481) | 2,864,690) | |
| Shareholders’ equity | 6,749,119) | 5,541,772) | 6,261,986) | 6,661,238) | 6,702,500) | 6,417,393) | |
| Solvency Ratio | |||||||
| Debt to equity (including operating lease liability)1 | 2.68 | 3.19 | 2.28 | 2.04 | 1.75 | 0.45 | |
| Benchmarks | |||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | |||||||
| Costco Wholesale Corp. | 0.42 | 0.42 | 0.53 | 0.65 | 0.61 | 0.48 | |
| Target Corp. | 1.46 | 1.70 | 1.28 | 1.05 | 1.18 | 1.19 | |
| Walmart Inc. | 0.73 | 0.77 | 0.69 | 0.78 | 0.97 | 0.80 | |
| Debt to Equity (including Operating Lease Liability), Sector | |||||||
| Consumer Staples Distribution & Retail | — | 0.78 | 0.73 | 0.79 | 0.93 | 0.79 | |
| Debt to Equity (including Operating Lease Liability), Industry | |||||||
| Consumer Staples | — | 1.53 | 1.41 | 1.42 | 1.64 | 1.41 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Shareholders’ equity
= 18,090,766 ÷ 6,749,119 = 2.68
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Dollar General Corp. debt to equity ratio (including operating lease liability) deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level. |
Debt to Capital
Dollar General Corp., debt to capital calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current portion of long-term obligations | 768,645) | —) | —) | —) | 555) | 1,950) | |
| Long-term obligations, excluding current portion | 6,231,539) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,438) | 2,862,740) | |
| Total debt | 7,000,184) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,993) | 2,864,690) | |
| Shareholders’ equity | 6,749,119) | 5,541,772) | 6,261,986) | 6,661,238) | 6,702,500) | 6,417,393) | |
| Total capital | 13,749,303) | 12,551,171) | 10,434,054) | 10,792,213) | 9,614,493) | 9,282,083) | |
| Solvency Ratio | |||||||
| Debt to capital1 | 0.51 | 0.56 | 0.40 | 0.38 | 0.30 | 0.31 | |
| Benchmarks | |||||||
| Debt to Capital, Competitors2 | |||||||
| Costco Wholesale Corp. | 0.24 | 0.24 | 0.28 | 0.33 | 0.31 | 0.32 | |
| Target Corp. | 0.54 | 0.59 | 0.52 | 0.47 | 0.49 | 0.50 | |
| Walmart Inc. | 0.36 | 0.37 | 0.34 | 0.38 | 0.42 | 0.44 | |
| Debt to Capital, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 0.38 | 0.36 | 0.38 | 0.41 | 0.44 | |
| Debt to Capital, Industry | |||||||
| Consumer Staples | — | 0.58 | 0.56 | 0.56 | 0.60 | 0.58 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Debt to capital = Total debt ÷ Total capital
= 7,000,184 ÷ 13,749,303 = 0.51
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Dollar General Corp. debt to capital ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
Debt to Capital (including Operating Lease Liability)
Dollar General Corp., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current portion of long-term obligations | 768,645) | —) | —) | —) | 555) | 1,950) | |
| Long-term obligations, excluding current portion | 6,231,539) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,438) | 2,862,740) | |
| Total debt | 7,000,184) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,993) | 2,864,690) | |
| Current portion of operating lease liabilities | 1,387,083) | 1,288,939) | 1,183,559) | 1,074,079) | 964,805) | —) | |
| Long-term operating lease liabilities, excluding current portion | 9,703,499) | 9,362,761) | 8,890,709) | 8,385,388) | 7,819,683) | —) | |
| Total debt (including operating lease liability) | 18,090,766) | 17,661,099) | 14,246,336) | 13,590,442) | 11,696,481) | 2,864,690) | |
| Shareholders’ equity | 6,749,119) | 5,541,772) | 6,261,986) | 6,661,238) | 6,702,500) | 6,417,393) | |
| Total capital (including operating lease liability) | 24,839,885) | 23,202,871) | 20,508,322) | 20,251,680) | 18,398,981) | 9,282,083) | |
| Solvency Ratio | |||||||
| Debt to capital (including operating lease liability)1 | 0.73 | 0.76 | 0.69 | 0.67 | 0.64 | 0.31 | |
| Benchmarks | |||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | |||||||
| Costco Wholesale Corp. | 0.30 | 0.30 | 0.35 | 0.39 | 0.38 | 0.32 | |
| Target Corp. | 0.59 | 0.63 | 0.56 | 0.51 | 0.54 | 0.54 | |
| Walmart Inc. | 0.42 | 0.43 | 0.41 | 0.44 | 0.49 | 0.44 | |
| Debt to Capital (including Operating Lease Liability), Sector | |||||||
| Consumer Staples Distribution & Retail | — | 0.44 | 0.42 | 0.44 | 0.48 | 0.44 | |
| Debt to Capital (including Operating Lease Liability), Industry | |||||||
| Consumer Staples | — | 0.60 | 0.58 | 0.59 | 0.62 | 0.59 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 18,090,766 ÷ 24,839,885 = 0.73
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Dollar General Corp. debt to capital ratio (including operating lease liability) deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
Debt to Assets
Dollar General Corp., debt to assets calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current portion of long-term obligations | 768,645) | —) | —) | —) | 555) | 1,950) | |
| Long-term obligations, excluding current portion | 6,231,539) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,438) | 2,862,740) | |
| Total debt | 7,000,184) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,993) | 2,864,690) | |
| Total assets | 30,795,591) | 29,083,367) | 26,327,371) | 25,862,624) | 22,825,084) | 13,204,038) | |
| Solvency Ratio | |||||||
| Debt to assets1 | 0.23 | 0.24 | 0.16 | 0.16 | 0.13 | 0.22 | |
| Benchmarks | |||||||
| Debt to Assets, Competitors2 | |||||||
| Costco Wholesale Corp. | 0.11 | 0.11 | 0.13 | 0.14 | 0.15 | 0.16 | |
| Target Corp. | 0.29 | 0.30 | 0.25 | 0.25 | 0.27 | 0.27 | |
| Walmart Inc. | 0.19 | 0.18 | 0.17 | 0.19 | 0.23 | 0.26 | |
| Debt to Assets, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 0.19 | 0.18 | 0.19 | 0.22 | 0.25 | |
| Debt to Assets, Industry | |||||||
| Consumer Staples | — | 0.33 | 0.32 | 0.32 | 0.35 | 0.35 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Debt to assets = Total debt ÷ Total assets
= 7,000,184 ÷ 30,795,591 = 0.23
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Dollar General Corp. debt to assets ratio deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
Debt to Assets (including Operating Lease Liability)
Dollar General Corp., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current portion of long-term obligations | 768,645) | —) | —) | —) | 555) | 1,950) | |
| Long-term obligations, excluding current portion | 6,231,539) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,438) | 2,862,740) | |
| Total debt | 7,000,184) | 7,009,399) | 4,172,068) | 4,130,975) | 2,911,993) | 2,864,690) | |
| Current portion of operating lease liabilities | 1,387,083) | 1,288,939) | 1,183,559) | 1,074,079) | 964,805) | —) | |
| Long-term operating lease liabilities, excluding current portion | 9,703,499) | 9,362,761) | 8,890,709) | 8,385,388) | 7,819,683) | —) | |
| Total debt (including operating lease liability) | 18,090,766) | 17,661,099) | 14,246,336) | 13,590,442) | 11,696,481) | 2,864,690) | |
| Total assets | 30,795,591) | 29,083,367) | 26,327,371) | 25,862,624) | 22,825,084) | 13,204,038) | |
| Solvency Ratio | |||||||
| Debt to assets (including operating lease liability)1 | 0.59 | 0.61 | 0.54 | 0.53 | 0.51 | 0.22 | |
| Benchmarks | |||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | |||||||
| Costco Wholesale Corp. | 0.14 | 0.15 | 0.17 | 0.19 | 0.20 | 0.16 | |
| Target Corp. | 0.35 | 0.36 | 0.31 | 0.29 | 0.33 | 0.33 | |
| Walmart Inc. | 0.24 | 0.24 | 0.23 | 0.25 | 0.31 | 0.26 | |
| Debt to Assets (including Operating Lease Liability), Sector | |||||||
| Consumer Staples Distribution & Retail | — | 0.24 | 0.23 | 0.25 | 0.29 | 0.26 | |
| Debt to Assets (including Operating Lease Liability), Industry | |||||||
| Consumer Staples | — | 0.37 | 0.35 | 0.35 | 0.39 | 0.36 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 18,090,766 ÷ 30,795,591 = 0.59
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Dollar General Corp. debt to assets ratio (including operating lease liability) deteriorated from 2022 to 2023 but then slightly improved from 2023 to 2024. |
Financial Leverage
Dollar General Corp., financial leverage calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Total assets | 30,795,591) | 29,083,367) | 26,327,371) | 25,862,624) | 22,825,084) | 13,204,038) | |
| Shareholders’ equity | 6,749,119) | 5,541,772) | 6,261,986) | 6,661,238) | 6,702,500) | 6,417,393) | |
| Solvency Ratio | |||||||
| Financial leverage1 | 4.56 | 5.25 | 4.20 | 3.88 | 3.41 | 2.06 | |
| Benchmarks | |||||||
| Financial Leverage, Competitors2 | |||||||
| Costco Wholesale Corp. | 2.96 | 2.75 | 3.11 | 3.37 | 3.04 | 2.98 | |
| Target Corp. | 4.12 | 4.75 | 4.20 | 3.55 | 3.62 | 3.65 | |
| Walmart Inc. | 3.01 | 3.17 | 2.94 | 3.12 | 3.17 | 3.02 | |
| Financial Leverage, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 3.24 | 3.11 | 3.21 | 3.20 | 3.09 | |
| Financial Leverage, Industry | |||||||
| Consumer Staples | — | 4.16 | 3.98 | 4.02 | 4.18 | 3.88 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Financial leverage = Total assets ÷ Shareholders’ equity
= 30,795,591 ÷ 6,749,119 = 4.56
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Dollar General Corp. financial leverage ratio increased from 2022 to 2023 but then slightly decreased from 2023 to 2024 not reaching 2022 level. |
Interest Coverage
Dollar General Corp., interest coverage calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Net income | 1,661,274) | 2,415,989) | 2,399,232) | 2,655,050) | 1,712,555) | 1,589,472) | |
| Add: Income tax expense | 458,245) | 700,625) | 663,917) | 749,330) | 489,175) | 425,944) | |
| Add: Interest expense | 326,781) | 211,273) | 157,526) | 150,385) | 100,574) | 99,871) | |
| Earnings before interest and tax (EBIT) | 2,446,300) | 3,327,887) | 3,220,675) | 3,554,765) | 2,302,304) | 2,115,287) | |
| Solvency Ratio | |||||||
| Interest coverage1 | 7.49 | 15.75 | 20.45 | 23.64 | 22.89 | 21.18 | |
| Benchmarks | |||||||
| Interest Coverage, Competitors2 | |||||||
| Costco Wholesale Corp. | 58.63 | 54.04 | 50.62 | 40.06 | 34.54 | 32.77 | |
| Target Corp. | 11.55 | 8.15 | 22.16 | 6.68 | 9.78 | 8.97 | |
| Walmart Inc. | 9.14 | 9.00 | 10.38 | 9.88 | 8.74 | 5.88 | |
| Interest Coverage, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 11.46 | 14.77 | 10.47 | 10.17 | 7.73 | |
| Interest Coverage, Industry | |||||||
| Consumer Staples | — | 11.17 | 14.75 | 10.38 | 10.85 | 8.42 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Interest coverage = EBIT ÷ Interest expense
= 2,446,300 ÷ 326,781 = 7.49
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Dollar General Corp. interest coverage ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Fixed Charge Coverage
Dollar General Corp., fixed charge coverage calculation, comparison to benchmarks
| Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | Jan 31, 2020 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Net income | 1,661,274) | 2,415,989) | 2,399,232) | 2,655,050) | 1,712,555) | 1,589,472) | |
| Add: Income tax expense | 458,245) | 700,625) | 663,917) | 749,330) | 489,175) | 425,944) | |
| Add: Interest expense | 326,781) | 211,273) | 157,526) | 150,385) | 100,574) | 99,871) | |
| Earnings before interest and tax (EBIT) | 2,446,300) | 3,327,887) | 3,220,675) | 3,554,765) | 2,302,304) | 2,115,287) | |
| Add: Operating lease cost | 1,750,000) | 1,610,000) | 1,490,000) | 1,380,000) | 1,270,000) | 1,159,085) | |
| Earnings before fixed charges and tax | 4,196,300) | 4,937,887) | 4,710,675) | 4,934,765) | 3,572,304) | 3,274,372) | |
| Interest expense | 326,781) | 211,273) | 157,526) | 150,385) | 100,574) | 99,871) | |
| Operating lease cost | 1,750,000) | 1,610,000) | 1,490,000) | 1,380,000) | 1,270,000) | 1,159,085) | |
| Fixed charges | 2,076,781) | 1,821,273) | 1,647,526) | 1,530,385) | 1,370,574) | 1,258,956) | |
| Solvency Ratio | |||||||
| Fixed charge coverage1 | 2.02 | 2.71 | 2.86 | 3.22 | 2.61 | 2.60 | |
| Benchmarks | |||||||
| Fixed Charge Coverage, Competitors2 | |||||||
| Costco Wholesale Corp. | 22.50 | 19.10 | 18.23 | 15.30 | 14.03 | 12.40 | |
| Target Corp. | 6.04 | 4.62 | 12.02 | 5.24 | 6.48 | 6.16 | |
| Walmart Inc. | 5.40 | 4.84 | 5.38 | 5.16 | 4.82 | 3.14 | |
| Fixed Charge Coverage, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 5.95 | 7.41 | 5.88 | 5.60 | 4.07 | |
| Fixed Charge Coverage, Industry | |||||||
| Consumer Staples | — | 7.52 | 9.05 | 7.08 | 7.09 | 5.35 | |
Based on: 10-K (reporting date: 2024-02-02), 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01).
1 2024 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 4,196,300 ÷ 2,076,781 = 2.02
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Dollar General Corp. fixed charge coverage ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |